Nissan dealer ask $1495 for lease buyout processing fee

update 3/15/2022:
I just received the notice from California tax and fee department. They refused my refund request because I am not the one paid to them. they ask me to have the dealer involved to have the refund back to the dealer. If there is any portion the dealer can give it back to you, you will have some of the refunds.
what a joke! I am the one who paid the fee, not the dealer.
So, if you have any other option, do not work with the dealer to have your car buyout.

I’m currently leasing Nissan Kick S 4 more months left. Today, I went to a dealer nearby and asked for buyout payoff estimate, they included $1495 for LEASE BUY OUT PROCESSING FEE. The lease contract for purchase is actually $300, no other processing fee. They also include the sale Tax into the quote, should I pay DMV for the sale tax or use tax rather than pay to dealership?

The sales rep keep saying the processing fee is charged by NMAC, not them. I am in doubt of that actually.

Did anyone here encounter this processing fee before? about 14% of the payoff amount. Any suggestion on my case?
I will reach to NMAC to confirm if they have processing fee about 14% of the payoff amount.
I will keep updating to see if the Nissan dealer try to rid of me.
Appreciate your inputs in advance!

Time to move on to a new dealer.

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Agree, move on!

It’s better you pay Tax to dealer then to DMV.
Other fees is just rubbish but what can you do complain other way to make money for dealers.

:joy: Yes, that is what I did after the manager explained the fee. I just asked take the picture of the quote and left. On the way to another dealership, I found out the manager did not give me back my registration and payoff letter. They thought I was going to sign the buyout when I came back

So I can refuse to pay tax to dealer but pay tax to DMV, right?
I saw a post regarding how to get sale tax refund from DMV after you sale to Carvana or CarMax.
So I prefer to pay tax to DMV, because he has a timeline showing he paid directly to DMV.

Shouldn’t make a difference who cuts the check if you’re processing a sales tax refund through the CA system

Just an FYI, look closer at your lease turn in doc, it says ‘Dealer can charge an Inspection Fee’ which is how the dealers are adding on $XXXX.

Is this the same dealer you leased it from? They aren’t supposed to pad fees.

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Yes, you are right. There is an inspection fee

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So now they charging inspection fees also on top of disposition fee.
I have return many leases in the Past they send some third party to inspect the car at my home and that person do a write up that everything is within the limits if no major damages. Never get charged for the service.
This must be new addition to make more money$$$.

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Nmac charges an inspection fee if you try to buy the lease out, not on lease turn ins.

If you in CA then you have that 10 day period where you dont pay the tax if you selling to third party.
But if you deciding to keep the car then you have to pay the tax, either to Dealer or to DMV.
If its me I will pay to Dealer so he can do all the paperwork and not me .

Recently I ran into issue in IL where My dealer forget to collect Tax and my DMV gives me fits about how that transaction happened , they forced me to get a Tax doc that what tax is due from dealer and then write a certified check to Treasury dept. In short it take me 1 day to fix the issue . and 3 trips to DMV and my bank.

Try to buy lease out through there Dealer I guess. Since they forcing people now to go through there Dealers to buyout. I will try different dealers to see if someone dont charge this fee which is absurd to me to start with. What happens if the Inspection Fail ? Then they will charge to fix the issues and then buy the car.

I doubt you’ll find someone that won’t charge the fee, but you can probably find a minimal fee

100% illegal . no dealer can charge any fees for lease buy out

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They said it is not charge by them but NMAC. And they included the processing fee to purchase fee, which is taxable. Hope the other Nissan dealers do not do business like that. Although today’s market is insane, the way they try to rid of customer is disgusting.

I went through the same issue when I tried to return my Nissan lease. Luckily I was able to avoid it altogether. A friend of mine owned a dealer and he was able to take the lease and pay it off without having to pay for this stupid fee.

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Go to your bank and get an auto loan. Send the check directly to Nimac

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I don’t know if things are different from early this year, but I when I called to do this, NMAC said I wasn’t allowed to. I was then directed to any local dealer.

Thank them for helping you dodge a bullet. Never buy a used Nissan.

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