Please help - trying to buy Tacoma from TFS and they won't sell it to me directly!

Ask the Hackrs
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1

I’ve spent a lot of time on the phone with Toyota Financial Services (not SE Toyota Financial), and they’ve told me that North Carolina is 1 of ten states that prohibit them from selling direct to me without the use of a dealer. I know if the dealer told me that it’s probably bs, but I guess that’s correct if it’s coming from TFS? I told them I plan to pay cash or could even finance through a bank, but they said it’s specific that it needs to be dealer.

Has anyone encountered this before? I’m trying to buy out my Tacoma with 28,000 miles on it and resell it. There’s definitely enough spread in the deal. However the dealers all want their $900 doc fee and a bs inspection ($1,000).

2

That’s how things are in FL, but I didn’t know it was the case in other states as well.

Generally, you can find other dealers willing to do it for less. TFS doesn’t gain anything by not being forthcoming here with you. What does your tfs say regarding payoff instructions?

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3

Just resell it directly to Carmax etc

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4

I live in NC and have definitely bought out a previous lease directly from the bank without using a dealer.

Now this was not a Toyota, but not sure why TFS would require you to go through a dealer here when other manufacturers don’t.

Have you spoken to more than one rep at TFS and they’re all giving you the same answer? If not I would definitely HUCA.

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How did you get a TFS and not SETF lease in NC?

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Good question. It was through this site I used a broker to get a great lease out of PA (and they use TFS). I bought a one way flight up there to pick up the Tacoma in 2019.

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Apparently they won’t sell it direct to Carmax, Vroom, or Carvana either. I’ll try calling in again. Plus, I can get another $3-4k if I sell it private party, and I’m ok selling myself.

8

Sell it to Enterprise

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9

After paying taxes on the buy out?

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10

NC is only 3% IIRC so the bigger hurdle is the dealer fee.

OP, tons of other people here have sold TFS leases to Carmax, ALGO, etc.

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12

Was already covered that this is not a setf lease

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Missed that. Even though lease is through TFS, could SETD still have an agreement in place that requires all TFS lessees in the SE to go through a SETD dealer for buyout?

14

Sell it to a Toyota dealer, no?

15

You can. It’s worth a lot more now.

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seems like path of least resistance when dealing with SET - don’t have to pay sales tax or wait for title and then sell it yourself.

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My lease buyout price is $35,500. Toyota dealer offered me $37,000 (so that would be a clean/easy $1,500 profit, no doc fees, tax, etc). KBB has it at $44,000 for private party. So even with doc fee ($900) and tax in NC (3%), my cost would be $35,500 plus $2k = $37,500. If I sell it for $42k, that’s $4,500 profit vs the $1,500 I can get with no effort.

Right now I think I’ll have to go through a dealer and just eat the $900 doc fee. I have one dealer that has agreed to “waive” the inspection (which is crap anyways). So that’s why I’m now down to the doc fee issue for having to purchase it from TFS through a dealer (in NC).

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Do you have a buyer at $44k?

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Nope. I did check and looks like they have sold in that range. I was trying to be conservative and plan for at least $42,000 for private party. Since I have to buy it there will be a waiting period to get the title to me (so possibly 3 weeks for all the paperwork just to get it in my name).

20

Seems like a gamble with the volatility of the market in hopes of maybe finding a buyer

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There was another thread from the east coast (I forget which state) which said almost a year, so definitely look into that.