That’s a straight up lie. They had nothing to pay off so the contract got rejected.
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Update: We picked up the all weather mats and the second key so the vehicle is “complete” now and we have everything promised (other than the loaners throughout the year).
I’ve called GM Financial multiple times to get answers, and this is where I am netting out:
- The old lease on the 2016 is officially “frozen” as the car has been turned in. I turned it in on Nov 3rd, but they list the turn in date as 11/7. I don’t know why they waited or if it even matters, but its a discrepancy.
- They will not “confirm or deny” (their words) whether there are any remaining payments or any further obligation under the old lease. They only tell me that the last payment was on Oct 7th, and no other payments have been made. I can’t get any info from them on whether the subsequent lease payments have been cancelled out or if any liability remains. They only tell me I have to wait 60-90 days in order to have a “final bill” sent to me. I did get one person to admit that disposition had been waived.
- GM Financial has no record of the contract that I signed so it looks like the dealer is holding it. On Georgia’s DMV site, I can see that the new vehicle is registered and insured as of Nov 2nd, but there is no title info, and it doesn’t show up on my account.
- I haven’t spoken to the finance manager since he sent me the “revised” contract. They haven’t been hounding me to sign the new contract. I will be taking the car on an ~700mi road trip this weekend.
- New contract removes all mention of lease end obligation from dealer’s end, and simply ups the selling price of the vehicle. This seems really weird. When I talk to GM financial, they tell me that pull ahead is run by the dealers and that the dealer sends in a payment, and then GM financial reimburses them.
Questions:
- Is that really how pull ahead works, or are the payments simply cancelled out generally?
- How insistent should I be about not signing the new contract? Should I hold firm to the point of letting the deal fall apart?
- If I refuse to sign the new contract, does the dealer have to honor the original contract?
In the original contract, it states the selling price, the breakdown of the Cap Cost, the old lease obligation, and the monthly payment. - If I stick with the old contract, does the monthly payment stay the same even if the old lease obligation has been wiped out? Or will GM financial automatically lower the monthly payment because a portion of the calculation has been “satisfied”?
Sorry for all of the questions - I am just trying to get as concrete a hold on what is happening here before I talk with the dealer and start negotiating. I was planning to wait until after my road trip to talk/negotiate, but not sure if that is a good or bad idea.
@chevysalesgirl is that how GM pull ahead actually works?
https://pbs.twimg.com/media/C2Gu2oSWEAA3Mwc.jpg
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If he’s happy with the original payment and the terms haven’t changed its a total dick move to try to get them to eat another couple grand while driving around their car simply because he’s ruining their expensive asset. That’s pretty low
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How is that a dick move?
Dealer legit lied about why they were changing the contract. They agreed to a selling price, they should stick to that selling price.
My favorite line to dealers who pull crap or try to is, “if you don’t like the game then don’t play it”. They played with him.
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It’s a dick move because he’s driving the car
if it was a pull ahead deal, the rebates would’ve changed and most dealers don’t even know how pullaheads work and how to find it so they won’t go hunting for it.
what they are saying is true, you cannot list remaining lease payments on a contract with GM financial. anytime i do a lease payoff, it’s put in the back screen as a payable item in the deal (kind of like if there’s a scratch that we need to pay for to fix). it’s not shown on any paperwork the customer sign. luckily we have a good business office and we’re not jacks so people don’t have to worry.
BUT i always caution everyone… from the time to signing, to funding, to cutting the check to GM can take a few weeks, some slow dealers a month, so if you have a payment coming up…PAY IT… rather than hit your credit as non-payment. always keep in touch with the dealer and GM to make sure everything payable is being done in a timely manner.
so anytime i have a lease payoff, i adjust the sales price up, there’s no area on the contract to charge it like for XS wear. THIS IS WHY I TELL EVERYONE YOU PAY TAX AND INTEREST TWICE on the same lease payments. if you have the cash to pay off the payments, it’s always better to go that way and start in a new deal clean. only those that truly want to consolidate payments should go this route with putting remaining in the deal.
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To surfer - I have to drive the car, because they took my old lease and cancelled it out. I don’t really have another option. On top of that, once I signed the original contract, they practically begged me to take the car home that night - said it would be sitting out and it was going to rain, said they would come to my house to get the old lease, etc. From my perspective, once I signed the contract, there’s no reason I shouldn’t drive the car. I didn’t know 4 days later they were going to call up and tell me the contract was messed up. Trust me, I would much rather NOT be dealing with this, but I also don’t want to get stuck with a higher selling price AND the remaining lease payments.
Chevysalesgirl - thanks so much for your insight. That is super helpful. In this case, what would you do? The original contract was signed with a specific purchase price, monthly payment, etc. Is it reasonable, in your opinion to change the purchase price once the contract is signed? The part about not having any mention of paying off the lease is concerning, especially because GMF won’t say anything other than the last payment was made over a month ago. Finally, is this really my problem? Should the dealer just have to stick with the original purchase price and eat the cost of the mistake?
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the dealer reserves the right to not honor anything because you don’t have a cashable contract. as long as the lease is paid off and your payment stays the same, no harm no foul. if you feel uncomfortable about the lease being paid off since it doesn’t show on the contract, just have them give you a statement of facts in writing.
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Another Update: Called and left VMs for the finance manager the last couple of days to try and get this sorted out. No response. Also texted dealership manager confirming use of ESV from Nov 22 - 30th and got a confirmation. Also called GM financial again - still no info on old lease and new lease still not showing up in the system. Not really sure what is happening at this point.
Update #2 today: Got a call back from the finance manager, and when I asked about putting the old lease payoff in writing, he got really agitated and told me he had to get someone else to call me back because that is not something he could do.
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Final update. Talked to the dealer and they agreed to write that they will pay GM Financial $2676 on the we owe sheet. I’m satisfied with that, as that was part of the original agreement anyways. Thank you everyone for all of your help!
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Another update for anyone that cares.
Got back a few days ago from our Thanksgiving trip and the dealer did, in fact, keep up his end of the bargain re: the loaner. Gave us a brand new 2020 Escalade ESV. It had had 207 mi on the clock, and we drove it for 1189mi over the course of a week. This was huge for me as my lease is a 10K/yr lease, so the use of this loaner saved me almost 6 weeks worth of average mileage or ~$300 in over mileage charges.
I have 3 more of these “loaner” trips I can use over the next 2 years according to the deal.
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That’s great, any issues with GMF on the other car you returned? It sounds like everything worked out the way it was supposed to.
yeah - everything worked with the old lease. The dealer paid off the lease, I got a confirmation of payoff form GMF, and I wasn’t charged any extra for the turn-in, despite some scratches and things on the body and wheels.
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