I just picked up a 2022 Grand Cherokee 4xe Base. It’s through Ally (against @mllcb42 sage advice). They definitely messed something up in the contract, but I can figure out what exactly they did. The total incentives should be $20,250, but they dipped out of that to pay the 1st monthly payment? And I gave them $0 to drive-off, they said they will pay the $1,054.21.
I’ve messed with it and can’t figure it out. The cash to be paid equals the first month + the doc/registration fees. And they seemed to subtract that from the incentives?
If you gave them $0 to drive off, then yah, they’d either cover the drive offs from the incentive or they’d capitalize them and then the incentive as a cap cost reduction would go to covering them.
If you got $20250, you got the IDL cash stack on this which makes the MF insane. I hope you’re planning on buying this lease out immediately.
I should mention that the computer would not accept these numbers, as it didn’t pass some basic math validation. He eventually gave up and said he would mail it, lol.
By buying it out and avoiding a 5 figure rent charge, you can instead apply your money towards paying down the principal. That means that what you owe on the vehicle after that 3 year period is likely to leave you with equity, reducing your total cost of ownership.
They structured this very bizarrely on the contract. The cap cost reduction they’re showing under the amount due at lease signing makes sense, but the rebates section should read $20250.
Does Ally allow you to pay it off immediately afterwards? Thus, taking advantage of the insanely wonderful $20K+ incentives while avoiding the insanely crazy interest rate / rent charge of $12K+? Or is there a penalty clause or a duration that you must hold onto the lease for?
Yes, they have an early buyout option. You have to go through an Ally dealer if memory serves and they don’t make things as easy… that’s the Ally way.
You can also do a standard rate lease through Stellantis Financial to get the IDL bonus cash. Probably would save some of the Ally headache and get you to the same end goal.
