i believe retaining unearned interest should be illegal
It would not surprise me at all if āremaining lease paymentsā actually means āremaining base lease paymentsā
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So hereās some info from my contract.
For my own buyout:
My rough math on the base payments plus residual minus unearned rent do get me to the ballpark of the selling price. And if it was my buyout Iād have to pay MA taxesā¦ and there goes all that TRX profit.
And the other risk here is that they can determine a realized value which is the same tricks that Ally and US bank play for non CDJR dealers.
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Yah, thats typical personal buyout language with unearned rent charge not being due
So I guess Iām reading this that when I take this to the CDJR dealer to sell my TRX, theyāre paying what I expected my buyout to be (for instance if it was a CCAP lease) and another $2k āparticipation feeā which is less than Iād pay in taxes. Not ideal and certainly would cause me to steer clear of them moving forward. But Iām still walking with a check.
The $2k participation fee is if theyre a ānon-supportiveā cdjr dealer. Doesnt apply for a dealer that sfs likes.
I think youre just going to have to wait and see what the dealer says their buyout number is.
It looks like even a supporting sfs dealer will still pay an additional $1,000 per the details a few posts above
Yeah I know they havenāt done a lot of business with SFS yet so I assume 2k if another $1k shows up great ā¦ though itās possible Iād have been better off with Ally because they are an Ally affiliate dealer. Sfs was a lower payment and Ally was still a dice roll.
My deal still hasnāt funded yet so still hoops to jump through for what will now be a few grand.
And with my 22k Maverick built and shipped Iām likely to make a lot more on that vs this one.
To paraphrase the Mercedes ads. Itās CCAP or nothing. And thankfully CCAP wonāt go away as a ācapitiveā until end of 2025 at the earliest.
Agreed. Definitely looks like at least $1k.
@Bumboola @beep how long did your contract take to fund? I canāt register or ship until mine does and wondering if Iām looking at days or weeks. Iām a week out from returning paperwork.
I signed yesterday morning so no clue yet 
@harrydogyo my 4xe GC was signed on April 30. Still nothing in their system. Spoke with Chrysler/Stellantis and the dealership yesterday and they said deal should be funded by Friday. So 3 weeks was my experience.
This news makes CCAP 13% apr on trx seem like a deal.
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Ugh, Good to know. Thanks!
mine was through Chrysler also. picked it up 5/6 and got email to set up my account on 5/14.
Biggest surprise of the week was Chappie allows you to schedule pick up as soon as documents are back in house, no wait to fund.
Itās always been like this
For chappie maybe. All other cjdr dealers Iāve worked with want contract funded before pick up.
CCAP prorates the buyout? Iāve only done a buyout through Ally, and they didnāt prorate it. Charged me every remaining payment in full.
I have never seen a lease contract that charges unearned rent charge on a buyout, ally included.
I have seen people misinterpret early terminations or 3rd party buyouts as first party buyouts though.