Our leased 2015 328 ix Wagon has been at the dealer for over 2 weeks for “Oil Pressure Low-Stop Driving Now “ warning. Repaired once and 2 hours later warning came on again.
Dealer is offering us a 2017 Demo with “BMW support” under these terms:
2017 BMW 330i WGN with 4210 miles
MSRP $51,040
Selling price $37,600 (with $5k BMW contribution)
BMW lease protection $1595
Doc fee $80
DMV fee $356
Acquisition fee $925
Trade in allowance $27,000
Trade Payoff $27,716.94 plus $2800 security deposit
Rebate $2500
Lease for 36 month, 10,000 miles per year
Monthly payment is $359.02 plus tax
Sales Tax $31.41
Monthly payment with tax $390.43
Our $2,800 security deposit on original lease was MSD. It is now to be added into trade-in value.
I cannot figure out if this deal makes sense, if we’re losing out on original deal. We get newer car with added features which is good, however we’re contributing $2,800 to reduce payment by $93. Current lease is $399 through 12/18.
What was your original lease residual value? Your $2800 security deposit should absolutely not be part of this transaction unless you want it to be. Is there a reason you are trying to get out of your lease at the half-way point? especially to get in what is essentially the same car with a slightly different engine.
Wow. Thanks for the quick reply. I’m trying to track down initial lease for that residual. We weren’t looking to get out - dealer’s had our car in shop for over 2 weeks and offered us this option…
Assuming they want you to just put down $2800 and then the payment with tax is $390, I’d make BMW and/or dealer step up and eat half the $2800… make it $1400 which is basically drive off costs and screw it. Life is short - and you get a newer vehicle, more power, options, etc.
Not sure if its just $2800 though they are asking you to give for “cap cost or down payment”.
Lemon laws vary by each individual state. There are no one size fits all solutions for any lemon law buy-back as certain conditions have to be met by individual state laws. Some conditions might include a certain amount of time spent in the repair shop, a certain amount of attempts to repair a specific problem, etc.
If you are interested in finding out more about the lemon law, make sure you check with your own state to see what has to be done. Even the amount of money you could get back will vary.
In California, a vehicle is presumed to be a “lemon" by the Song-Beverly Consumer Warranty Act if, within 18 months of the vehicle’s delivery to the buyer (or 18,000 miles on the odometer):
2 attempts or more have been made by the manufacturer to repair a warranty problem that could result in death or serious injury.
The manufacturer has attempted to repair the same warranty problem at least 4 times.
The car has been out of service for 30 days or more for repair to warranty problems.
Problems to the vehicle are not the result of abuse by the owner.
If your car qualifies as a lemon, the manufacturer has the responsibility of either:
Replacing your vehicle.
Refunding you for the vehicle’s purchase price.
If your manufacturer refuses or unreasonably delays doing either of the above, you can:
Request arbitration to resolve the matter.
@TedH I’m no expert in lemon law but if I remember correctly they determine what kind of “refund” you get based on how many miles you drove. In other words, the more miles you drove, the less money you get back (at least in FL that’s the case, could be different in CA) and then it becomes a question whether or not it’s worth it or if you can get BMW Financial Services to “refund” you for the months the car was in the shop instead if you’re otherwise fine with the car. I would advise to research to find out how much you’re standing to get refunded if you went through lemon law before deciding what to do. CA is a state advocating consumer rights so maybe the lemon law would make sense there.
As for the dealer offering you a different car, IMO they’re just trying to profit off of your situation and move another unit.
