knickfan3

I'm likely going to be bad mouthed but here it goes:

Took delivery on my 2013 C350 coupe in July.

-Sport Package w/ AMG 18 rims
-Multimedia Package
-Keyless Go
-Lighting Package
-Roof Spoiler
-3yr prepaid ($999.00, but website states $769?)
-First Class Lease Protection ($899) was this even worth it?!

Retail Price: $51,435.

Agreed on $49,043.53.

4 yr lease, 12k mileage. $10k down. Total monthly = $527.64.

My credit score is 689 and 712 from two of the credit bureaus.

I feel like I'm getting totally ripped off. Any advice and suggestions?

Stryder04

I'm not an expert but 10k down on a least seems a bit excessive IMO. maybe you can renegotiate in a year or two on a different vehicle.

RENNTECH

WOW hate to say this but ya 10k down on a lease is crazy

knickfan3

the sales guy must have been seeing $$$ in his eyes when he met me. what can i do? how come when i use the mercedes official website payment estimator it says $444/month for the same set up yet I pay $528? Can i call corporate and complain about possiblility of being scammed as a consumer. or will they just brush me off and say tough luck noobie??

mind you this is my first car purchase..

pgeller

Of course, its not really a "purchase". More like rental. At the end of the lease term, you can buy it for the residual amount, or walk away.

You paid $10K off the $49K + 899 + 999 price, so leased $51K (plus state tax and license) for 4 years at $527/mo. That's a total payments of $25K. Is it worth $35K to rent the car for four years?

What is your residual? If you plan on keeping it at term, that's am important number.

Financing insurance is not a great idea. Presumably, that's what "Lease Protection" is. Do they prepay the entire policy? If not, would there be a policy in-force if you don't make payments (a snake eating its tail...)?

Prepaid what?

Leases are not generally good deals unless you are either happy renting, or plan to buy it out at a very good residual. The downside is no flexibility.

pg

Normandie4life

buy the car and sell it maybe or let someone take over your lease

knickfan3

The residual is $30,278.32 (58%)
The prepaid is for the 3 yr maitenance.
The "lease protection" is good for only 3 yrs of my 4 yr lease.

I know I made a mistake with the huge 10k down for a lease. Any other suggestions? Should I negotiate with the dealership to break out of the lease and just finance the car instead of lease?

CD30043

Your payment would be 629.00/mo with a sale price of 49,403 and your 10k down, assuming 1.99% over 66 months; your scores are light, but the down would most likely put you at 1.99%. This does not include tax financed in the balance since I don't know the tax rate(s). If your stste has a cooling off period, then maybe you have a chance. Georgia, my state, has no cooling off period, so once you sign, it's done. Talk to the dealer anyway, especially if you can afford the monthly payment per above.

bringtherain

you couldve gotten a C63 for 5k down and 700 a month and that wouldve been better. It was posted on a forum as a special.

splinter

I’m not too keen on negotiating down to the last thousand or so, but you got screwed.

Isn’t it too late for that?

Sportstick

The deal is done. The ink is dry. Enjoy the car and move on, lesson learned. You will do better with the second car purchase through the rest of your life.

LandSeaAir

Your giving them a total of $35k over four years for a car that retailed for $49k, driving a total of 48,000 miles, $49,000-$35,000=$14,000=what they are saying the car will be worth when you're done, there's no way that a four year old C350 with 48,000 miles is going to be worth that little, sorry to be a bearer of bad news... I would try to get out of this lease but I know that isn't too easy once it's done.

DucatiCLS550

your JK right?

knickfan3

Agreed on value: 49,043.53
Acquistion Fee: 1,095.
Cap Cost Reduction: 8245.18
My Net Cap Cost: 43,791.35
Residual: 30,278.32
Rent Charge: 9,883.62

If my math serves me correctly that gives me a .0028 money factor. My credit score was 712 on the report.


I'm going back to the dealership this weekend. This is from one of AutoNation's dealerships.

I may have to complain to corporate if the manager doesn't help me.

To make matters worst. I went in and actually had to negotiate my monthly down to the 527. He started it at 685! all else being equal. Slap to the face huh

lyyca

^^ What he said

knickfan3

I'm not going to sugar coat it or beat around the bush, I f*cked up on my first car lease. But I'm going to try to see if I can right the terms somehow. It doesn't hurt to give it a shot. Tough lesson to learn. But an invaluable one for the rest of my life. Thanks guys.

JonMBZ

I worked for AutoNation for many years and they screw their employees just as much. Glad I got out while I did.

mac911

I know it can feel like a bummer, but we do learn. I felt sick when I got my C300 as it wasn't a very good deal, but eventually got over it.

You do have a VERY nice car, lots of options and goodies. Enjoy the car!

The only really bad thing is that you had to pay so much down to get it for even the $525. Now, there are a couple ways to feel better about this. One, you do have the maintenance paid for three years. That is $1k back.

The lease protection is to waive small damages to the car at the end of the lease up to a specified limit. Unless you take very good care of a car, that could save you some at lease turn in. I normally wouldn't get it only because I'm likely to keep cars at end of lease.

Overall, it wasn't a deal to write home about, but if you felt comfortable spending the $10k well a bit of it you will get back with your maintenance and the $527 isn't too bad if you can afford it.

I'd probably just learn the lesson from it.

You might could write Mercedes Financial or something about getting out of the lease protection or maybe even the prepaid maintenance to get back a couple thousand (or applied to the contract), but then again even if you can, would you want to?

Good luck, but enjoy the car! It sounds like a beauty.

knickfan3

dont get me wrong. I LOVE THIS CAR! its beautiful. I couldn't have asked for a better first car purchase/lease.

BUT, the sales man charged me a .0028 money factor when the base money factor for my car in july was at .0021. That would put my monthlys from 528 monthly down to a more acceptable 436 monthly.

QUESTION: Can I file a complaint to them and say that my credit score was above average yet you gave me a high interest rate?! How is the consumer protected?!

victort

you agreed to the terms when you signed the contact. the terms being the price, rates and duration. you can always file a complaint but you signed a legal binding contract that you will be held accountable for.

Sportstick

Assuming nothing illegal occurred, the consumer is protected by being able to gather all the information needed before the sale and having the freedom to agree or not agree to the contract. Unless a contract violates public policy, is unconscionable, or is for illegal services, it is not voidable simply because the benefits are "lopsided" on behalf of one party. One is free to agree to just a bad deal if one wishes.

knickfan3

thanks for all your guys valuable advice. i should have took the quote to this forum and have all you guys check it out in the first place. .

LogicDSS

I just ran the numbers quickly and something is wrong... but everyone knows this

- buy back is $30,000 (58%)
- that leaves $21,000 (42%) to finance over 4 years
- $10,000 down payment
- that leaves you with $11,000 to finance over 4 years
- $11,000 / 48 = $230/month (at 0% interest)
- from $230/month to $530/month that you are paying is an additional $300/month
- this means that you got a 50% interest rate
- with your credit score, it's IMPOSSIBLE and ILLEGAL

I don't know how the law works in the states, but here in Canada, no institution is allowed to charge more than 17% interest rate.

Oh, and you said that you agreed on $49,000, but $30,000 + $21,000 = $51,000 which is the original price they told you. Do you have the $49,000 somewhere in writing or was it only verbal?

If I was you, I would write to Mercedes USA and make a formal complain against the dealer that gave you this "deal".

Can you look on the papers you signed and see what is the interest rate that they gave you? Because it could very well be a mistake...

knickfan3

groos capitalized cost: 52,036.53
capitalized cost reduction: 8,245.18
adjusted capitalized cost: 43,791.35
residual value: 30,278.32
depreciation and any amortized amounts: 13,513.02
rent charge: 9883.62
total of base monthly payments: 23,396.64
lease payments: 48 months
base monthly payment: 487.43
monthly sales/use taxes: 40.21
total monthly payment: 527.64

any specific input on these numbers?

alsyli

http://www.carbuyingtips.com/glossary.htm (scroll down to finance fee).

Using the numbers you've provided (and the money factor from another post), it sounds as though your rent charge should be in the low hundreds, not in the high 4 digits).

BTW, thank you being willing to share your experience on the forum. I own now but am planning to lease in a few yrs. I hope you're able to re-negotiate (if that's at all possible) but at least know that your posts will help a lot of other people (like me) who know NOTHING about leasing.