[Racerxyz]

3 years ago I leased the XC-70. 2 months from the end of my car lease. Volvo Financial Services a called me yesterday and told me that I have to decide what I am going to do.

1. buy out price $28,200
2. extend my lease for up to 6 months
3. return the car
4. lease another vehicle

I tried to talk to them about financing and they told me to go to the dealer that I bought the car from. They would not deal with me over the phone. After I got out of work I went to the dealership and they told me that my car was in good condition and it appeared that there would not be any additional charges if I returned the car at the end of my lease. They tried to get me to lease a new vehicle and I am trying to rein in my spending right now. I want to lower my monthly payments. If I lease something new, I will spend a lot less than the 625 per month that is coming out of my bank account now.

My car is a great car and I found out that I could buy this car for about 475 per month. I have taken great car of the car. I did all of the service work on my car. I did a search to find out how much the XC-70 was worth.

2007 Volvo XC70 Prices, Trade-in Value & Blue Book Value - Motor Trend Magazine

After I went home and found out that the residual value which they want me to buy my car for is higher than the retail price.

I am a bit mad at the dealership because I feel they are trying to take advantage of me. Anyone have any advice?

 

[BHart]

This is a normal situation. The residual is higher because the wholesale market will not pay retail buyout. The high residual meant that they could quote you a lower monthly rate since they were fiddling the numbers. That was standard practice and part of the reason for the downfall in the auto industry.

Unless you've got a sentimental tie to the car, give it back. The wholesale price to dealers at auction will be even less than retail. If buyout is $28,200 (a fantasy), retail could be 25,000 and wholesale anywhere from 20,000 to 23,000

You could be cheeky and offer the dealer 2-3000 below retail, let them buy it back from the lease company so they can sell it to you. If they're hungry, they might go for it.

 

[Racerxyz]

End of Lease Help

This is a normal situation. The residual is higher because the wholesale market will not pay retail buyout. The high residual meant that they could quote you a lower monthly rate since they were fiddling the numbers. That was standard practice and part of the reason for the downfall in the auto industry.

Unless you've got a sentimental tie to the car, give it back. The wholesale price to dealers at auction will be even less than retail. If buyout is $28,200 (a fantasy), retail could be 25,000 and wholesale anywhere from 20,000 to 23,000

You could be cheeky and offer the dealer 2-3000 below retail, let them buy it back from the lease company so they can sell it to you. If they're hungry, they might go for it.

In response to your post above, that is an exact appraisal of my situation. We are in the middle of an economic collapse, my wife is not working and my hard earned dollars are not walking away with out a deal.

I found a company called Get Your Car Back (Get Your Car Back - Home) and they gave me actual auction results. I got sales prices on similar cars to mine for the past 30 days. The numbers are auction sales for the whole country and what I have found is the average sale price is $19,546.

I do like my car because I know my car better than anyone else on this earth. I took it for service, I drove it and I know the weather it has been in. Will let you know what happens after I speak to these pikers at the dealership..

Thanks again...........

 

[Racerxyz]

end of car lease help

I went down to the dealership and found that they were no help what so ever. The funny part of the story is that Ford Motor Credit or Volvo Credit they are one in the same, told me to go to the dealership. The dealership tried to get me into a new lease and when I told them no. They said that it is not their responsibility to handle the end of my lease and that I should go to another dealership. That is the last time I go to WHV to do anything.

As I mentioned in my first quote I am pretty sure that the buyout price is about 20% higher than the price that I can buy a similar car for. I am going to hire this company Get Your Car Back to represent me at auction. I am going to turn this car in then get them to buy my car at auction.

If it doesn't work they will buy me any type of car that I chose from auction. It is a win win for me. A car is a depreciating asset and I am sick of losing money. I work hard and it is about time that I respect the money that I have been given rather than giving it to some big corporation

 

[BHart]

Buying a 1-2 year old car, with warranty is the best option. Biggest hit of the depreciation is in the first years. Most dealerships will let you extend the factory warranty too.

 

[Racerxyz]

Lease End Help

I had a problem with a 2000 Lexus that I bought in 2002 with 7,000 miles. The car spent 60 days in the shop and for an electronics problem and the lemon law is void in the State of Florida. I did not get a certified pre owned but Lexus would not stand behind their product. I wrote letters to the heads of the company and could not get anywhere. In the end, I had a bad experience with used cars in the State of Florida. I found out that California had different laws and I would be covered. This is one of the reasons I want my car back so badly. I think like you do with regards to not wanting to get hit with depreciation. My car fits this profile. I paid the depreciation.I want it back. Get Your Car Back is negotiating the end of my car lease. It will cost me $400 to 1,200 dollars over wholesale price to keep driving my car.