Finance will not let me pay for the car, wants to grab the cash payout from Insurance!

[Homip]

i have a 2019 Genesis g70 which is leased and with 3 months left, my car was totaled (deer run in!). I exercised the purchase option and paid the 20K since my insurance cash payout is $34k. But the finance dept is saying that they will take the full cash payout from the insurance instead of the payment of 20k from me!

Help, any advise

 

[PMCErnie]

Seems simple enough. They own the car, not you. You are the “lessee.”

If a house burns down, who gets the insurance money, the landlord (aka owner), or the renter?

But what do I know? I have no idea what your lease specifies. Have you read it?

 

[Homip]

the point is that they sent me a letter allowing me buy off the car and after i sent the money now they are changing their mind

 

[pulsar]

Would seem if your lease paperwork states the payoff amount, that should not change. If the vehicle was not totaled, Genesis would not be asking for more than the paperwork stated at end of lease. Not sure how they can state they get. Ore than the agreed upon contract price in the lease. I’d certainly not roll over easy with them.

 

[EdP]

i have a 2019 Genesis g70 which is leased and with 3 months left, my car was totaled (deer run in!). I exercised the purchase option and paid the 20K since my insurance cash payout is $34k. But the finance dept is saying that they will take the full cash payout from the insurance instead of the payment of 20k from me!

Help, any advise

Time to read the fine print of your contract. Or have your lawyer do it for you. Did they cash your check? They are the owner at time of accident, not you.

 

[Mcc]

Time to read the fine print of your contract. Or have your lawyer do it for you. Did they cash your check? They are the owner at time of accident, not you.

I’m not sure. They may be the owner but have a contract to buy the car independent of its condition. Tell finance you want to exercise your buyout option. If they say no, ask them why not. Whatever they say, tell them to show you where in the lease contract it says that.

 

[EdP]

I’m not sure. They may be the owner but have a contract to buy the car independent of its condition. Tell finance you want to exercise your buyout option. If they say no, ask them why not. Whatever they say, tell them to show you where in the lease contract it says that.

Would depend on the wording. Contract or option? Normally, if you do the buyout there are no charges for damage, excessive wear, etc. But do they have to accept the offer?

Remember a couple of days ago a guy was complaining about the dealer charges? May not be that simple. I found this:
If your vehicle is garaged/registered in CO, DC, FL, HI, IN, PA, SD, SC, or KS, you will need to contact a Dealership to purchase the vehicle.

Looks like the contract may be state dependent. Could not find an actual copy.

 

[Mcc]

Looks like the contract may be state dependent. Could not find an actual copy.

I agree. It probably is state dependent. In California at least, there is no option. It is your right to buy out at your discretion. It is a closed end contract and the buyout amount is fixed at signing.

No idea where @Homip lives and unless he posts his location, I don’t see the point in further discussion.

 

[Homip]

live in NJ, thanks

 

[Mcc]

live in NJ, thanks

i think you have a good case. Do you have the lease contract?
Is it Genesis financial or the dealer who won’t take your check?

______________________________

Help support this site so it can continue supporting you!

 

[PMCErnie]

the point is that they sent me a letter allowing me buy off the car and after i sent the money now they are changing their mind

Am I correct that you had the accident (with their vehicle) BEFORE you attempted to exercise your purchase option?

 

[Homip]

yes, that is correct.

 

[Mcc]

yes, that is correct.

Probably too late then. There is no longer a vehicle to sell to you. Sorry I misunderstood in my previous post.

 

[tarhoosier]

This is an educational interaction especially for this lessee who is about to exercise the purchase option.

 

[Homip]

thanks for all your inputs, will keep u updated once i get a response.