" Return fees for car leases 'absolutely outrageous', consumer warns
Member Centre: Login | Sign Up
Story Tools: E-MAIL | PRINT | Text Size: S M L XL | REPORT TYPO | SEND YOUR FEEDBACK

Return fees for car leases 'absolutely outrageous', consumer warns

Last Updated: Monday, October 27, 2008 | 8:12 PM ET

CBC News

Some drivers nearing the end of their car-leasing contracts may want to brace themselves for some unexpected big bills, a fellow consumer warns.

'To be told that my car, which was in good condition, needed $4,250 worth of work is absolutely outrageous.'â??Susan Scott, consumer

Montreal-based Susan Scott said she was presented with a hefty bill after she returned her Chrysler mini-van to the dealership.

""To be told that my car, which was in good condition, needed $4,250 worth of work is absolutely outrageous,"" Scott said.

""I went through the roof.""

George Iny, president of the Automobile Protection Association, said many companies have been hit with the dropping value of previously leased vehicles.

""They're trying to cover some of their losses on the re-marketing of the vehicles,"" he said, adding some consumers have been presented with bills weeks after their vehicles were returned and resold at auction.


'Chrysler should be ashamed of themselves, and many will remember this outrageous 'client service' when they go to purchase another car down the road. '

â?? Liz/Toronto

Add your comment

New car leases used to account for nearly half of a dealership's business, but in a few months, that proportion has dropped to less than 20 per cent, according to auto analyst Richard Cooper of JD Power and Associates.

Auto Check Canada, a company that specializes in lease returns, calculated the repairs on Scott's van could be completed for half of what Chrysler estimated.

Ken Selcer, president of Auto Check Canada, said consumers are best off getting a second opinion.

""Once they know that a third party is involved, [the dealerships] tend to back away,"" he said.

  •  

Related

Internal Links

BLOG: Ellen Roseman: The hidden costs of car leasing
Group warns seniors about car leasing contract hazards

Video

Reg Sherren reports: Return fees for car leases 'absolutely outrageous,' consumer says (Runs: 2:15)
Play: QuickTime »
Play: Real Media »

Consumer Headlines

Slumping dollar means goods cheaper here than in U.S.
Canadian retailers have not increased prices as the dollar has fallen dramatically, which means that a basket of goods that were up to 24 per cent more expensive here than in the United States when the dollar hit parity, is actually cheaper now in Canada.
Charities across Canada squeezed as donations dry up
Officials with Canadian charities say the wobbly economy is squeezing the number of donations and endowments they typically receive as need continues to rise across the country.
'Le Vin de Merde' wins wine marketing crapshoot
A vintner in France has found unlikely success with a new wine crudely called Le Vin de Merde, which loosely translates a ""crap wine.""
Loonie's tumble doesn't deter Canadian snowbirds
Snowbirds are still flocking to their southern winter getaways, even though the Canadian dollar is worth much less this winter than last.
More than tires? Canadian Tire adds bread and milk
Canadian Tire is planning to open two experimental stores in Ontario that will offer an expanded variety of food and other consumable items as part of a new product assortment.
 
 

Consumer Life Features

MAPDriving and dialing
Cellphone bans and restrictions around the world
ECONOMYDeficits
The return of deficit spending
SAFETYRecalls and Advisories
  • Toys
  • Ice shelters
BLOGFood Bytes
Pondering Jack-o'-Lantern
ECONOMYHoliday shopping
Bargains to be had, but will consumers bite?
COMM-ODDITIESMoney
'No god' campaign to be carried on British buses

People who read this also read …

In the Blogs

Most Blogged about CBC.ca Articles

Thousands face infection risk after syringes reused at Alberta hospital
No laughing matter: Satirical magazine Frank folds
U.S. authorities uncover skinhead plot to assassinate Obama

Full list of articles »

Note: CBC does not endorse and is not responsible for the content of external sites - link will open in new window

Top CBCNews.ca Headlines

Headlines

McKenna rules out Liberal leadership bid
Frank McKenna, a former New Brunswick premier, said Tuesday he will not run for the leadership of the federal Liberal party, putting an end to mounting speculation about his political future.
Williams apologizes, takes 'full responsibility' at cancer inquiry
Premier Danny Williams apologized Tuesday for any grief and anguish that Newfoundland and Labrador breast cancer patients have suffered because of flawed laboratory tests.
Harper calls first ministers meeting for Nov. 10
Prime Minister Stephen Harper has called a first ministers meeting to discuss the impact of global economic turmoil on Canada.
Markets make massive closing gains
A late-session massive buying spree propelled the S&P/TSX composite index to its fourth-largest point gain ever and matched its third biggest gain in terms percentage points.
Harper has no excuse to run a deficit: Paul Martin
The Conservative government has no excuse if it goes into a deficit after inheriting a $12-billion surplus from the Liberals just two years ago, former prime minister Paul Martin said Tuesday in Toronto while promoting his book, Hell or High Water.

News Features

Copyright © CBC 2008