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2021-07-19

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Why automakers are closing this loophole in your car lease

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Pls help me like too[Smile]","highlighted":1,"essential":1,"paper":1,"likeSize":5,"commentSize":4,"repostSize":0,"favoriteSize":0,"link":"https://laohu8.com/post/173773269","repostId":2152632587,"repostType":4,"repost":{"id":"2152632587","kind":"highlight","weMediaInfo":{"introduction":"Dow Jones publishes the world’s most trusted business news and financial information in a variety of media.","home_visible":0,"media_name":"Dow Jones","id":"106","head_image":"https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99"},"pubTimestamp":1626688260,"share":"https://www.laohu8.com/m/news/2152632587?lang=&edition=full","pubTime":"2021-07-19 17:51","market":"hk","language":"en","title":"Why automakers are closing this loophole in your car lease","url":"https://stock-news.laohu8.com/highlight/detail?id=2152632587","media":"Dow Jones","summary":"If you're shopping around for a lease-buyout offer, you may be out of luck.\n\nSeveral automakers are ","content":"<blockquote>\n If you're shopping around for a lease-buyout offer, you may be out of luck.\n</blockquote>\n<p>Several automakers are cracking down on a loophole that has long allowed drivers of leased vehicles to cash in on higher-than-expected resale values. In an effort aimed at boosting their dealers' used car inventories, Acura and Honda (7267.TO) are the latest brands to join a growing list of automakers to require leased vehicles to be turned in at their dealerships.</p>\n<p>Previously, lessees could shop around and take advantage of a higher buyout offer from a competing brand's dealer or even a car-buying service such as Carvana <a href=\"https://laohu8.com/S/CVNA\">$(CVNA)$</a> or Vroom <a href=\"https://laohu8.com/S/VRM\">$(VRM)$</a>. In these situations, the dealers pay the lease payoff -- based on the car's residual value when it was originally leased -- directly to the automaker's finance arm, and the shopper drives off in a new vehicle. That leaves the dealer who paid off the lease with what's generally a late-model, lower-model vehicle to sell.</p>\n<p>In a statement, Honda said American Honda Finance Corporation -- which administers leases for Honda and Acura models -- will alert lessees that they must turn in their vehicle to <a href=\"https://laohu8.com/S/AONE.U\">one</a> of the automaker's dealers. General Motors <a href=\"https://laohu8.com/S/GM\">$(GM)$</a> and Ford <a href=\"https://laohu8.com/S/F\">$(F)$</a> have both enforced a similar policy. American Honda Finance Corporation says it will reconsider the decision later this year, however.</p>\n<p>There's still one loophole, though: lessees can pay the car off, though this either requires writing a hefty check or securing separate financing. Handling a buyout privately can be more challenging than letting a dealership do it.</p>\n<p>Consumers have been taking advantage of the loophole, especially as used-car values have skyrocketed due to a shortage of parts needed to assemble new vehicles. In some cases, dealers and car-buying services have been willing to buy out a lease for far more than the car's lease payoff value.</p>","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Why automakers are closing this loophole in your car lease</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nWhy automakers are closing this loophole in your car lease\n</h2>\n\n<h4 class=\"meta\">\n\n\n<div class=\"head\" \">\n\n\n<div class=\"h-thumb\" style=\"background-image:url(https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99);background-size:cover;\"></div>\n\n<div class=\"h-content\">\n<p class=\"h-name\">Dow Jones </p>\n<p class=\"h-time\">2021-07-19 17:51</p>\n</div>\n\n</div>\n\n\n</h4>\n\n</header>\n<article>\n<blockquote>\n If you're shopping around for a lease-buyout offer, you may be out of luck.\n</blockquote>\n<p>Several automakers are cracking down on a loophole that has long allowed drivers of leased vehicles to cash in on higher-than-expected resale values. In an effort aimed at boosting their dealers' used car inventories, Acura and Honda (7267.TO) are the latest brands to join a growing list of automakers to require leased vehicles to be turned in at their dealerships.</p>\n<p>Previously, lessees could shop around and take advantage of a higher buyout offer from a competing brand's dealer or even a car-buying service such as Carvana <a href=\"https://laohu8.com/S/CVNA\">$(CVNA)$</a> or Vroom <a href=\"https://laohu8.com/S/VRM\">$(VRM)$</a>. In these situations, the dealers pay the lease payoff -- based on the car's residual value when it was originally leased -- directly to the automaker's finance arm, and the shopper drives off in a new vehicle. That leaves the dealer who paid off the lease with what's generally a late-model, lower-model vehicle to sell.</p>\n<p>In a statement, Honda said American Honda Finance Corporation -- which administers leases for Honda and Acura models -- will alert lessees that they must turn in their vehicle to <a href=\"https://laohu8.com/S/AONE.U\">one</a> of the automaker's dealers. General Motors <a href=\"https://laohu8.com/S/GM\">$(GM)$</a> and Ford <a href=\"https://laohu8.com/S/F\">$(F)$</a> have both enforced a similar policy. American Honda Finance Corporation says it will reconsider the decision later this year, however.</p>\n<p>There's still one loophole, though: lessees can pay the car off, though this either requires writing a hefty check or securing separate financing. Handling a buyout privately can be more challenging than letting a dealership do it.</p>\n<p>Consumers have been taking advantage of the loophole, especially as used-car values have skyrocketed due to a shortage of parts needed to assemble new vehicles. In some cases, dealers and car-buying services have been willing to buy out a lease for far more than the car's lease payoff value.</p>\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{},"is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"2152632587","content_text":"If you're shopping around for a lease-buyout offer, you may be out of luck.\n\nSeveral automakers are cracking down on a loophole that has long allowed drivers of leased vehicles to cash in on higher-than-expected resale values. In an effort aimed at boosting their dealers' used car inventories, Acura and Honda (7267.TO) are the latest brands to join a growing list of automakers to require leased vehicles to be turned in at their dealerships.\nPreviously, lessees could shop around and take advantage of a higher buyout offer from a competing brand's dealer or even a car-buying service such as Carvana $(CVNA)$ or Vroom $(VRM)$. In these situations, the dealers pay the lease payoff -- based on the car's residual value when it was originally leased -- directly to the automaker's finance arm, and the shopper drives off in a new vehicle. That leaves the dealer who paid off the lease with what's generally a late-model, lower-model vehicle to sell.\nIn a statement, Honda said American Honda Finance Corporation -- which administers leases for Honda and Acura models -- will alert lessees that they must turn in their vehicle to one of the automaker's dealers. General Motors $(GM)$ and Ford $(F)$ have both enforced a similar policy. American Honda Finance Corporation says it will reconsider the decision later this year, however.\nThere's still one loophole, though: lessees can pay the car off, though this either requires writing a hefty check or securing separate financing. Handling a buyout privately can be more challenging than letting a dealership do it.\nConsumers have been taking advantage of the loophole, especially as used-car values have skyrocketed due to a shortage of parts needed to assemble new vehicles. 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