New York Motor Vehicle Lease Agreement

The New York Motor Vehicle Retail Leasing Act (NYMVRLA) is the most comprehensive law in the country to protect consumers who rent new or used vehicles. The New York Attorney General`s Office and the Greater New York Automobile Dealers Association (GNYADA) are proud of their efforts to make renting more understandable and user-friendly for New York city citizens. (Note: Another reader submitted a comment highlighting the fact that vehicle renters pay extra if they exceed the rental mileage assigned to them, but will not be compensated if they bring the vehicle back below the mileage. I`ll come back to this below.) The lease defines your rights and obligations under the lease. This includes immediate payment of all monthly payments and other fees and charges. It also includes timely maintenance and maintenance visits, as recommended by the manufacturer. You may not use the vehicle for any illegal purpose. You must maintain insurance for the vehicle at all times. In almost all rental agreements, you also have to pay for excessive wear and tear or damage to the vehicle at the end of the rental term. Excessive wear and tear and damage usually include: The rental process is often scrutinized and wary, but in New York, consumers can turn to several legal protections. And if you`re warned, you can even make money at the end of your lease. If you terminate the lease prematurely, the law limits the amount the lessor can charge you. New York has some of the strictest laws in the country that protect consumers who rent cars.

Under New York`s Motor Vehicle Retail Leasing Act (MVRLA), you have certain additional rights. These apply to leases of more than four months for personal, family or domestic use. You have the right to: Consumers also have the obligation to comply with all the contractual conditions of their rental agreement. These include, among other things: Now, to the question of returning your vehicle with a mileage significantly lower than the amount allocated for the rental period. Can you get money back? The answer may be yes, but not because the owner gives you a bunch of money as a reward for not increasing your odometer. The New York Car Leasing Act provides important protection to consumers before, during, and when the lease is terminated. You can terminate the lease after 50% of the lease term has expired. However, the dealer may charge overdue lease payments and other amounts due. They may charge you taxes or parking tickets. It may charge a reasonable fee to sell the car.

This may also cause you to pay the difference between the rental balance and the realized value of the vehicle. The “realized value” can be the highest wholesale price or cash offer. ?It can also be the estimated value. As a rule, an independent third party determines the estimated value. If you return the vehicle prematurely, the rental company may not charge you for the excess kilometers. The rental agreement must include a definition of excessive wear and tear and damage, indicating the condition in which you must return the vehicle. The owner or dealer who rents the car to you must provide you with a model rental agreement or, of course, provide it upon request. Be sure to claim these amounts when shopping for a rental agreement.

When making your rental decision, compare these disclosed amounts as well as the comparison of the monthly payment, total rental fee, mileage package, excess mileage fee, purchase option, and other key rental features. Adjusted capitalized cost: Adjusted capitalized cost is the capitalized cost minus a down payment, manufacturer discount or trade-in provision. Adjusted capitalized costs are similar to the amount financed in an installment sale. Adjusted capitalized cost is the amount that serves as the basis for determining your monthly lease payment and early termination obligation. If you rented the vehicle from a Dealer in New York State, the dealer will generally register the vehicle for you by providing the DMV with all of your proof and application for registration. In this case, you don`t have to do anything more. The landlord must inform you if you are responsible for early termination if the rented vehicle is stolen, confiscated or damaged and declared a total loss by your insurance company. The lessor must offer protection against deviations to cover this potential liability at its actual cost, or provide this coverage at no additional cost. You must register your vehicle on your insurance card within 180 days of its entry into force. The DMV office keeps the paper card. Keep the other paper card with the vehicle as proof of insurance. Anyone who drives your vehicle must be able to provide proof of insurance.

New York was the first state in the country to require full lease details. The law governs all leases entered into in New York after August 31, 1995 and gives consumers important legal rights. This brochure explains the key provisions of the law supported by the New York Attorney General`s Office and the Greater New York Automobile Dealers Association (GNYADA) to help consumers better understand leasing. The primary purpose of the Retail Motor Vehicle Leasing Act (VLPPA) is to ensure that you are able to compare lease offers from competing lessors and that you are treated fairly throughout the lease transaction. Disclaimer: You may be required to return the vehicle to the original rental company or family of dealers from which the vehicle originated. Check your conditions. Capitalized costs: This is the amount agreed at the beginning of the lease between you (the tenant) and the concessionaire/leasing company (the lessor) for all items and services included in the lease. Capitalized costs are comparable to the selling price of the vehicle plus all related goods and services. These may include: insurance, guarantees, registration fees and taxes. If you return the vehicle to the lessor upon termination of the rental, excessive wear and tear and damage charges can only be charged in the following circumstances: You have the right to terminate the rental at any time after 50% of the planned rental period and if your obligations are in force.

If you make a payment before signing the rental agreement, you will be entitled to a refund if your application is not approved. If the resale value of the car outweighs its residual value (or the estimated value of your car at the end of a lease), you can make money by selling the vehicle to another dealership. If you simply return the vehicle to the lessor at the end of your lease, the lessor will pocket this additional value, so to speak. .

Comments are closed.