Politics & Government
NY Nissan Dealers Must Pay $3.2M For Overcharging Customers: AG
More than 1,700 New Yorkers were overcharged for end-of-lease buyouts, according to the state Attorney General's office.
NEW YORK — Nissan customers who purchased their vehicles after their leases expired may be getting some money back.
On Tuesday, state Attorney General Letitia James announced her office has secured more than $3.2 million from eight Nissan dealerships for overcharging more than 1,700 New Yorkers.
The customers bought their leased vehicles at the end of their lease term.
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The eight dealerships are in New York City, the Hudson Valley, and on Long Island.
They include Action Nissan, Bay Ridge Nissan, Legend Nissan, Garden City Nissan, Huntington Nissan, Rockaway Nissan, Smithtown Nissan and Teddy Nissan, according to the Attorney General’s office.
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The $3.2 million includes $400,000 in penalties and $2.8 million for customer reimbursement.
An investigation showed the dealerships “added junk fees or falsified the price of leased vehicles that customers wanted to buy when their lease ended, forcing them to pay higher costs,” according to the attorney general’s office.
The office launched an investigation after receiving complaints from consumers.
“Buying a car is a major financial decision, and no one should have to worry about dealers using illegal junk fees to drive up the price,” James said.
Under the agreements announced this week:
- Action Nissan in Rockland County will pay $157,958 to 192 overcharged consumers and pay a $47,920 penalty;
- Bay Ridge Nissan in Brooklyn will pay $23,624 to 46 overcharged consumers and pay a $11,960 penalty;
- Garden City Nissan in Nassau County will pay $824,013 to 361 overcharged consumers and pay a $89,624 penalty;
- Huntington Nissan in Suffolk County will pay $426,654 to 275 overcharged consumers and pay a $68,750 penalty;
- Legend Nissan in Syosset, Nassau County will pay $333,482 to 233 overcharged consumers and pay a $20,000 penalty;
- Rockaway Nissan in Queens will pay $308,918 to 177 overcharged consumers and pay a $44,250 penalty;
- Smithtown Nissan in Suffolk County will pay $643,640 to 321 overcharged consumers and pay a $80,250 penalty; and
- Teddy Nissan in the Bronx will pay $108,773 to 156 overcharged consumers and pay a $35,560 penalty.
Customers entitled to restitution do not need to take any action to receive the payment. The dealerships have started paying restitution through mailed checks and will do so throughout the year.
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