PSYKICH

"Re-stocking charge"

3 posts in this topic

Previously it had been explained to me in this forum, that when leasing a car an industry standard" is to charge a re-stocking fee, This fee is charged when you do not purchase the car - or buy another car of the same make.  But let me explain a little further.  On the lease contract itself there is indeed a box which mentions this fee. It was my error to not notice it at signing. However, there is no explanation as to exactly in what manner this fee is to be repaid. In this case, first I called the company and after discussing the fee with them, they did lower the amount owed. Again however, nothing was mentioned as to exactly  how it was to be repaid. I received a bill for the amount negotiated down.  At that time it mentioned how much was due and a date when it was due. This is a couple years after the initial amount was signed for with no explaination of terms.  I mailed in a small amount. The next month I received a bill minus the amount I paid and giving a due date.  I mailed in another small amount.

The third month I recveived a phone call  message on my machine stating I needed to return the call.  It did not say exactly what it was about. I returned the call and found out it was a collection agency! They said the company had sold my debt to them and if I didnt' pay it in full immediately it would go to Collections.

I received no prior warning by phone or mail or email.  

Is this whole process legal as to how they are allowed to collect their monies when terms were never initially agreed to? Thank you.

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47 minutes ago, PSYKICH said:

Is this whole process legal as to how they are allowed to collect their monies when terms were never initially agreed to?

 

Yes, it's legal.

 

In the absence of a payment schedule to the contrary, the bill is payable on demand and in full.

 

Your bill is already IN collections, which is what sold to a collection agency means.

 

I suggest you pay the balance immediately before they start adding interest and attorney fees which could double the balance very quickly.

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On 4/19/2017 at 4:50 PM, PSYKICH said:

Is this whole process legal as to how they are allowed to collect their monies when terms were never initially agreed to?

 

You admitted earlier in your post that, "[o]n the lease contract itself there is indeed a box which mentions this fee" and that you simply did "not notice it at signing."  So what do you mean by "never initially agreed to"?

 

If you quote the provision in question, we may be able to explain further.

 

P.S. That something is "industry standard" is irrelevant unless both parties to the contract are part of the "industry" in question.

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