Originally Posted by da mayor

MSD's are not allowed on any lease for New York state... it's written in black and white nationally and I guess they did not catch that.

Originally Posted by zhaofl

I too leased my car in Massachusetts. The dealer also messed up and over charged me for the security deposit. One month later, IFS voided the contract and I had to go back to the dealership to sign a new contract. Basically the finance manager at the dealership had to fudge the number so that my monthly payment stayed the same and cut me a check for the overcharge.

Though, your case is much more complicated. I would imagine that the dealer will have a huge loss if they just take back the car. Most likely they will ask you to sign a new contract. Worst case, you get the MSD back and you will have the monthly payment recalculated based on the original money factor. Your best scenario is that they refund you all the security deposit and keep the monthly payment the same, basically you get around $2000 saving for free. Unlikely to happen, but the dealer messed all this up and you have all the leverage. Just negotiate with them firmly, and you may get somewhat of a reduced monthly payment without any security deposit.

On a side note, IFS is really inefficient regarding lease. I got my car almost for two months now, but they still haven't set up my payment in the system. So yeah, I am riding the car for free now.

Originally Posted by da mayor

i can't speak for other banks but i get inquiries all the time about this.

my issue about MSD's... imagine someone hits you and totals your car out ... how much of a PITA will it take to get them back?

Originally Posted by carz

is this on all leases or just for infiniti? If all leases, how did our buddy with the BMW do it?

Originally Posted by da mayor

i think maybe he did a prepayment instead of a MSD... i never saw his contract from his BMW but thats probably how that arrived.

Originally Posted by TheIvoryG

Not as hard as getting back a down payment

That being said I'm not sold on MSDs either. Something just seems fishy about them. I have leased enough at this point that Infiniti gives me great deals so I don't need to haggle too much to get to a comfortable point.

Originally Posted by dibtastic

Maybe this is why mine was rejected as well. How much is each MSD supposed to cost?

Originally Posted by dibtastic

Maybe this is why mine was rejected as well. How much is each MSD supposed to cost?

Originally Posted by da mayor

my issue about MSD's... imagine someone hits you and totals your car out ... how much of a PITA will it take to get them back?

Originally Posted by zhaofl

Each MSD should be the monthly payment with the original money factor plus tax and round it even to the next $50. However, your case is totally different as NY state does not even allow MSD.



The total loss will be covered by the insurance company and GAP insurance. The fine print in the lease agreement pretty much states that security deposit will only be used to offset past due payment in the event of damage and loss. I am sure there were some abuses of the security deposit policy before and there maybe some lawsuits tossed around. So now IFS is really stringent regarding the MSD now. The intent of the NY state law is probably to protect consumers from the abuse of security deposit. But in the meantime, it also deprive consumers the opportunity to utilize the great saving of MSD.