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  • Report:  #434421

Complaint Review: Yorkdale Volkswagon - Toronto Ontario

Reported By:
- Toronto, Ontario,
Submitted:
Updated:

Yorkdale Volkswagon
600 Wilson Avenue Toronto, M3K1C9 Ontario, Canada
Phone:
416-741-7480
Web:
N/A
Categories:
Tell us has your experience with this business or person been good? What's this?
I am so ashamed. I've been scammed twice by Yorkdale Volkswagon o/b 2031113. I know I should have been more on the ball. I probably cannot do anything about it. Hopefully, others will not make the same mistakes as me. Shop elsewhere.

I leased a new VW Passat CC through this dealer. They used an offer to lease form which doesn't include the selling price of the vehicle on it. They told me the purchasing price was $34,735,which included the base price of $31,975 + $1,400 for auto transmission and $1,360 for freight and PDI. The leasing company is VW Credit Canada Inc. The numbers were the same as posted on VW Canada's website. The monthly payments were a little more than what I wanted to pay so I asked if they could lower the purchase price enough to make the monthly lease payment an amount of $350 per month (this included an $8,000 trade-in). The salesman told me that he required my credit card in order to present this to his manager. He came back with a reworked offer to lease form and told me I have a deal. At that time, the salesman took my ownership papers for the car I was going to trade-in.

What they did not tell me was that they retained the same purchase price, but increased the amount I would have to pay up front, not to mention that they used a slightly higher interest rate to calculate the lease payments than the amount posted on VW Canada's website. After I released what they did, I called the new car sales manager to complain and ask for my $1,000 deposit back. He would not give back the deposit. He agreed to reduce the up-front payment by $700, while maintaining everything else the same. Further I was told that I could have the car in the colour scheme that I wanted by the end of the week. I later found out that they do not have the car I wanted, and promised to order one for me from the manufacturer. The car arrived three weeks later. It did not come from directly the manufacturer. Instead, they acquired it from another dealer and had a manufacture date that was five months old, meaning it had sat through the Canadian winter -- they did not disclose this to me.

When I picked up the car and fill out the leasing paperwork, the leasing rate offered by VW Credit Canada had dropped from 4.9 to 2.9%. The dealer had forms for me to sign which stated that the interest rate was 2.9% but the monthly payments or up-front payments had not changed. The residual value had been lowered by a mere $340.00. Again the purchase price was not disclosed on the new offer to lease form. When I pointed out that the lower interest rate should have a more significant effect on lowering either the up-front payments or the monthly lease payments, I was told that the effect was minimal. The Business Manager told me that they made $250 and he would make it up to me in services. At this point they already had my car and my insurance had already been transferred to the new car. So I just took his word for it. However, the lease agreement itself, which is an entirely different document, only presented to me after all of the above had occurred, contained a Vehicle Selling Price that was $37,662.83. This price was significantly higher than the MSRP of the vehicle, and when I questioned it I was told it includes freight, security deposit and first month payments as well as some other small charges. Not having a computer with me at the dealership, these items cannot be easily checked. After getting home, I realized they the selling price only included freight, not security deposit and first month payment and was $3,319.83 above the selling price I had agreed to. Do I have any recourse against this dealer?

Lucretius

Toronto, Ontario

Canada


1 Updates & Rebuttals

Lucretius

Toronto,
Ontario,
Canada
Yorkdale Volkswagen, Toronto, Ontario - Complaint

#2Author of original report

Wed, April 29, 2009

I leased a new 2009 VW Passat CC through Yorkdale Volkswagen o/b 2031113 Ontario Limited (also known as York Volkswagen). The leasing company is VW Credit Canada Inc. I was overcharged $2,928 by this dealership. In addition, the dealership also reneged on a $700 price reduction they offered me, bringing the overcharge to $3,628. I visited the dealership on Saturday February 21, 2009. After having discussed the price of the vehicle with the Salesman, he went into the Sales Manager's office where I was not invited and the two of them prepared the Officer to Lease form on their company form. This Offer to Lease form was prepared based on a vehicle selling price that was $2,125 higher than what we had discussed (and $2,125 higher than the MSRP) therefore, the price was misrepresented. The form also did not disclose the vehicle selling price and neither the Sales Manager nor the Salesman informed me of the increase in selling price, as is required under the Consumer Protection Act (of Ontario). I did not understand what I was entering into due to the aforementioned lack of disclosure. Further, I did not have a payment calculator available to me in which I could have calculated the price that Yorkdale Volkswagen failed to disclose. In fact, in our subsequent conversations, the Sales Manager claimed that the selling price was irrelevant! To add insult to injury, due to a drop in the interest rate offered by VW Credit Canada at the time of vehicle delivery, Yorkdale Volkswagen further increased the selling price an additional $803 without proper disclosure, leading to a total overcharge of $2,928. Further, the Sales Manager reneged on the $700 price reduction he offered me the price was instead increased bringing the overcharge to $3,628. I was shown the final lease agreement only after my trade-in vehicle had been taken from me and my insurance on that car had elapsed. Upon seeing that I agreement, I informed the Business Manager that the vehicle selling price listed on that document was higher than the vehicle price I had agreed to. The Business Manager told me the amount included freight, security deposit and the first lease payment, as well as some other small charges. He further said that they only made an additional $250 due to the interest rate drop. I had told him that I did not want to sign the agreement. He told me that I did not have a choice, since I had signed the Offer to Lease documents. I had no way of checking the Business Manager's information at the time but now it is clear that the information provided by him was a misrepresentation. I have tried to cancel the agreement at various stages and I have given the Sales Manager various opportunities to correct the errors noted above. The Sales Manager has steadfastly refused and indeed he has said that he is unwilling to debate the issue. Therefore, I must conclude that his actions and those of Yorkdale Volkswagen were deceptive and unconscionable.

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