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Two Nissan dealerships in Amityville and Patchogue have agreed to pay over $350,000 for charging customers “junk fees” when they purchased their leased vehicles.
An investigation by the New York State Attorney General’s Office found that South Shore Nissan, in Amityville on Sunrise Highway, and Route 112 Nissan, in Patchogue on Medford Avenue, for years added unnecessary fees or falsified the price of leased vehicles that consumers bought when their lease ended.
Route 112 Nissan was also found to have violated a 2015 settlement with the attorney general’s office by not clearly disclosing the prices of multiple after-sale products, like warranties, that were bundled together.
The AG’s office began investigating after customers reported being given inaccurate receipts and being overcharged for things like “dealership fees” or “administrative fees.”
As part of the settlement, South Shore Nissan will pay $33,191 to 120 overcharged consumers in restitution and pay a $31,200 penalty.
Route 112 Nissan will pay $39,390 to 103 overcharged consumers in restitution and pay a penalty of $250,000 for overcharging for end-of-lease buyouts and violating its prior settlement.
New York Attorney General Letitia James blasted the dealers for what she called cheating hardworking consumers who rely on their cars to get to work or take kids to school.
“Many New Yorkers are struggling to make ends meet and car dealers that add bogus fees onto their bills are making it harder for consumers to keep up with the cost of living,” James said.
“Today we are putting money back in the pockets of defrauded New Yorkers and reminding car dealers to steer clear of violating our laws and deceiving consumers.”
Affected customers do not need to take any action in order to receive a refund. Dealerships have already begun issuing refunds via mailed checks.
Anyone who suspects they were victimized by deceptive or fraudulent lease buyouts is urged to file an online consumer complaint with the New York State Attorney General's office.
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