I have seen many Toyota enthusiasts on this website so I have a good industry question.
I have personally witnessed many "cheap" Toyota leases end up in huge backcharges for things as minor as pedal pads, paint jobs and questionable tires. It seems to me that Toyota buys market share by subsidizing their lease rates then backcharging the customer when the lease is over to make up for the inflated residual. The Toyota dealer sometimes tries to trap the customer by offering to roll the backcharges into a new lease with even greater residuals and subsidized rates futher trapping the end user into being a lifelong Toyota user.
To be fair, I want to emphasize that this is witnessed only by our local Toyota dealer and I don't want to speak for Toyota in general but I would like to hear some responses by past lessee's and other Toyota buffs. I would like to know if this is a local phenomenon or if this is how Toyota is grabbing market share.
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the toyota dealer here does the same thing as you guys are discussing and shockingly toyota has ownership shares in the dealership!
as far as the emissions must have been a bright customer to buy the yale and find this issue 3 months later!
toyota sales tactic, ive seen them compare a brand new truck against a truck with 20,000 hrs and say see its very fuel efficient!
welcome to the toyota world
Not sure about Toyota National Accounts being #1 but Toyota dealers HATE Toyota National Accounts.
You should be able to contact the dealer in Atlanta. Give them the model and s/n and the should be able to help. : (404) 373-1606
ToyotaMan do you have any software and service manuals for 7FBCU25/68489 that I can buy or borrow I got these toyota's from a plant that closed we have a small clothing plant trying to start up and I don't know anything about them.
Toyota does have a very good national account program, however I think Crown may be better.
Again, in your scenario any dealer representing any manufacturer could have done the same thing.
First, Toyota is #1 because they are so aggressive on national accounts. Toyota owns national accounts and this continually keeps them on top, their market share without national accounts considered is not #1. However, that being said, they still make a good truck and they do a good job with the national accounts which strengthens their dealers. It is the individual dealers that are responsible for the backcharging, but it seems to run in the Toyota family. I think a lot of that has to do with the fact that Toyota is so hard on their dealers and are always pushing them to sell more trucks. The dealers do what they have to so they meet quota.
As far as the 65k trucks, very large cushion tired trucks with 300 inch quads, five way hosing and special attachments. I think another reason this customer got hosed so bad with backcharges is because the Toyota dealer had to hold a high residual to get the deal hoping for a possible continuation of the lease on a year by year basis. When the customer wanted to send the trucks back the dealer knew they had a pile of pink elephants to sell and had way too much money in the residual to sell them. The dealer didn't see a possibility for any new truck sales to the customer so just backcharged for anything they could find to buy down the residual and get out from under the trucks at a break even. Not an ethical way to do business. The other OEM's lost the sale because they held a realistic residual therefore had higher payments.
By the way BATMAN, what size Toyota costs $65k each?
Don't you know.... Toyota has been #1 since 2002 because they backcharge their customers for everything!!!!
And customers enjoy this and continue to purchase more equipment from Toyota!!!
I'm joking!!! This is on a dealer by dealer basis. Any dealer and con do this. Dealers that continue this practice will loose business over the long run.
Toyota seems to be a magnet for this attention since they have been #1 for so long and when you're on top everyone else tries to pull you down.
I was quoting real world experience. A company leased 7 Toyota's valued at approximately $65k each, about $455k worth of lift trucks. The lease was never picked apart under a microscope and when the end of lease came around the purchaser was at another company. The company returning the trucks was liable for paint, pedal pads, seats, oil leaks, brakes, etc. The trucks had to be in the condition that they were delivered. I suspect the purchaser had a great rapport with the truck sales person. The lease was probably looked at by in house legal staff but just for general legal terms, payment terms, etc. not picked apart under a microscope to make sure that you weren't going to be cheated and ripped off. It is unfortunate but today's business ethics make it mandatory to check over everything with a fine tooth comb.
RESPONSE TO: batman...., Most large companies have an attorney at hand or some have legal departments that handle other issues. I know some people who wished they had some type of legal advice before leasing a car, no malice towards you intended but 20 forklifts is a big "chunk" of money, I would venture to say that the cost of an attorney "Having-a-look-see" at the lease would be lot less than several thousands of $$$ at end of lease that all could have been avoided. just a humble opinion---might be worth what I charge for it. I totally agree with you concerning the abuse of the trust because of $$, it is sad that it happens but we live in a new world now, the old "HANDSHAKE" days of doing business and a mans "WORD"was his bond have long since gone, you have to cover your "hindend" with any deal anymore because of the $$ factor. I do appreciate your candor, this seems to be hot topic.
Drlifttruck: In the REAL world there is a customer/client relationship built between two business people that is built on trust and understanding. It's unfortunate that sometimes this trust is taken advantage of due to profit or the sake of making a sale. And yes, even "college" educated people make this same mistake.
Here is one scenerio that I actually witnessed more than once: A corporate purchasing agent (he/she is college educated) needs to purchase/lease 20 new forklifts to replace the aging costly fleet. He wants to look good to upper management so he goes for the most cost effective alternative. (the cheapest monthly payment) There are six lift truck companies bidding on the contract. The purchaser picks the cheapest contract and at the end of the five or six year lease the company owes boat loads of money on the trucks. The original purchaser doesn't care because he has already moved on and is working for another company. Now the dealer pushes the new purchaser into another contract to cover the end of lease costs of the previous contract.
How many of you have leased a car and taken the lease contract to your attorney before signing?
response to Drlifttruck: BINGO!---been a-waitin' for this one: I think every outfit has "FINE PRINT" that most people do not read. Customers need to have any lease document examined by a lawyer if they have to, some folks will not tell you if you do not ask, The "end "of a lease is a bad time to find out what you agreed to by the stroke of a pen.....Leases come in different sizes and colors, It is the customers responsibility to check everything out so they know what they are getting into before they sign---"can't blame the leassor for what you signed for" ---Don't be pressured by the people who are trying to get you signed up and accept NOTHING "VERBAL" , get it in writing. The Payment amount depends on the "end of lease term" expectations--maintenace and repair issues and so on---these issues affect payment amounts, the "bargain basement" payments will bite you at the end of term if you don,t read the fine print.
Does anybody realy care!
Lease is a loose term.
Read the contract before you sign.
Mostly (LEASE) is dictated by the dealer( FINANCE COMPANY ETC!), not the OEM!
Good God Miss Molly!
Grow up get a business education will ya!
It will usually depend on the leasing company. I've found some such as citicorp can be very picky on items while others are more easy going. It is usually covered in the long and wordy contract. If you are using manufacturer leasing you may be more tied up...just always be sure your contract matches the leasing company or you will be left holding the bag for return charges.
Respose to duodeluxe: Kind of like the new add by the railroad folks hauling several tons of freight several hundred miles on one gallon of diesel.
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