Anyone else have incorrect Leasing numbers before signing?

[Crunkck]

Hello all, new to the thread and maybe some of you have experienced this. I was supposed to take delivery of an R1T yesterday but pushed it back as my finance numbers were considerably off. 1) Taxes/Title being added to my total price (they're basically showing I'm being charged Cap Cost Tax/Title/Reg twice)that are supposed to be paid when picking up vehicle 2) Trade in value not being shown on Contract Order Summary etc.....Has anyone else experienced this? As Rivian isn't being as punctual with this help, am I supposed to just hope the numbers are right when I pick up the vehicle on Saturday? Any advice would help, thanks!

Also - my vehicle had a final cost of $80,750(Max w/Dual performance)which I though was a steal, and I'm trying to understand as it's not clear how these numbers are added......how is the EV Credit $7,500 and Deposit that equals $8,500 as a cap cost reduction shown? If you add my trade in($3,800), Gas Trade ($5,000) plus 2023 credit ($3,525) shouldn't that show the final price as $20,825 lower than $80,750? so $59,925 (not including taxes/fees/drive off)?

Again, any advice would help so I can clarify what's going on here.....never seen these kind of issues.

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[Kidentist]

Something similar happened to me, I had to speak with one of the "team members" at the Portland SC. After sending screen shots of my account on Rivian, he got the picture.....and then they did some adjustments (mine had a "due at signing" amount that did not match). Hope this helps............

 

[jjswan33]

Sounds like you're leasing. I am not sure I can answer all of your questions without seeing the paper work but at a simplified level the way it works.

Car is 80,750 and you have a predefined residual value, lets say $50k (you have to look at your paperwork). So for the lease the total paid (capitalized cost) is going to be 30,750 + TTL + rent fee

So for example the $7500 tax credit will reduce the cap cost, I am guessing the gas trade and 2023 credit will also likely come off cap costs. Your trade in and $1k deposit may be able to go towards TTL and likely you have to pay the rest before pickup

Then your lease payment will be: Cap Cost - Reductions + any rent fee (interest)/term

So in my hypothetical example: 30750-7500-1000-5000 = 17250 + rent fee. For a 36 month lease that would be $480 + rent fee + any tax on lease payments

Doesn't mean that Rivian didn't mess things up but I thought the explanation might help.

 

[ElectricMike]

how-to-calculate-lease-payments-by-hand

 

[hobbyjogger71]

Your price will never be the 59K number.

I'm not sure how the 5k gas offer or trade-in are accounted for, as I had neither. If you show some screenshots we could attempt to help you understand the financials.

Line 9a is the capitalized cost reduction. This is at minimum the 7500 credit and your 1000 deposit for a total of 8500. If your number is higher there, then they are also accounting for your trade and/or the 5k offer through a CCR.

Discounts that affect the "selling price" would be itemized in the transaction summary under vehicle details. Discounts that are CCRs are in the leasing summary under "credits".

 

[Crunkck]

All this helps, never dealt with EV Credits before and it along with my Trade-In never show up on any vehicle summary. I get the $8,500 being upfront Cost Reductions but not sure why my trade-in isn't in either of these....especially the screen shot on the right, which is part of the agreement I'm supposed to sign.

 

[hobbyjogger71]

That's helpful. The two screenshots you showed are the vehicle summaries, which will not include capitalized cost reductions. Those come in the leasing/financial agreements.

Your selling price will be 72225+1800 destination fee for a total of 74025. The doc fee should show up as a separate line item in the lease agreement.

Your financial breakdown should then list credits (capitalized cost reductions) of -7500 for the EV Tax Credit, -1000 for your deposit, and -3800 for trade allowance. These will all be broken down in line items on the final contract sent to you from Rivian Financial (Chase) 24 hours prior to pickup.

CCRs reduces the overall lease cost you pay for during the lease term, equaling lower monthly payments. Think of this like your down payment in a traditional finance set up. CCRs do not reduce the selling price, but reduce the amount leased.

 

[WildBillTV]

Wait, so we can apply the $7,500 ev credit towards lease? I thought that only worked for vehicles that were financed/purchased not leased.

 

[hobbyjogger71]

The $7500 credit on a lease is a loophole ALL manufacturers are using right now. Leased vehicles are seen by the IRS as "business vehicles" - allowing the manufacturer to take the credit for themselves and offer some or all of it back to the lessee as a capitalized cost reduction.

 

[Crunkck]

All this is much appreciated
1) Looks like the $5K+$3,525 get taken off the vehicle Sub Total ($8,525)
2)$7,500+1K+Trade In are Cap Cost Reductions ($12,359.82)

3)Now I just need them to fix the $2,475 that they double charged me and I should be good to go! Excited to join the community!

 

[R1Sezejay]

All this is much appreciated
1) Looks like the $5K+$3,525 get taken off the vehicle Sub Total ($8,525)
2)$7,500+1K+Trade In are Cap Cost Reductions ($12,359.82)

3)Now I just need them to fix the $2,475 that they double charged me and I should be good to go! Excited to join the community!

The day before your delivery date they will update it and youll get to sign the contract.

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