Tesla X lease buyout nightmare: Tesla finance ghosting customer after receiving buyout payment

[Sagaponack]

I wanted to roll over into a new Tesla X but given the constant delays I decided to initiate a buyout over a month ago.

After paying Tesla in full, I have yet to receive title and cannot trade-in my vehicle for a temporary car. Tesla has my $55,000 and I don’t have a title. You can’t speak to an individual and every time you call they either have no information or promise to call you back in two hours.

I simply want my funds back or a title. Tesla cannot accept payment and then not send a title to the car. Without it, you don’t own it.

Does anyone have the name, number and email of a human who can help?

The 1-800 number and tesla finance email is a waste of time.

Thank you!

Rob

VIN #5YJXCBE26JF102286

 

[jboy210]

I wanted to roll over into a new Tesla X but given the constant delays I decided to initiate a buyout over a month ago.

After paying Tesla in full, I have yet to receive title and cannot trade-in my vehicle for a temporary car. Tesla has my $55,000 and I don’t have a title. You can’t speak to an individual and every time you call they either have no information or promise to call you back in two hours.

I simply want my funds back or a title. Tesla cannot accept payment and then not send a title to the car. Without it, you don’t own it.

Does anyone have the name, number and email of a human who can help?

The 1-800 number and tesla finance email is a waste of time.

Thank you!

Rob

VIN #5YJXCBE26JF102286

Last time I bought the title on our leased car, BMW. It took them 2 months or so to get the permanent title. The DMV was able to provide me with a temporary title. Not sure if a temp title that is good enough to sell a car.

 

[Cutch26]

I wanted to roll over into a new Tesla X but given the constant delays I decided to initiate a buyout over a month ago.

After paying Tesla in full, I have yet to receive title and cannot trade-in my vehicle for a temporary car. Tesla has my $55,000 and I don’t have a title. You can’t speak to an individual and every time you call they either have no information or promise to call you back in two hours.

I simply want my funds back or a title. Tesla cannot accept payment and then not send a title to the car. Without it, you don’t own it.

Does anyone have the name, number and email of a human who can help?

The 1-800 number and tesla finance email is a waste of time.

Thank you!

Rob

VIN #5YJXCBE26JF102286

Tesla did this to us as well when we bought out our lease.. we’ve been trying to get the title for 2 years now.. good luck! And if you end up figuring it out please let us know how!

 

[neo1738]

Also depends on your state. In ohio you need a special odometer statement and limited POA to allow Tesla (or any dealer) to change the title to your name.

 

[kennybroh]

Tesla did this to us as well when we bought out our lease.. we’ve been trying to get the title for 2 years now.. good luck! And if you end up figuring it out please let us know how!

Two years??? That's insane.

 

[Cutch26]

Yup.. couldn’t trade it in for my plaid X so now I have two

 

[Cutch26]

Two years??? That's insane.

Harrisburg seems to be finally fixing it so I’m hoping to get the title from them within the next month

 

[Grandpa]

I wanted to roll over into a new Tesla X but given the constant delays I decided to initiate a buyout over a month ago.

After paying Tesla in full, I have yet to receive title and cannot trade-in my vehicle for a temporary car. Tesla has my $55,000 and I don’t have a title. You can’t speak to an individual and every time you call they either have no information or promise to call you back in two hours.

I simply want my funds back or a title. Tesla cannot accept payment and then not send a title to the car. Without it, you don’t own it.

Does anyone have the name, number and email of a human who can help?

The 1-800 number and tesla finance email is a waste of time.

Thank you!

Rob

VIN #5YJXCBE26JF102286

We have a similar experience so far. We bought out our Model X lease by wire transfer to Tesla, for the full amount ($66,500), which they acknowledged. They said that California takes 4-6 weeks to process the title. We are in the process of purchasing a MYP, which we thought would arrive in July, but now will arrive in two days (May 25). Tesla has told us the trade-in value on the MYX is $88,500. Carvanna will give us $94,000. But we need a formal title from DMV. Here's an interesting issue: in California, we have to pay sales tax of 8.5% on the purchase price of the Tesla. But if we sell the car within 10 days, we don't have to pay the tax (about$5,600). So we have a narrow window, which we are watching like hawks. We have told our Tesla sales rep about the problem, and so we will not be purchasing the car until we have a title, so we can resell to Carvanna or trade-in to Tesla. The trade-in alone will be enough to purchase the MYP. Anyone else have an experience like this? This seems like it is becoming Tesla's problem...

 

[jboy210]

We have a similar experience so far. We bought out our Model X lease by wire transfer to Tesla, for the full amount ($66,500), which they acknowledged. They said that California takes 4-6 weeks to process the title. We are in the process of purchasing a MYP, which we thought would arrive in July, but now will arrive in two days (May 25). Tesla has told us the trade-in value on the MYX is $88,500. Carvanna will give us $94,000. But we need a formal title from DMV. Here's an interesting issue: in California, we have to pay sales tax of 8.5% on the purchase price of the Tesla. But if we sell the car within 10 days, we don't have to pay the tax (about$5,600). So we have a narrow window, which we are watching like hawks. We have told our Tesla sales rep about the problem, and so we will not be purchasing the car until we have a title, so we can resell to Carvanna or trade-in to Tesla. The trade-in alone will be enough to purchase the MYP. Anyone else have an experience like this? This seems like it is becoming Tesla's problem...

Interesting to here about the tax window. Is there any issue with doing this? That is, does the state require a dealer license if you do this a few times?
I hope the lease sale side of the business can talk to the new car purchase side of the business. Depending upon the details I might look into something like this when my 2022 X lease runs out.

 

[Grandpa]

Interesting to here about the tax window. Is there any issue with doing this? That is, does the state require a dealer license if you do this a few times?
I hope the lease sale side of the business can talk to the new car purchase side of the business. Depending upon the details I might look into something like this when my 2022 X lease runs out.

Here's an excerpt from California's revenue and tax code section 6277:
"
There shall be a presumption that a transfer of a vehicle to a lessee by a lessor, as defined in Section 372 of the Vehicle Code, was a sale for resale if the lessee transfers title and registration to a third party within 10 days from the date the lessee acquired title from the lessor at the expiration or termination of a lease. The presumption may be rebutted by evidence that the sale was not for resale prior to use.
It is the intent of the Legislature in enacting this section to recognize the delay in processing documents when a lessee wishes to transfer title of a leased vehicle to a third party at the expiration or termination of a lease rather than acquiring a vehicle for his or her own use."

When the Tesla title documents arrive in our mail, I understand that Tesla will want us to go to the DMV to finalize the paperwork. It may be that the DMV will insist on our payment of a use or sales tax. I will present section 6277 as creating a presumption that the tax is not due or owed, provided title passes to a third-party within 10 days. (Naturally, in California, that third-party, when he or she registers the vehicle, will have to pay a sales tax. Or, if it is an exempt organization, then whoever the ultimate buyer of the car is will pay the tax. What I want to avoid is being taxed twice). Not sure, at this point, how this interaction at DMV will work.

 

[SDRick]

I just went through the process. It is a royal PITA. Tesla does not make matters any easier. First, save and document everything. You can either pay the tax and ask for a refund which will take 3 to 9 months or get a special form signed off by the tax division (not DMV) and take that to the DMV.

 

[mfdutra]

I'm just through this nightmare now. I bought out my lease over a month ago and they just ghosted me. They won't reply to emails, voicemail, etc. Not a single human to speak to. Unbelievable arrogance.

 

[sorka]

Tesla did this to us as well when we bought out our lease.. we’ve been trying to get the title for 2 years now.. good luck! And if you end up figuring it out please let us know how!

In some states, you can goto DMV with proof that you satisfied the lease buyout terms and have them invalidate the existing title and issue you a new one. In other states, you may have to hire an attorney, file a lawsuit and then either 1) Tesla will respond and give you your title or 2) you goto court (Tesla probably won't show up), show that you've satisfied the lease buyout, and have the judge issue a judgment/declaration that the vehicle is yours and that the previous title is invalid at which point you'd goto DMV with the judgement.

 

[Newshapes]

I have been dealing with this here in CT now for a month. I thought perhaps I had just not talked to the right person at Tesla..really sorry to see that it is a deliberate tactic on TESLAs part. I will have to talk to an attorney but wondering if this is not a class action type of thing?

 

[Newshapes]

I actually have the title transfer paperwork from Tesla, however the state of CT insists that the leasing company must collect the tax! They will not process the title change or allow me to register the vehicle. I will be calling the state A.G. Monday and an attorney as well....