DETROIT --Ford Motor Credit will provide restitution to about 150,000 consumers who were overcharged in the 1990s when they terminated their auto leases early to buy leased cars, Reuters reported on Thursday.
The settlement with 38 U.S. states also involves over 1,300 Ford and Lincoln Mercury dealers who will jointly pay more than $6.2 million in legal fees and costs, state attorneys-general said.
The settlement involves Ford Motor Credit's "Red Carpet" leasing program. State investigators discovered that early termination of vehicle leases resulted in unauthorized charges to customers that were sometimes higher than the actual balance owed on the lease.
Consumers may be eligible for restitution if they terminated their leases early between 1991 and 1999 to purchase leased cars and did not receive a pay-off quote directly from Ford Motor Credit. They may qualify for $100 refunds under terms of the settlement.
Victims will be notified directly by the company of their eligibility. Other consumers also may participate by contacting the administrator of the settlement at 1-800-221-3312 or online here