Ford Motor Credit Corp. and over 1,300 dealers agreed to pay restitution to about 150,000 customers who were overcharged when ending their leases early to buy the vehicles. They will have to pay more than $6.2 million in legal fees and costs, said the New York State attorney general's office.
The national settlement involves 38 states. The states had started an investigation into Ford's leasing practices, particularly the "Red Carpet" program, in 1991. According to the investigation, dealers packed hidden charges into the lease pay-off quotes to keep for themselves.
