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What is the Ford disposition fee?
I’m looking for a car to lease for a year while I settle into a new job. But I’m confused about this term in the contract. What is the Ford disposition fee?
Bonnie Stinson · Updated on
Reviewed by Shannon Martin, Licensed Insurance Agent.
The Ford disposition fee is something you have to pay to the dealer when you return your Ford after the lease term ends.
As with most other dealers, Ford has a disposition fee usually between $300 to $400.
Why do you have to pay extra money to return your vehicle at the end of a lease? Well, the vehicle needs to be prepared for sale if you decide not to purchase it yourself. This process involves activities that cost money, like cleaning, inspections, storage, and the cost of labor.
A disposition fee is a common clause in most lease agreements.
You can avoid the fee if you purchase the vehicle at the end of your lease term. You might even be able to negotiate it down if you agree to lease or purchase another vehicle from the dealer. But generally speaking, the disposition fee is a standard part of a lease agreement—not a red flag.
Hope this helps!
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- Gregory R.
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