Attorney General Mark Shurtleff announced today that some Utah Ford customers will get $100 checks because they were improperly overcharged when ending their leases early. Ford Motor Credit and four of its Utah dealers have agreed to take part in a settlement that includes Utah and 37 other states.

Under the court-approved agreement, Ford and the dealers will compensate overcharged customers, pay a $6.2 million penalty and change their leasing practices. More than 150,000 customers nationwide were affected by these practices.

In some instances, dealers improperly imposed additional fees on customers who leased vehicles between 1991 and 1994 through Ford Motor Credit and then terminated the leases early. Under the "Red Carpet" leasing program, dealers contacted Ford Motor Credit to get a payoff amount, then quoted the customer higher payoff amounts and retained the difference.

"This will stop the confusion and put the brakes on the way Ford Credit has been handling leases," says Jeff Buckner, the assistant attorney general who represented Utah in the settlement.

Ford made this scheme possible because it refused to give payoff quotes directly to customers, requiring them to get the figure from the dealers. Ford and the dealers agreed to change their practices so customers will not be charged any fees not included in the lease agreement and are forbidden from making misleading statements when customers terminate leases early.

Qualifying customers will receive checks for $100 and will be notified directly by Ford Motor Credit. Customers who may qualify can also get more information by contacting the settlement administrator at 1-800-221-3312 or go to www.gilardi.com.

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