I was told today because of recall 200, Hyundai wants buy back our cars

[Mattsburgh]

I leased a 2019 Kona EV in the Summer of 2019 and so far I am growing increasingly frustrated with the lack of communication on the buyback process from the Sedgewick team. I am quickly souring on the idea of leasing an Ioniq 5 next year. Things started well enough and Hyundai Consumer Affairs seemed very responsive to my concerns. I haven't received any signs of momentum in nearly 4 weeks since the Auto Solutions Team at Sedgewick took over.

4/20: Reached out to Hyundai Consumer Affairs (USA)
4/21: Received email response stating someone would be in touch with me in 3-5 business days
4/27: Received call from Hyundai Consumer Affairs Representative who almost immediately offered a buyback
4/27: Received buyback offer letter just after talking with representative. Said letter explained that I would hear from the Auto Solutions Team at Sedgewick within 5-10 business days and that I should have a copy lease/sales agreement, a payoff quote from the leinholder, a copy of my registration, and a copy of all payments made
5/7: Received email from Sedgewick notifying me that I should send over the paperwork (which I did right away). From that point they told me to expect to receive my buyback offer within 7-10 business days (5/19-5/21)
5/20: Emailed Sedgewick to ask if I should expect to receive the buyback by the following day (10 business days from date I sent over paperwork)
5/20: Received a response stating that even though I sent the payoff as requested, Hyundai Finance payoffs must be received from Hyundai directly and Hyundai just sent this to them earlier in the day (9 business days after I sent other paperwork). At this point I was told the buyback offer calculation would take up to an additional 3 business days (no later than 5/25) and then it goes to Hyundai for final approval and back to me for approval. The rep also mentioned that my lease contract was not fully legible in all fields which was concerning since my car was broken into last year and one of the things they took was this paperwork - all we have to go off of is the dealer provided copy of the contract which is very faint.
5/25: Reached out in the afternoon to verify if the calculation was completed and sent to Hyundai for approval
5/25: Received a response stating they were still working on it (asked if the contract was causing delays - received no clarification/response)
5/27: Emailed asking for an update
5/27: Received response stating "as soon as we know anything new on your case we will let you know" with no clarification that the calculation was completed or where things stand (at this point I just resign myself to waiting until after the holiday weekend)
6/1: Called and emailed again and the 2 people I had been working with were both on vacation and were due to return today, 6/2
6/2: Called again and only get voicemail.
6/2: Received email response stating they have submitted the calculations to Hyundai for approval and once they have the buyback offer they will send to me (no clue when this will be, but they did say they are processing many offers and have to do them in the order they are received so I guess I need to be more patient)

I have to say, we really don't have the best luck when it comes to cars. We also bought a 2019 Bolt and while GM was slow in the beginning they were clear with communication and once we got our buyback offer we were able to turn in the car within 3 days (the total process took just under 6 weeks).

It does seem like there is a lot of wasted time. They're almost certainly using a formula to calculate the value, I feel confident I could use that formula and get the value of a car in 10 minutes once I had all the paperwork and numbers. But we're led to believe for some reason this process takes weeks. Not to mention they pass the buck saying "then we have to go to Hyundai for approval" which is probably true but if it is then why did Hyundai hire you in the first place? Hyundai should have the same formula and be able to see it was applied properly in the same 10 minutes it takes Sedgwick to calculate. But again we're told the process takes week. Your experience does not bode well for me, yesterday was 2 weeks since Sedgwick confirmed they had all my paperwork. When I called at the end of that week just for a follow up, he said I might hear something this week.

 

[Mattsburgh]

Bummer. I guess all the High Taxes I pay in California allowed them to add Used Cars to the Lemmon Law.

I've said this many times already, I guess I have to say it again: Hyundai is not buying your car back because your state lemon law demands it. They are buying it back because they don't have an acceptable fix to the battery fire in an acceptable time frame. The only relevance of your lemon law is how does my particular state calculate depreciation - that is the only relevance of your state lemon law. I don't see any reason why they wouldn't buy your car back even if you bought it used, assuming of course it is one of the affected vehicles. They do not have an acceptable fix in an acceptable time frame for anyone, it doesn't matter if you bought the car, leased it, bought it new or used, or won it on the Price is Right. They're going to buy it back in all circumstances. If you live in the U.S., of course.

 

[Mattsburgh]

I got my phone call from Sedgwick today. I had all the docs ready to send them. They said 7-10 days before I will receive the offer. Then 4-6 weeks before the process is completed. The rep made it clear that it will take that long just in case I'm planning to use buy back funds to purchase another car. She wanted to make sure I understood it would take that long.

Here's my update: Today is 15 days since they confirmed they had all my paperwork. No offer yet and my paperwork was straightforward: no loan, no lease. Just what did I pay for the car, what were the taxes, and what is my current mileage. 15 days, nothing yet. (10 business days, 2 weekends + Memorial day).

 

[Mattsburgh]

I got a call from Sedgwick today. They asked for purchase agreement, sales contract, etc. I asked and was told I will not get any reimbursement for paying a shipping company to get the car in Colorado.
I would not spent the money if I knew I was buying a defective car. Does not seem fair. What are your thoughts?

I get their point here. They are not taking away any part of the service you paid for to get the car delivered there. What I mean is, you paid for something to happen once and then once it's over there is no ongoing "experience" that you get from the delivery.

Let me give you my situation and maybe that will better show my point. I paid to have my car wrapped in vinyl. Vinyl should last 7 or 8 years. I paid $4000 to enjoy having the car exactly the color I want for the next 7 years. I have only experienced 2 years of that. If they buy it back, I lose out on not only the car itself but having it look exactly how I wanted, which I paid for and still have years of time left to enjoy when they buy it back. For that reason, I think they need to compensate me for what they are taking from me. After all, if the Vinyl sales rep had said "it'll only last 2 years" I wouldn't have paid for it. But for 7 years? Yes. But Hyundai wants to deprive me of 5 years of my enjoyment I paid for, and I expect to be compensated. Whether they agree is another story lol. But that's my "angle" and I think it's logical and reasonable.

To me it's all about how you frame it. Are you able to frame delivery at time of purchase in such a way that you are still experiencing or getting enjoyment today? I tried to get your "angle" here but wasn't able to. Sure, you are still enjoying the car and the car wouldn't be there without the delivery but delivery was a one time deal that was paid for and the thing you received in return ended the moment the car arrived where you want it. In other words, if you'd paid not only to have the car shipped to you but also shipped back to Colorado in 5 years (for some reason, who cares, just a hypothetical) - well in that case I'd tell you they owe you half of the cost b/c you only received 1/2 of the service you paid for so far. I didn't do a very good job of explaining this but maybe you get my point anyway. Maybe? lol

 

[Mattsburgh]

Hyundai keeps nagging me to verify the 80% charge limit at a dealer and get my $200 card. Does anyone know if this will affect eligibility for the buyback?

Definitely. They won't even start the process until you go to the dealer and have P29 applied and the dealer confirms that your limit is set to 80%.

 

[Toolworker]

6/7: Received an email from 1 of the 4 people at Sedgewick that I have spoken with over the last month ...

So at least Sedgwick is still in the game.

Someone posted on one of the Kona Electric Facebook groups that they got an offer but they wouldn't disclose how much. They said that the offer was in line with how the CA lemon law would calculate it. They didn't seem disappointed with the offer amount.

That was two weeks ago. Has anyone on this thread gotten a firm buyback offer from Hyundai yet?

 

[Mattsburgh]

Hmm. I find it odd firstly that people would hear about a fire and their response would immediately be to demand a buyback but I also find it odd that Hyundai would even entertain them at that point. But apparently they did. Thanks.

You find it odd because that's not what happened. I can only speak for myself but: I heard about the first fire almost 2 years ago and did nothing while they investigated. Once I heard that they were going to replace all batteries I was satisfied and thought the issue was done except for fighting to get the replacement battery asap.

Then, later, I find out we have to change our max charge to 80% for an indeterminate amount of time. Although I immediately realized this was no longer an acceptable solution for me, I had a long trip (1500 miles or so) coming in 2 weeks and was not about to go get my max limit changed to 80% by the dealer applying a software update, especially since at that time I wasn't sure I could just manually change it back (now of course I know I can, though I haven't).

So I took my trip first and THEN contacted Hyundai to complain. Basically I told them waiting indefinitely at 80% max charge is unacceptable. They asked "what remedy do you propose?" I said "either get me a replacement battery in a reasonable time like the next 4-6 weeks, or, give me a loaner until you have the battery but even in that situation if you don't get me a battery before I move across the country in the fall we're going to have a problem" (although buyback was also an option in my thoughts at this time, I did not mention it as I assumed this would be a long hard fight to get them to even consider doing that). But I was obviously wrong, very wrong, as her response was "would you consider allowing Hyundai to buy back the vehicle?" - and that's how we got there.

It sounds like some people were told this as far back as December, I'm surprised that nobody posted it here before I did when I started this thread.

 

[NRH]

I got a call from Sedgwick today. They asked for purchase agreement, sales contract, etc.
I asked and was told I will not get any reimbursement for paying a shipping company to get the car in Colorado.
I would not spent the money if I knew I was buying a defective car. Does not seem fair. What are your thoughts?

Of course I'm just speculating, but since you asked me (random man on the internet) for my thoughts - I don't think they owe you shipping for the vehicle. They don't sell the vehicle in CO, and you decided to move it there. They're not requiring you to ship your next vehicle from out of state since the deal is not a vehicle replacement, it's a vehicle buy-back.

If they were to reimburse your vehicle shipment to CO, after you purchased it, would that be any different than if Person B had bought the car in their home state, then relocated to Colorado a month later, and had the vehicle shipped to their new home state? I think we'd all agree that Hyundai doesn't owe them a reimbursement of their relocation expenses, and I'm not sure there's a discernible difference between the two. Both you and Person B would need to once again pay a shipping fee if you were to use your buyback proceeds to purchase another Kona.

 

[Toolworker]

I paid to have my car wrapped in vinyl. Vinyl should last 7 or 8 years. I paid $4000 to enjoy having the car exactly the color I want for the next 7 years. I have only experienced 2 years of that. If they buy it back, I lose out ...

And I got $3500 off MSRP on my 2020, and Hyundai will (I assume) pay based on that. I might not be able to come close to that on a replacement, so I might lose out.

Let's not forget - AFAIK they will pay based on the purchase price without deducting the tax credit. So we've all got a built-in profit of $7500 on the transaction, plus being able to swap a used car for a new one, and select a different one if we like. Everyone will come out with a different bottom line, but most of us won't lose.

 

[Mattsburgh]

I'm a bit frustrated with the lack of information on what Hyundai is going to be doing in the USA. They haven't formally said they were planning on buying back our cars or replacing the batteries. I'd just like to know one way or the other of what they want us to do. Does anyone know if legally, they can actually keep our cars at 80% forever without any other type of resolution?

"I'm not an attorney" but I have to assume the answer is no, they cannot. They can't even do it now, which is why you can manually just change it back.

It's all theatrics on their part here, we should all realize this. They confirm it's at 80% and then allow you to just change it back to 90 or 100 if you want. Now it's your fault if the battery catches on fire. (ok I'm exaggerating, but they'll at least claim you contributed to the fire by changing the max charge back after they told you not to). Which is why I haven't changed mine and left it at 80%.

However, if they try to screw me on the buyback (I have no reason to expect they will though, just to be clear) then I'm going to say "well we have two options here, either you give me an acceptable offer or I go back to using the car I bought the way it was intended when you sold it to me, I have to assume if you aren't going to buy it back and refuse to replace the battery it's now ok for me to go back to 100% and drive it normally." And I will put that in writing and send it certified mail. Again... only if it comes to that, I don't expect it will. I'm still "optimistic".

 

[Christian Reading]

And I got $3500 off MSRP on my 2020, and Hyundai will (I assume) pay based on that. I might not be able to come close to that on a replacement, so I might lose out.

Let's not forget - AFAIK they will pay based on the purchase price without deducting the tax credit. So we've all got a built-in profit of $7500 on the transaction, plus being able to swap a used car for a new one, and select a different one if we like. Everyone will come out with a different bottom line, but most of us won't lose.

There is the price you want, a fair price, and the price they are preauthorized to pay. If their offer isn't acceptable, you can pass. You may end up with a repaired vehicle. The buyout should be better due to the $7.5k Federal tax credit.

 

[Mattsburgh]

And I got $3500 off MSRP on my 2020, and Hyundai will (I assume) pay based on that. I might not be able to come close to that on a replacement, so I might lose out.

Let's not forget - AFAIK they will pay based on the purchase price without deducting the tax credit. So we've all got a built-in profit of $7500 on the transaction, plus being able to swap a used car for a new one, and select a different one if we like. Everyone will come out with a different bottom line, but most of us won't lose.

I agree completely. But I still think it's reasonable to ask them to reimburse me for part of the cost of the vinyl. That doesn't mean I will get it and I doesn't mean the offer still won't be good enough for me to accept it. But you can't fault me for at least trying, as I said, I do feel my logic and reasoning here is sound. But as you said, ultimately the tax credit will likely make this a win for most of us regardless. And yes, you are right in your case you're going to get screwed and lose that $3500 under MSRP that you negotiated because they're going to pay you what you paid, not what the sticker price was.

 

[Toolworker]

I agree completely. But I still think it's reasonable to ask them to reimburse me for part of the cost of the vinyl. That doesn't mean I will get it and I doesn't mean the offer still won't be good enough for me to accept it. But you can't fault me for at least trying, as I said, I do feel my logic and reasoning here is sound. But as you said, ultimately the tax credit will likely make this a win for most of us regardless. And yes, you are right in your case you're going to get screwed and lose that $3500 under MSRP that you negotiated because they're going to pay you what you paid, not what the sticker price was.

I agree with everything except "screwed." I'm actually happy to be looking forward to choosing between a Mach-E with lots of new gadgets (even if it doesn't drive as well as the Kona), a 2022 Kona (if they ever get here) or worst case what I've got now but brand new, and a few thousand dollars profit.

Now, what I'm looking forward to, and what actually happens, might be two different things. But from where I sit right now, the glass is more than half full and less than half empty. YGMV.

 

[Mattsburgh]

Sorry, I didn't really mean screwed. I just meant, yes, you negotiated a good price and no, you won't likely get that deal again today and if you do you'll really have to work for it.

Like you I am mostly optimistic here. Originally I definitely did not want to let the car go but honestly my situation has changed so much in the past 2 years that there are other vehicles that make more sense for me right now. Whether I can find one to buy in stock is another story but, whatever. Point is, it took me awhile but I am on board now with the buyback being the best course of action here. And yeah, been enjoying doing some car (window) shopping myself, still haven't made a decision on that.

 

[Chris-Ca]

Sorry, I didn't really mean screwed. I just meant, yes, you negotiated a good price and no, you won't likely get that deal again today and if you do you'll really have to work for it.

Like you I am mostly optimistic here. Originally I definitely did not want to let the car go but honestly my situation has changed so much in the past 2 years that there are other vehicles that make more sense for me right now. Whether I can find one to buy in stock is another story but, whatever. Point is, it took me awhile but I am on board now with the buyback being the best course of action here. And yeah, been enjoying doing some car (window) shopping myself, still haven't made a decision on that.

I'm on hold with customer service to ask about a buyback for my 2019 leased kona ev. At first, i was going to wait for the battery, but regardless if I *need* 100% or not, I am paying for a car that has been limited after purchase. I paid/am paying for a car with reduced capacity due to no fault of my own. $200 doesn't make up for that, especially with it being an unknown timeframe.

 

[Chris-Ca]

Ok just got off the phone with Hyundai Customer service. At first she told me I should wait for the resolution and that if I have an issue to bring it in to get repaired and they will reimburse me, I assume for rental car or whatever. I mentioned I know others have been getting buyback offers and there is no resolution plus I am only supposed to charge to 80%. She then said she will send it to Hyundai National (I guess that means corporate) to a case manager. She gave me the case # and said they will get back to me (I didn't hear the timeframe because the connection got garbled for a minute). Tho she said it could take shorter than whatever she said (assume she probably said many weeks).

 

[hobbit]

I suspect buyback offers will proceed much like my "butthurt" insurance settlement. Some determination
of "market value" at the time, possibly with some bit of sleazy lowballing thrown in. Stuff you've done to
the car doesn't change that, unless you've put an extra endorsement on high-value accessories or mods.
If you can negotiate about stuff like vinyl, I'd say you're very lucky.

My "angle" on the settlement was that 2019 Konas were no longer available. I asserted that not
considering that was insulting, not to mention against their own wording, especially for a no-fault
claim. It was a little bit of uphill battle, but they listened.

_H*

 

[Chris Alemany]

May I ask, if people are willing, if you have been successful in negotiating a buyback, what dollar amount you received?

Might help others (ok me ) to know what to expect or ask for.

Thanks all!


Sent from my iPad using Inside EVs

 

[Jamas]

Here's my update: Today is 15 days since they confirmed they had all my paperwork. No offer yet and my paperwork was straightforward: no loan, no lease. Just what did I pay for the car, what were the taxes, and what is my current mileage. 15 days, nothing yet. (10 business days, 2 weekends + Memorial day).

Same here. Straight forward cash purchase and still waiting.

 

[Mattsburgh]

I suspect buyback offers will proceed much like my "butthurt" insurance settlement. Some determination
of "market value" at the time, possibly with some bit of sleazy lowballing thrown in. Stuff you've done to
the car doesn't change that, unless you've put an extra endorsement on high-value accessories or mods.
If you can negotiate about stuff like vinyl, I'd say you're very lucky.

My "angle" on the settlement was that 2019 Konas were no longer available. I asserted that not
considering that was insulting, not to mention against their own wording, especially for a no-fault
claim. It was a little bit of uphill battle, but they listened.

_H*

The time frame the generic front line customer support gives is 5 business days and no sooner than that. The reality is, because of the severity of the defect, any time you open a ticket on a Kona Electric you get contacted within about 24-48 hours. And they even told me they contacted me right away b/c of that. That is, she confirmed usually it would be a week or more but because it's about the Kona Electric, she moved me up and contacted me right away. My friend has a Kona Electric and heard the next day, so about 24 hours, while my wait was closer to 48 hours.