# Link to Santander Lease Agreement



## Schulz (Nov 25, 2014)

Link to Santander lease agreement http://redd.it/2rvdee

If anyone has read the entire lease agreement, is there anything to watch out for, or unusual, in the lease agreement? What's the 411 on this lease? Is it a good or bad deal? What about this part of the lease (see below)? Is this unusual? Santander can remotely disable your vehicle if you are shopping for groceries or out on a date in your leased car, because you are not at that moment using it to drive for UBER?

*"B. Vehicle Use *Lessee will lease the Vehicle exclusively for business and commercial purposes as a livery vehicle to meet riders' requests conveyed through Uber during the term of the Lease."

and this...

*"
GPS/Starter Interrupt Notice: Your Vehicle may be equipped with a Global Positioning System ("GPS") unit or other location tracking system that will allow the vehicle to be monitored by Lessor. Additionally, your Vehicle may be equipped with a starter interrupt system that will allow the Vehicle to be shut down or disabled remotely. Any tampering with the GPS unit, starter interrupt system or other location tracking system will cause a default in the Lease. You also agree that Lessor may track the location of your Vehicle, cellular telephone or other mobile computer at least to the full extent that you have granted Uber the right and ability to track such location."*


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## Actionjax (Oct 6, 2014)

Well based on what I have read here is the deal in a nutshell.

1) You are going to use the car exclusively for Uber work and Uber work only.
2) You are responsible for everything on the car and it's full upkeep to the requirements of the manufacturer.
3) You have no rights to sue the company for any reason...you waive that
4) You must pay the amount you have agreed to in full. Regardless of any kind of market situation or health situation. It's fixed and that's it.
5) There are penalties to get out of the contract and that you are responsible to pay all penalties. This is not just the $1000 and you are out. There are also some other charges that can come up like if they deem that the car needs work when you bring it in you are on the hook for it. (Tires, brakes)
6) The mileage per year vs. how much you need to drive could be an issue if the market gets tight.
7) You and only you can drive it. You can't shift it out for anyone else.
8) They dictate who you get body work done on it, who you use for insurance within reason. What coverage you must keep in place. (To protect their asset)

Is it a good deal? Well if I was paying $100 a week to make $1000 I would say for sure.

But if I'm paying $1000 per week to make $100 then no.

A good rule of thumb would be 35% of your income should go towards all costs of the vehicle and all expenses around the vehicle. This will give you room for 3 things. A salary, savings, and hopefully money to put aside so next time you need to finance a car you have some of your own money in the game and you can get better finance rates and better terms on a car.

The fact that there is a buyout is kind of funny. When you are done with the lease toy can sell the car for scrap. If you don't go broke for maintenance.

Hope that helps a bit.


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## Schulz (Nov 25, 2014)

Thanks Actionjax. This contract is bs. If they feel like it Santander can sync with Uber to determine if you are signed-on and driving (for Uber) or instead you drove 200 miles to see your family for Christmas and drove the vehicle for non-business related activities. BS!


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## MiamiFlyer (Sep 22, 2014)

RUN RUN RUN.
You do not need a new car for Uber.
These are only offered at high interest.
at .90/mile, that's a lot of driving just to break even.

I highly suggest not buying a car for Uber, look at how happy everyone is with today's rate cut.
...but if you still insist, go cheap and reliable, not new and overpriced.


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## Actionjax (Oct 6, 2014)

T


Schulz said:


> Thanks Actionjax. This contract is bs. If they feel like it Santander can sync with Uber to determine if you are signed-on and driving (for Uber) or instead you drove 200 miles to see your family for Christmas and drove the vehicle for non-business related activities. BS!


That is correct...They can get any and all info on your Uber activities to ensure you are meting your contractual terms. Any personal use...you are in default.


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## Worcester Sauce (Aug 20, 2014)

MiamiFlyer said:


> RUN RUN RUN.
> You do not need a new car for Uber.
> These are only offered at high interest.
> at .90/mile, that's a lot of driving just to break even.
> ...


Miami Flyer said it best........RUN (fast).


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## LAuberX (Jun 3, 2014)

Lease a car?

Rate cuts in 48 cities and somebody wants to depend on Uber?

Insanity.


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## Actionjax (Oct 6, 2014)

MiamiFlyer said:


> RUN RUN RUN.
> You do not need a new car for Uber.
> These are only offered at high interest.
> at .90/mile, that's a lot of driving just to break even.
> ...


Agree....I think the market with Uber is to volatile to consider a commitment like this. Now if there was something like a minimum Guarantee in the agreement that you will make per hour regardless of what the market is doing and it covers you. well then go for it.

Issue is.

Lease is a fixed unmoving cost that's is high in a average market.

Uber is a fluctuating revenue trending downwards. And the market is slowing.

The math does not add up to do this.


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## Worcester Sauce (Aug 20, 2014)

Y


Actionjax said:


> Well based on what I have read here is the deal in a nutshell.
> 
> 1) You are going to use the car exclusively for Uber work and Uber work only.
> 2) You are responsible for everything on the car and it's full upkeep to the requirements of the manufacturer.
> ...


Good analysis....but you are being to charitable. This is a horrible "deal", and should be featured on some consumer activist TV show or web-site. When combined with Uber's unpredictable rate slashing trends and ratings system "sword of Damocles"....this "deal" puts the predatory lending scam of 2006-2008 to shame.

The first week that some poor driver does not make enough to pay the weekly lease "vig". Bye bye car. They will activate the GPS and immobilize/repo the vehicle. Bye Bye sourse of income, bye bye vehicle and bye bye credit (plus $1000 down and all lease payments).


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## Worcester Sauce (Aug 20, 2014)

LAuberX said:


> Lease a car?
> 
> Rate cuts in 48 cities and somebody wants to depend on Uber?
> 
> Insanity.


you said it better and more simply than I did


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## Schulz (Nov 25, 2014)

What bothers me is that for any reason you are deactivated by Uber, the lease is automatically in default, and Santander can repossess the vehicle immediately. So from how I understand the lease, if you wake up one day and find out you have been deactivated by Uber, but you want to keep the vehicle and exercise the purchase option, you can't do it, because the lease is in default the moment you are deactivated by Uber?

From the contract:
"5. DEFAULT
(b) Lessee shall breach any terms of Lessee's agreement with Uber ("Uber Agreement") or such Uber Agreement is no longer in effect;

"Upon the occurrence of any such Event of Default, to the extent permitted by applicable law, Lessor [Santander] shall have the right to exercise any of the following remedies:

"(2) without notice, demand or legal process enter upon any premises where the Vehicle may be found and take possession of and remove the Vehicle, whereupon all rights of Lessee in the Vehicle shall terminate absolutely and Lessor may hold, use, lease, sell or otherwise dispose of any or all of the Vehicle in such manner as Lessor in its sole discretion may decide;
(3) recover the following:
(i) all past due amounts, fees, and assessments, plus
(ii) any indemnity payment, if then determinable; plus
(iii) all reasonable costs and expenses incurred by Lessor in any repossession, recovery, storage, repair, sale, release or other disposition of the Vehicle, including, but not limited, costs of transportation, repossession, and storage; plus
(iv) interest on each of the foregoing at the rate of one and one-half percent (1.5%) per month ("default interest");"


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## Actionjax (Oct 6, 2014)

Worcester Sauce said:


> Y
> 
> Good analysis....but you are being to charitable. This is a horrible "deal", and should be featured on some consumer activist TV show or web-site. When combined with Uber's unpredictable rate slashing trends and ratings system "sword of Damocles"....this "deal" puts the predatory lending scam of 2006-2008 to shame.
> 
> The first week that some poor driver does not make enough to pay the weekly lease "vig". Bye bye car. They will activate the GPS and immobilize/repo the vehicle. Bye Bye sourse of income, bye bye vehicle and bye bye credit (plus $1000 down and all lease payments).


I guess better said is there is nothing wrong with the contract. It's rock solid and single focused. And if people meet the obligations of the contract it could work out for them.

The deal itself is what they will charge you for what you actually need to do with the car an for whom. If they told me I'm paying $20 a week for the deal and everything else in the contract was the same...hell sign me up. I would take 2 at that price.

The issue is what I see is most peoples weekly will barely pay all expenses. and they will be killing themselves for the deal to even keep them whole. And because its so single focused and leaves little or no room to adjust to the situation of the market.

I have been part of many lease agreements in the past and most of what I read is quite standard. What's unique is not only they tell you what you need to do for payment. It's how single focused the use of the car is and for whom.

Now if the contract opened it up to all lively service (Taxi, delivery service, Stunt car, limo) you may be able to recoup what you need for the car. But counting it all on that you can do it solely on Uber is where it is a bad deal.

Now one thing I do like about the contract is pay $1000 and you are out in the fist year. Long as you stay under your mileage. Not many lease agreements I have seen give you that kind of flexibility. Some make you pay all interest payments and major penalties for breaking the lease. However they will let you lease transfer for a small fee. This contract you can't. But after you pay all your fees they can go out and find someone themselves and you are out your $1000.

Again not a fan of this deal. Too limiting on what you can do with the car and the dependence on one provider. Not to mention they are trolling the weak by saying come to us and we will forget about any issues with credit....you just need to pay through the nose.

This just lines the pockets of the sales guy....long after he is gone and many will go into default. (Sub prime lending issue of 2007 all over again)

Hope that gives a bit more light on my opinion on the matter. I'm just trying to be objective here base on the facts. Not the individual situations.


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## observer (Dec 11, 2014)

Actionjax said:


> I guess better said is there is nothing wrong with the contract. It's rock solid and single focused. And if people meet the obligations of the contract it could work out for them.
> 
> The deal itself is what they will charge you for what you actually need to do with the car an for whom. If they told me I'm paying $20 a week for the deal and everything else in the contract was the same...hell sign me up. I would take 2 at that price.
> 
> ...


Don't forget.

The minute Uber deactivates you, you could possibly walk out to your (Ubers) car and it won't turn on.


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## Actionjax (Oct 6, 2014)

Schulz said:


> What bothers me is that for any reason you are deactivated by Uber, the lease is automatically in default, and Santander can repossess the vehicle immediately. So from how I understand the lease, if you wake up one day and find out you have been deactivated by Uber, but you want to keep the vehicle and exercise the purchase option, you can't do it, because the lease is in default the moment you are deactivated by Uber?
> 
> From the contract:
> "5. DEFAULT
> ...


Because the vehicle has 1 sole purpose that's correct. You are in default and must give the car back. Long as you return it to their location most of the charges won't be levied like repo and storage. But you need to pay out your month and then begin the default with penalty clause. So from what I read that's In the chart. $1000 first year.


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## observer (Dec 11, 2014)

observer said:


> Don't forget.
> 
> The minute Uber deactivates you, you could possibly walk out to your (Ubers) car and it won't turn on.


For all intent and purposes this really is Ubers car.


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## Actionjax (Oct 6, 2014)

observer said:


> Don't forget.
> 
> The minute Uber deactivates you, you could possibly walk out to your (Ubers) car and it won't turn on.


Sorry why would that happen? You need to return the car so you need to have the ability to drive it there. Or they can be found unreasonable in your attempt to return the car. And they can't charge you for repo fees and andmin fees based on the repo...it won't hold up in court.


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## Actionjax (Oct 6, 2014)

observer said:


> For all intent and purposes this really is Ubers car.


It's actually the leasing company's car...not Ubers. You are the Leasee on the contract. But in a lease the car is 100% property at all times of the Leasing company.

Uber is just there to ensure your payment is made and that they are reporting to the leasing company your working status and details.


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## observer (Dec 11, 2014)

observer said:


> Don't forget.
> 
> The minute Uber deactivates you, you could possibly walk out to your (Ubers) car and it won't turn on.





Actionjax said:


> Sorry why would that happen? You need to return the car so you need to have the ability to drive it there. Or they can be found unreasonable in your attempt to return the car. And they can't charge you for repo fees and andmin fees based on the repo...it won't hold up in court.


See above, GPS/starter interrupt notice. Some people won't return car right away thinking they can keep it a few days.


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## observer (Dec 11, 2014)

Actionjax said:


> It's actually the leasing company's car...not Ubers. You are the Leasee on the contract. But in a lease the car is 100% property at all times of the Leasing company.
> 
> Uber is just there to ensure your payment is made and that they are reporting to the leasing company your working status and details.


True, but like I said "for all inent and purposes" the car or in this case, the use of the car, is used for Ubers benefit not the driver. I know the legal owner is the finance company. In a past life I was a repo man.


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## Schulz (Nov 25, 2014)

I presume that Santander would be satisfied so long as they are being paid per the terms of the contract, so why would they care who you are driving for? Because Uber cares, so Uber prevents you from driving for another company (even though you are not an employee of Uber)? So since Uber doesn't care about the drivers, why would they want drivers to drive new vehicles? Obviously the riders care. Uber wouldn't want that new car being used by a Lyft customer.


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## centralFLFuber (Nov 21, 2014)

shulz how many ways and how many times do u have to be told DONT DO IT

talk to Rock

hey but go ahead uve been given excellent advice...Dont listen....go commit financial suicide


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## Actionjax (Oct 6, 2014)

Schulz said:


> I presume that Santander would be satisfied so long as they are being paid per the terms of the contract, so why would they care who you are driving for? Because Uber cares, so Uber prevents you from driving for another company (even though you are not an employee of Uber)? So since Uber doesn't care about the drivers, why would they want drivers to drive new vehicles? Obviously the riders care. Uber wouldn't want that new car being used by a Lyft customer.


I would say from a company prospective. It's a joint agreement between Uber and Santander and it benefits both parties when they teamed up. You see this kind of thing all the time in the credit card business when a bank teams up with a co-brand like and Airline or a hotel chain.

The second reason is that they have an agreement to share information. That way they can keep tabs on you. You are signing away the privacy of your Uber information. It would be a better deal if it's an open contract and let you do any commercial work with the car. But that would require lots of sub agreements.

And lets face it...Uber like you being their ***** and they don't want to share you with the other prison inmates.


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## Schulz (Nov 25, 2014)

Actionjax, 3(A) (see below) seems to me to mean that you can drive the car for non-business use. But this seems to contradict 2(B): "Vehicle Use Lessee will lease the Vehicle exclusively for business and commercial purposes as a livery vehicle to meet riders’ requests conveyed through Uber during the term of the Lease. Lessee acknowledges that lease of the Vehicle for exclusively business and commercial purposes is a material inducement for the Lessor to enter into this Lease."

From the contract:
3. INSURANCE

A. During such time that Lessee is covered under Uber’s Commercial Automobile
Insurance for approved livery business use of the Vehicle and Lessee is not operating Vehicle for
business use other than with Uber, Lessor may, at its sole and absolute discretion evidenced in
writing, accept from Lessee a compliant Personal Automobile Certificate of Insurance
evidencing the required limits, terms and conditions except livery business use; Uber’s
Commercial Automobile Liability Insurance would then be considered Excess over Lessee’s
Personal Automobile Insurance. Lessor’s acceptance shall be considered automatically and
immediately rescinded should: (a) Uber’s coverage no longer be compliant; (b), Lessee no
longer provide services for Uber; and/or (c) Lessee operate Vehicle for any business use other
than livery business use with Uber. At such time that Lessor’s acceptance is rescinded, Lessee is
automatically and immediately required to meet all Commercial Automobile Insurance
requirements hereunder or provide an affidavit that Lessee is no longer operating the Vehicle for
business use.


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