VW's $14.7b Diesel Buyback Settlement Approved By US Federal Court
The scandal that saw VW admitting to cheating emissions tests in some of its diesel cars is one step closer to being remedied today. A US federal court has approved a $14.7 billion settlement that will see the automaker buying back the affected cars from those who want to get rid of them, along with paying out a cash reward to people who purchased the vehicles between 2009 and 2015.
The scandal came to light last year, when Volkswagen admitted to cheating emissions tests by using defeat devices to make it seem like the cars' emissions were lower than they would be in reality. This, as many of you know, pretty well tarnished VW's reputation in the US, and now we know that the monetary price of trying to beat the system will number in the billions.
Though VW hasn't opened up buybacks yet, it will be doing so shortly. Those who would like to sell their car back to VW can get between $12,500 and $44,000 for selling their car back, depending on model, year, and mileage. Those in a lease will be able to cancel their lease without penalties as well as seek the additional cash reward for their trouble, The Los Angeles Times reports.
If you'd prefer to keep you car, Volkswagen is offering to modify it for free, bringing it to the level of emissions standards that were originally expected. It should be noted that VW hasn't finished the modification for these vehicles yet (and that the modification itself needs to be approved by regulators), but it's being worked on and will hopefully come down the pipeline soon. Regardless of the option you choose, you'll also be entitled to a cash reward ranging between $5,100 and $10,000 depending on the model of your car.
Keep in mind that this only applies to about 475,000 2.0-liter diesel vehicles. There were some 3.0-liter vehicles affected by this scandal too, but the judgment here doesn't apply to those. Instead, Volkswagen is still working with regulators to come to a settlement agreement for those cars, so owners will have to sit tight for now and wait for further word.
Volkswagen breaks down the whole returns process for affected owners at the website for the settlement, www.vwcourtsettlement.com. Now that the settlement has been given final approval, affect owners and lessees can use that website to submit or continue a claim. If you've yet to begin a claim, you have until September 1, 2018 to do so. More information will likely be coming up about this settlement and VW's restitution process, so stay tuned.
SOURCE: The Los Angeles Times