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Volkswagen dished out over $9.5 billion in dieselgate settlements to drivers

Play dumb video games, win silly prizes. On this case, lose billions of {dollars}.


Craig Cole/Roadshow

Volkswagen’s diesel engine fiasco in 2015, rapidly dubbed “dieselgate,” might have been the largest disrupter to the automotive trade final decade. Naturally, such deceit elicited one hell of a response from regulators and governments.

Since settlement offers arose in 2016, Volkswagen Group paid out over $9.5 billion in settlement funds to drivers of affected autos. The large sum got here to gentle in a remaining report the Federal Commerce Fee put collectively and revealed on Monday. In complete, Volkswagen, Audi and Porsche (known as defendants within the report) made funds to drivers related to 88% of the so-called “Clear Diesel” autos.

By and enormous, shoppers selected the choice of a buyback or early lease termination with compensation. This allowed drivers to return their automobile at a good market worth, or return a leased car with extra compensation, no strings hooked up. A whopping 86% of these concerned selected the money. The opposite possibility was to easily have VW repair the diesel-powered vehicles in order that they aligned with federal emissions rules. This additionally included some compensation as effectively. However, dumping the automobile completely was undoubtedly the extra common possibility.

The report was hardly to bash VW Group. As a matter of reality, the FTC recommended the automaker for making your entire course of probably the most “profitable shopper redress applications in historical past.” The federal government praised VW Group for its effectivity processing claims and offering shoppers with legitimate data alongside the best way. This would appear like a no brainer, however the FTC mentions a couple of different events the place corporations weren’t so glad to present shoppers again their cash.

Today, diesel is completely out on the Volkswagen model, and total, the automaker continues to chase electrical desires. This 12 months, we must always see the ID four electrical crossover debut to mark the model’s first EV meant on the market within the US.


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Volkswagen dished out over $9.5 billion in dieselgate settlements to drivers

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