I have two cars that I'm leasing. One is for two years, and the other is for five years. We have lost our primary source of income and are having a difficult time replacing the salary or finding a new job. The payments that were convenient 9 months ago are now a burden...
What are the repercussions of backing out before the terms are up on the lease?
2007-10-12 12:54:13 · 5 answers · asked by marymary 2 in Cars & Transportation ➔ Buying & Selling
Depending on how much you owe on the vehicle, your only way of getting out of the lease is to sell the car. Few leases are assumable, such as BMW, however most are not, meaning that if you 'return' the car with a balance, then it is a voluntary repossession. Early lease terminations are for people who are purchasing another vehicle from the same manufacturer. They usually offer 2-6 months pull ahead, however it isn't applicable if buy a competitor's car. I hope this helps to clarify.
http://www.theautoevaluator.net/Resources.html
2007-10-16 11:15:18 · answer #1 · answered by The Auto Evaluator™ 7 · 5⤊ 0⤋
People end their car leases early for all sorts of reasons, including death.
A car depreciates *very* rapidly when you first get it, then more slowly later on, so it's not unfair that you have to pay a penalty. And it won't be a small penalty.
But nobody will yell at you, and nobody will shoot at you, and nobody will send you to jail. Return the car in tip-top condition, sparkling clean, and start negotiating. If you can't make the monthly payments, you probably can't pay off the penalty in a lump sum, either, so see what you can negotiate in the way of paying off the penalty over several months.
2007-10-12 20:05:52 · answer #2 · answered by Anonymous · 0⤊ 0⤋
My father went through the same thing. He took a risk, but he put the car up for sale. He sold it and gave the money to the dealership he was leasing from. If you can find a buyer for the car then you should be fine. Call the dealership, ask them how much you would have to sell it for and if they are ok with this. As long as they have the money for the car they should be fine with it and understanding of your situation.
2007-10-12 20:01:34 · answer #3 · answered by pb&j 4 · 0⤊ 0⤋
They call it early return just find out which has the least penality for early return. And which is the most expensive to keep. You might turn both back in and buy with cash for klunkers to get around in.
2007-10-12 20:01:30 · answer #4 · answered by John Paul 7 · 0⤊ 1⤋
check out autoscoop.com or google adam goldfine.
2007-10-12 20:25:34 · answer #5 · answered by Anonymous · 0⤊ 0⤋