How Can I Terminate My Car Lease Early?

How Can I Terminate My Car Lease Early?

As you may know, getting a car lease may seem easy but terminating a car lease early is not. There can be many reasons to end the car lease early. Here you will find some good ways to end your car lease early.

Transfer the Car Lease

Before you consider this option, you need to check the leasing contract and see if the car leasing company allows you to transfer the lease. In this option, the car lease is transferred to another person who picks up from the point you left off on the lease contract and makes future payments. One of the advantages of transferring the car lease is there are no penalties or payoffs, you have to just pay a small transfer fee.

This is also one of the popular options as many people are looking to lease cars for a short period of time but don’t want to go through dealers and all the paperwork to lease brand-new cars. Remember, you cannot transfer the car lease without the car leasing company knowing about it. So make sure when you transfer the lease, you follow the right process and complete all paperwork needed.

How to Transfer a Car Lease

There are many lease transfer companies that can help you in the process. They can list your car for lease transfer and get prospective buyers who are interested in taking over your car lease. The lease transfer company also helps with the paperwork and the lease assumption process. The lease transfer company charges a small fee for the work that is far less than what you have to pay to terminate the lease with the company. Since the lease transfer company works with your car lease company, they handle all the paperwork and related details. With a lease Transfer Company, the whole process of lease transfer becomes easy for you.

There are many lease transfer companies operating in the U.S. and you can visit their website to fill out the form and ask for a quote. Select the best lease transfer company after a thorough research. There is no risk in transferring the car lease and it will not affect your credit score nor prevent you from leasing a car in the future.

Other Options to Terminate a Car Lease Early

Lease Payoff

While lease transfer seems to be the best option to terminate the car lease early, it is not always possible. If you find yourself in such a situation, you have the option of lease payoff. In lease payoff, you just need to pay the remaining payments and return the car to the company. This may not seem like an economical option for many but it allows you to terminate the lease early without affecting your credit score. Some companies may require you to pay early termination fees in addition to paying the remaining payments.

The vehicle leasing agreement is designed to protect the interests of the lessor and the lessee. You need to read the document carefully to know the options available to exit the lease contract early. You need to ensure whatever option you choose to terminate the car lease early does not leave a negative mark on your credit report.