early car lease termination
Need to learn how to early car lease termination? You've come to the right place. We are constantly asked by consumers how to early car lease termination with the minimal amount of headaches. In fact it's really easy. Most people want to know how to early car lease termination because it will save them thousands of dollars in initiation fees. So you probably want to know how to early car lease termination on-line! First you should know that thousands of these transaction are done with leasing companies all around the country. It's a very common practice and once you understand how it works, you'll probably be early car lease termination all the time!
What is a lease assumption?
A lease assumption allows one person to assume an in-process lease from another
person.For example, if your neighbor had 18 months left on his car lease, and
you wanted to take over his lease, you would simply assume his lease and start
making the payments each month for the remaining 18 months. At the end of the
term you would turn the car into your leasing company just as you would if you
had leased the vehicle new. The process itself is relatively easy to understand
and can provide a great deal of benefit and financial incentive if you use a
lease assumption to your advantage.
What are the benefits of assuming someone else's lease?
For the Buyer (the person assuming a lease) you are able to take over an existing
lease with no money down and with a shorter lease term than you would normally
have to take on if you were to write a whole new lease. In most cases it is
difficult to even find a “short term” lease these days with the
average lease term ranging over 40 months. Assuming a lease can save you thousands
of dollars and only require a short term lease agreement. In many cases, Sellers
(those looking to hand over their leases) are willing to offer Buyers incentives
in the form of cash or other terms that are exciting to Buyers. We have seen
cases where Sellers are willing to write checks as large as $15,000 to walk
away from their lease obligations! The incentives offered are typically in proportion
to the size of the lease and the intentions of the Seller.
Why would someone want you to assume their lease?
As the existing holder of a lease (let''s call this person a “Seller”),
they are already bound to a leasing contract for the duration of their remaining
term. In order to exit that lease early, they would have to pay thousands of
dollars in early termination penalties to their leasing company. The leasing
company is under very little incentive to allow the Seller to return your vehicle
to them. They lose thousands of dollars instantly when a vehicle is turned back
The alternative is to find someone else who would like to assume a lease, allowing
the Seller to walk away without paying these stiff penalties. In some cases
they may offer a cash incentive to a Buyer to make their deal more attractive
than a new lease or competing deals.
It's important to remember that when signing a lease you have a contractual
obligation to the leasing company for the entire term of the lease. It''s not
a month-to-month rental, so your obligation is not just the monthly payment,
but the entire amount of the lease, which usually totals tens of thousands of