car lease help

Discussion in 'TRIBE Main Forum' started by mcbee, Feb 25, 2002.

  1. mcbee

    mcbee TRIBE Member

    so i have this great condo now and i also have a car....i'm realizing that i can't afford it all!
    well, i can but it would leave me with no money for fun or for savings or even for good food.

    SO, i'm thinking of trying to get out of my car lease. my question is how do you get out of a car lease? is it even possible? my lease is done in october of 2003, so i have over a year left to go. plus i have a cashback option when the lease is up...would i lose this if i got out of the lease?

    help me!!

    :)sarah<----happy but BROKE!!
     
  2. Klubmasta Will

    Klubmasta Will TRIBE Member

    try selling it to silverback or the watcher.

    (seriously, though, i don't imagine there are easy ways to get out of a car lease. i've never looked into it closely though so i may be wrong.)
     
  3. Soundstream

    Soundstream TRIBE Member

    Most people accomplish what you want to do by posting an AutoTrader (or similar) ad and stating that it is a "take-over-the-lease" type of purchase. The company that gave you financing for the lease will have to verify that the new leasee has good credit. If they do, then problem is solved and other than the hassle of selling the vehicle, you probably aren't going to loses any money by incuring financial penalties for early termination of the lease.

    The other alternative is to tell the dealership that you need to break your lease. Some will take the car back off your hands, and in doing so, for their hassle, they will make you pay a penatly for early termination (sometimes 1 - 3 times the monthly payment).

    Cheers ... Ian :)
     
  4. labRat

    labRat TRIBE Member

    i got out of my lease about a year early and the only real way of doing this is to find a buyer who is willing to pay what is left on the lease plus the value of the car when the lease is up.

    call the leasing company and ask them what is left owing and what the buyout price right now is.

    it would be really difficult to just drop the lease, unless you plan on leasing/buying another car from the place where you are leasing from.

    i sort of lucked out and the place where i am currently leasing from took my older car and just bought out the lease with no penalty to me.

    what is this cashback option?

    --craig
     
  5. Mr_Furious

    Mr_Furious TRIBE Member

    most likely yes.....you'll probably also have to pay a penalty for cancelling the lease so soon.
     
  6. Fir3start3r

    Fir3start3r TRIBE Member

    Eek. :(
    Leasing is normally the cheapest way of owning a 'newer' car...but not necessarily the wisest unless you can write off some of the car to a business...

    You 'could' get out of the lease but normally there is a penalty (you might want to read the fine print or just phone whoever is taking care of the financing of the vehicle).

    This is just my say, but after dumping the lease, find some half decent, good, used car and BUY it outright.
    Financing your (I'm not pointing you out here mcbee) car over more than 2 years normally means you can't afford that car. Oh sure you won't be driving new 2002 model but it beats eating oatmeal every meal for the sake of 'looking good'.
    Let someone else eat the depreciation of a newer model and go for something 2-3 years old with low milage.
    Whatever you do, don't get stuck with another long term deal with your car - the payments may look small but in the long run, financially you don't win...;)
     
  7. Soundstream

    Soundstream TRIBE Member

    Re: Re: car lease help

    On the first point, keep in mind that you "own" nothing when you are leasing a car. It is basically like a long-term rental car.

    Secondly, financing a vehicle over 3 years is not unreasonable and should not suggest that you cannot afford the vehicle. I believe that 3 years is the most common financing term. 4 years is stretching it, and 5 and 6 years terms are just pointless.

    Cheers ... Ian :)
     
  8. mcbee

    mcbee TRIBE Member

    ^^^oh i have learned my lesson for sure.

    no more leasing for me.
    however, at the time when i got inot the lease, i had come into money from an insurance settlement and was living in an apartment with dirt cheap rent. SO, it worked out better then....

    i'll prolly end up just sticking it out till the end. i don't want to lose more money throught paying a penalty. but we all learn through our mistakes right?!!

    :)sarah
     
  9. Silverback

    Silverback TRIBE Member

    I am pretty certain you will be penalized for getting out of a lease or changing it over. The easiest thing to do is find the current buy out price and find someone willing to pay that much for it. :) Easier said than done. I plan to buy mine out and I'll drive it for the next 3 or 4 years. I've had it since new and taken care of it, so hopefully it will take care of me too.
     
  10. Fir3start3r

    Fir3start3r TRIBE Member

    Re: Re: Re: car lease help

    I agree with the "own" nothing; probably should have just rephrased that... :p

    Financing 3 years may be the norm, but financially does not make sense; especially if this is a USED vehicle.
    If you're talking about a NEW model car, we won't even go there....
     
  11. Soundstream

    Soundstream TRIBE Member

    Re: Re: Re: Re: car lease help

    But we are discussing a new vehicle, I tihnk. It's obviously not new now, but when the lease was signed, it was signed for a new 2000 model (or at leas tthat is the impression I got).

    What do you mean by "we won't even go there...." in regards to financing a new vehicle?

    Cheers ... Ian :)
     
  12. Fir3start3r

    Fir3start3r TRIBE Member

    Re: Re: Re: Re: Re: car lease help

    ah...I guess I'm a step ahead of ya then... ;)
    I was talkin' bout the replacement vehicle after she dumped the leased one...

    Financing a brand new vehicle does NOT make sense. Who the heck wants to pay for that kind of depreciation as soon as you drive it off the lot???? (not to mention all the interest paid in the 1st year alone).
    Oh sure you get the spanky new car but at the expense of your wallet...and for what?
    Financially that doesn't make sense no matter WHAT you're buying...
    If you need an example I'll see if I can find something for you and you'll see what I mean... :)
     

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