Can I Get out of My Car Lease?
A Buick lease is attractive for many reasons. Because it’s short-term, it’s inherently flexible. You know what your vehicle is worth at lease-end, should you choose to buy. And if your credit is strong, the payments may be lower than they’d be for a comparable new car loan.
But what if life throws you a curveball? Can you get out of your lease? And, for that matter, should you? LaFontaine Buick GMC Lansing can help with these challenging financial questions.
Step One: Understand Your Lease
The lease on a new Buick vehicle is a contract, and has many terms, conditions, and stipulations. So even though your lease may have a fixed term — say, three years and 36,000 miles — it’s possible to get out early. However, practically without exception, there are also terms and penalties for early lease termination. It’s best to understand these before going any further.
Step Two: Understand the Math
Now it’s time to run some numbers. There are four factors to take into consideration:
- Your lease’s early termination fee
- The remaining duration of your lease
- Negative vehicle equity (current market value versus the lease’s stipulated buyout cost)
- The costs incurred in reselling the vehicle
Remember, if you’re close to the end of the lease, you may be able to take advantage of a trade-up program, or at least shoulder a few more payments until you get to that point. You have more Buick lease end options than you may realize.
Step Three: Understand Your Options
What can you do if you feel it’s time to end your lease?
- If you decide that the early termination fee is one you can live with, return the vehicle
- Buy or lease a new vehicle from your Lansing Buick dealership
- Transfer your lease (this is typically handled through a third-party service, and we can’t vouch for them)
- Buy out early, then resell
- Ask your Buick dealer for options; depending on your circumstances, there may be assistance available
The one thing you absolutely don’t want to do is default on your lease. This can lead to a host of legal and financial difficulties, now and in the future, including significant damage to your credit history.
Getting Help With Buick Financing
When questions arise, get in touch with LaFontaine Buick GMC Lansing. We’ll help you find answers that minimize your financial impact, and help you explore your options in full.