Methods for terminating a lease prior to its expiration
You may easily swap out your leased vehicle for another one or purchase a new one when your term ends. What if, instead, you vacate the premises before the lease expires?
Perhaps you can no longer afford the exorbitant monthly payments on that luxurious Jaguar JX V6 model, or perhaps you have recently become a parent and require a vehicle with extra room on board.
The process of terminating a lease is even more complicated than entering into one. Breaking a lease early is a hassle and can cost you a pretty penny. Heavy fines may be imposed for renouncing a lease and handing over the keys. You risk having your credit damaged and even facing a breach of contract lawsuit.
However, not all is bleak. The truth is that you have a lot of choices.
The bank can be paid off if you sell the car on your own. When the car’s worth is close to the buyout amount, this can be a cost-effective option.
If the loss is less than the termination charge, you should not hesitate to use the option.
However, you might consider transferring your lease to someone who can “assume it” and relieve you of the responsibility. Many people are in the market for convenient, short-term leases that don’t require a lot of money or effort. You can ask around amongst friends and relatives or post it on lease-assumption websites like swapalease.com. Before you hand over the keys to a new lessee, double-check their credit and make sure the vehicle is in excellent shape.