returning a car before 3 year lease ends..

the_scarlet_woman88

Hi all, so my first car was brand new in April 2015. I’m not going to buy it at the end but I want to hand it back and use it as a deposit for a newer car. Thinking of doing this before April 2018.

It has a few dents in it... how will this affect me wanting to return the car early and trade for a newer model?

Is there much negotiation when it comes to doing this?

I am clueless as my ex partner dealt with most of this sort of stuff!

Any help greatly appreciated

motorguy

the_scarlet_woman88 wrote: »

Hi all, so my first car was brand new in April 2015. I’m not going to buy it at the end but I want to hand it back and use it as a deposit for a newer car. Thinking of doing this before April 2018.

It has a few dents in it... how will this affect me wanting to return the car early and trade for a newer model?

Is there much negotiation when it comes to doing this?

I am clueless as my ex partner dealt with most of this sort of stuff!

Any help greatly appreciated

Ok.... it doesnt sound like you have a lease, but a PCP deal.

You can confirm that on the paperwork.

If it is, then you simply get a trade in value and see how that maps to your settlement figure on the finance.

missile

Go to the dealer selling a car you want to buy and he will advise you if there is any equity that you can use as a deposit.
If it has "a few dents", you may find that you have negative equity.

sheslookinhot

If it's a lease car you simply hand it back, and receive a bill for the dents.

neilmcl

sheslookinhot wrote: »

If it's a lease car you simply hand it back, and receive a bill for the dents.

And the possible substantial penalties involved in breaking the lease agreement early.

LandyAndy

the_scarlet_woman88 wrote: »

Hi all, so my first car was brand new in April 2015. I’m not going to buy it at the end but I want to hand it back and use it as a deposit for a newer car. Thinking of doing this before April 2018.

It has a few dents in it... how will this affect me wanting to return the car early and trade for a newer model?

Is there much negotiation when it comes to doing this?

I am clueless as my ex partner dealt with most of this sort of stuff!

Any help greatly appreciated

Sounds like a PCP not a lease.

If it is a lease then it has no value to you at the end so won't be any use as a deposit.

If it's a PCP then it will have little or no value as a deposit, particularly as you have damaged it.

the_scarlet_woman88

Thanks for your replies. It wasn’t me that actually dented the car but others, none the less I expected some penalty for that anyhow.

I’ve a Toyota and they keep writing to me to say that I can upgrade my car, so I’m guessing there won’t be a penalty for ending the agreement early.

I’ve a hybrid Yaris so hoping there’s still some value in it.

k3lvc

You've not answered what financial deal you have - this make a big difference to the answers you'll get :mad: