How do you divide cash value in a leased car? Ease of breaking a lease agreement?

SolihullSlinger

I am 17 months into a 36-month term on a Nissan Qashqai lease. We paid just under £5k deposit, me and my wife are getting a divorce and we have £5k in this car that we need to split. I am looking to keep this vehicle but just wondering how easy it is to break a lease agreement? I have looked at our terms from the Nissan dealership but nothing seems show regarding the cancellation.

What are people's experiences in breaking a lease term in exceptional circumstances such as divorce?

AdrianC

What do you mean when you say you "have £5k in this car"?

You are renting a car for three years. You paid £5k up front, plus however much per month over 3yrs, in rent for it. At the end, you give it back. If you want to amortise the up-front rental amount, then £5,000/36mo is £139/mo.

If you're keeping the car, then you keep it and continue paying the monthlies.
If you're wanting out of the contract, then phone the financier tomorrow and ask them how much.
Divorce is not "exceptional circumstances".

SolihullSlinger

Thanks Adrian, my wife got the lease on this. So I don't have all the terms paperwork to hand, but that makes sense. Just got a lot going on dealing with this and trying to work out an inventory of our assets.  I wasn't stating that divorce wasn't something I could use to break a lease, just wondering how others who have experienced it may have dealt with it in relation to vehicles.

angrycrow

As stated above the deposit spread over 36 months is reducing the payments by 139 a month. Finance is in her name so suggest you keep £1320 in cash or the value of £1320 in other assets and she keeps the car and continues paying the monthly payment to the end of the agreement. That way the car is no longer your issue.

You can then go and get a different car which does not have finance in somebody else's name. Remember if you try and keep the car you remained financially tied to your ex for another 19 months. 

motorguy

Are you sure its a lease and not a PCP?

£5K deposit would be huge for a lease.

bazzyb

To terminate the lease, expect to pay in the region of 40-50% of the remaining monthly rentals. The mileage allowance would be pro-rata’d so you’d need to check if you’d owe anything additional for mileage to date. 

Your wife may be able to ‘sell’ the remaining lease to you, if the finance company allows this - some will, some won’t. 

This is assuming that you are talking about a lease, £5k upfront rental on a Qashqai sounds unusual. 

Mercdriver

Sounds like the usual confusion between lease and PCP.

MinuteNoodles

SolihullSlinger said:

Thanks Adrian, my wife got the lease on this

So it's hers which means you won't be keeping it even if she agrees because the finance is in her name and neither she or you own it, the finance company do.