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Early Termination Car Lease
Hi,
So I am 31 months into my 48 months lease and I am looking to move from this vehicle for something more economical since my mileage has drastically dropped since Covid started and it's mainly town driving now.
I contacted the finance company (Leasys) and they gave me 3 options.
1. Buy the car from them outright
2. Pay the early termination fee
3. Transfer the lease to someone else
While the early termination fee was very reasonable, I thought I would just get the dealership of the new vehicle to buy it, which they were more than happy to do and Leasys didn't object.
What I don't understand is that Leasys now want the remaining value of the car + an early termination fee and I just can't wrap my head around that.
If I pay them the early termination fee on top of the remaining value of the car, I will be paying over the new car price when I got it.
Can anyone shed any light if this is right or if they are just trying it on? I have looked at the contract and there's nothing there that mentions this, only the early termination fee if handing car back early.
Any help would be greatly appreciated, thanks.
So I am 31 months into my 48 months lease and I am looking to move from this vehicle for something more economical since my mileage has drastically dropped since Covid started and it's mainly town driving now.
I contacted the finance company (Leasys) and they gave me 3 options.
1. Buy the car from them outright
2. Pay the early termination fee
3. Transfer the lease to someone else
While the early termination fee was very reasonable, I thought I would just get the dealership of the new vehicle to buy it, which they were more than happy to do and Leasys didn't object.
What I don't understand is that Leasys now want the remaining value of the car + an early termination fee and I just can't wrap my head around that.
If I pay them the early termination fee on top of the remaining value of the car, I will be paying over the new car price when I got it.
Can anyone shed any light if this is right or if they are just trying it on? I have looked at the contract and there's nothing there that mentions this, only the early termination fee if handing car back early.
Any help would be greatly appreciated, thanks.
0
Comments
-
If you bought the car (option 1) would there have been an early termination fee?
If so, then I could understand this as the option to buy is separate from your contractual obligation on the lease. If not, then just buy it then sell to the dealer.0 -
This is what I was thinking, however apparently there is an early termination fee which would bring the total amount to 2k over invoice price.0
-
How is the early termination fee calculated?
Is it the amount of the remaining lease payments brought forward?0
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