New Car Leases

Most people assume that new car lease are like a short term rental lease, but, they are two very different situations. A rental car agreement carries no obligation other than to return the car by the time and date agreed upon and pay the one time rental fee. Leasing on the other hand is for an extended time period usually 2 or 3 years. You are under a legal contract to make the lease payments for the life of the lease. If you break a car lease there are some stiff penalties buried in the fine print of the lease agreement.

The leasing company will require that you pay off the balance of all the lease payments or purchase the car. Buying the car is never a good option because the reason you want out is for financial reasons or you are relocating.

Breaking a new car lease is not easy but there is some light at the end of that tunnel. There are two ways you can inexpensively break a car lease that most people are not aware. The first option you have is to transfer the lease to someone else. You have to check with your lease agreement to make sure they allow transfers. If the contract does not mention transfers then you legally have the right to do this.

The second way of breaking a lease contract is finding a company that specializes in trading leases. There are actually lease trading companies that will charge a nominal fee to take over the lease payments. You still have to be careful because there are some other fees that can add up quickly. Make sure you talk to the leasing company so there are no surprises later. Here are just a couple options ways that might help you. Although these are not perfect options the fees could add up to be a lot less than paying all the remaining lease payments.