How to Maneuver the End of Your Lease
If you want to experiment with different models of cars while reducing your monthly payments, leasing could be the option for you. However, despite all the perks, many stray away from exploring different avenues as they are unfamiliar with the process. With that, we are here to help make your car experiences as seamless as possible. Let’s dive into see everything you need to know about ending your lease.
The Last 90 Days
The last three months of your lease are when you should begin your research. This time period is also the beginning of the inspection process, making it an ideal time frame to look back at your contract and see what terms had been set. Look into any residual or lease-end value as this will help you determine whether you have any equity in the vehicle. This time period is when your dealer will begin reaching out to you about your contract ending.
Where to Return Your Car
Best practice when it comes to returning your leased vehicle is to return it to the dealership that you acquired it from. The dealership that leased your car would be ready for any fluctuations in inventory, which may make a different dealer hesitant to accept your car. However, if you have moved since leasing your vehicle, you will still be able to return the car to any dealership. When doing this, make sure to call the dealership ahead of time to ensure that they can accommodate you.
The Inspection Process
The official inspection process will vary from company-to-company. However, there are some general steps to expect. Often the inspector will come to a pre-specified location, such as your home or office. They will take an in-depth look into the state of the car. You should expect this process to take anywhere from 45 minutes to one hour.
When the inspection day finally arrives make sure you are putting your best foot forward. Ensure you have removed all personal items from the vehicle and do some light detailing if possible. The goal is to show the car in the closest state to when you first acquired it.
Things You Can Be Penalized For
Each manufacturer has a more defined set of what they look for in damages in leased vehicles. However, there are a few general damages that will always be considered:
- Any abnormal wear to the tires and curbed wheels.
- Cracks in the glass on the vehicle
- Scratches and Scrapes on the exterior
- Dents and dings in the exterior
- Torn upholstery
- Stains on the upholstery
Details on any damages on the car will be measured and recorded to determine the cost of wear fees. Once all the damages are recorded, you will receive a quote on how much it will cost to fix the car.
Your Options at Lease End
Once all these steps have been completed, it comes down to your final decision on what to do next. From which you have three main options:
1. End your lease and walk away
If you choose this option, you will pay off the vehicle with a disposition fee and any mileage and damage charges.
2. Trade in your current vehicle
This option allows you to essentially swap your existing vehicle for any model you would like. Trading in your vehicle allows you to avoid mileage and wear fees, as well as the disposition fee.
3. Purchase the vehicle
Many people decide to purchase the vehicle as their lease comes to an end. This is for two main reasons:
- Purchasing does not have any additional charges in the form of wear or disposition fees.
- You would be purchasing the vehicle for its residual value.
We hope with this information car leasing is less of an intimidating option. It is great fit for many people who want to try out different models or are at a stage of their life where they do not want to commit long-term to one car.
Check out the leasing options Gullo Ford has available today.