How to Break a Car's Rental Lease

When you lease a car, you enter into a rental agreement under which the car's owner allows you to use it for a number of years in return for monthly payments. Although you are under a legal obligation to honor the agreement, lease contracts include clauses that enable you to terminate your lease before the end of the rental term. However, to protect the financial interests of the lessor or owner, early terminations usually prove quite costly for the lessee.

Instructions

1

Locate your lease agreement. Review the contract to see if it includes a clause for a lease assumption. If such a clause exists, someone else can take over your lease, in which case you avoid having to pay any penalties for terminating. However, you may have to pay a lease transfer fee.

2

Contact the vehicle owner and find out whether you can trade in the vehicle for a newer model. You may want to do this if the car you are currently leasing no longer serves your needs. However, when you trade in your leased car, the vehicle owner may still assess the early termination penalties by adding them to the cost of the lease on the new car.

3

Ask the vehicle owner how much you must pay in termination fees if you break the lease. Under the terms of the lease contract, the vehicle owner may have the option to assess penalties for wear and tear. You may also have to pay a penalty fee that amounts to the sum total of the remaining lease payments.

4

Surrender the keys of the car to the vehicle owner. Pay the penalty fees with cash or a cashier's check. Ask for a receipt showing a zero balance.