Leasing a car has many advantages, such as driving a new vehicle and having a low monthly payment. However, many people get anxious when it's time to return the car at the end of the leasing period. The most common issues when returning a leased car are penalties for excessive mileage and damages. To avoid the fees at the end of the term, take a few steps to prepare your vehicle for the final inspection.
Excessive Mileage Charges
One of the most common fees is for the mileage over the limit specified in the lease contract. Before signing a lease contact, estimate how many miles you will drive every day, including holidays and weekends. If your estimate is over the allowed limit, purchase the extra mileage up front. It will be cheaper than paying the excessive mileage fees at the end of the lease term.
Damage Charges
If the vehicle has damage over and above "normal wear and tear" as defined in your lease contract, the leasing company will bill you for the repairs. The charges can add up to three monthly lease payments. To avoid these charges, have the vehicle serviced regularly and keep the interior and exterior clean. If there are scratches or minor damage, fix them before returning the car. It will cost less than paying the leasing company's repair bill. Your insurance company may replace a cracked windshield free of charge. Service and clean the car before the inspection.
Disposition Charge
Disposition charge is the fee, from $250 to $450, to compensate the leasing company for the expenses of selling or disposing of the vehicle. The company may waive the fee if you purchase the vehicle at the end of your lease. Some leasing companies don't charge a disposition fee, while others require you to pay it even if you purchase the vehicle. Try to negotiate the fee before signing the lease contract.
0 comments:
Post a Comment