How to Terminate an Auto Lease to Lease Another Car

Terminating an auto lease to lease another vehicle is a common occurrence, but it can be intimidating, especially when you consider the unique stipulations and terminology related to a lease. In order to terminate an auto lease to get another vehicle, you must return the leased vehicle to a car dealership that sells the same brand as your leased car. You may also be required to pay lease-end charges, which may include the remaining lease payments, excess mileage charges and a disposition fee.

Instructions

1

Contact your leasing company. Whether you want to end your lease early to lease another vehicle or your lease is approaching its scheduled maturation date, contact the leasing company before you visit a dealership. Be sure to have your account number available.

2

Verify the lease-end date and any fees due at the end of the lease with the finance company. You may be surprised to discover that your lease is longer than you expected or that you have gone over the total mileage allowed in your contract. Getting in touch with the leasing company ahead of time helps prevent surprises when you get to the dealership.

3

Contact a dealership that sells the type of vehicle that you want to lease. Schedule an appointment so that you can review lease options on your vehicles of choice before your current lease matures.

4

Visit the dealership and get quotes on your vehicles of choice. If you have remaining lease payments that must be paid as part of the transaction, have the dealership include the remaining balance on your lease in the quote. Whether the dealership sells the same brand as your current vehicle makes no difference, as it can still pay off the early-termination amount for your lease.

5

Agree to terms on a new car lease.

6

Return your old leased vehicle to a dealership that sells the brand. The dealership will take the vehicle identification number and mileage and report it to the leasing company, which will then order a third-party inspection to check for damage and wear beyond that allowed in the lease agreement.

7

Have the dealership where you are leasing your new car roll the payoff amount into your new lease, if you wish. If you prefer to avoid paying that extra interest or raising your payment, which will happen if you carry a balance into your new lease, you can pay the balance on your own.