How to Terminate an Auto Lease

Terminating your auto lease before the end of your contract can prove expensive. Expect to pay early-termination charges in addition to any monthly payments still owed for the contract term. Some leasing companies require that you pay the fees before ending the lease, although some allow for the payments afterward. Follow your bank's specific guidelines for terminating a lease before the contract is up.

Instructions

1

Call the bank that you lease through. Have your account number handy. Record your exact odometer reading on the vehicle, since the representative will ask for the mileage.

2

Follow the prompts to reach a customer service representative. Tell the representative that you want to terminate your lease. Answer any questions you're asked and discuss how much you can expect to pay for ending your lease.

3

Ask if you must have your vehicle inspected before the return, as some leasing companies require this. Find out where you can return the vehicle. Most banks allow you to drop it off at a dealership, while some request returning it to an auction location or a local bank. The bank will provide further details if you're returning the vehicle to a place other than a dealership.

4

Clean your vehicle out completely. Arrange for a vehicle inspection, if you're required to do so, and complete it as soon as possible.

5

Make any payments required before returning the vehicle, unless you were told that you can wait until after the return. Some banks do the wear-and-tear assessment after your vehicle has been collected from the dealership where it was returned. Bring your vehicle to the discussed drop-off location and arrange for a ride.

6

Sign any paperwork required by the dealer, auctioneer or bank when you return the vehicle. This usually entails confirmation of the vehicle's return, the number of keys brought back with the vehicle, a statement from you that describes any previous damage and the present vehicle mileage. Ask for a copy of the return notice before leaving.

7

Pay the bank for any wear-and-tear damages or additional fees, if requested. Not paying lease termination costs can result in a change in your credit rating, as the bank will report nonpayment to the major credit-reporting bureaus.