People Who Want to Get Out of Their Car Lease

Despite having signed a contract, you can still get out of your car lease. You have several options available to you, but they may be limited if your leasing bank doesn't allow lease transfers or if you're currently late on payments. Consider all of your lease-end options to best determine which can save you the most money. Lease Assumption Lease assumption, or transferring your lease to another person, may prove the cheapest way to end your lease. As long as your lease payments are up-to-date and your bank allows it, you can transfer the...

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Pros and Cons of Purchasing a Car

Buying a car provides several advantages. The car owner does not have to depend on a bus or train schedule to get to work and can leave at any time. The car owner also can use the car for recreation, visiting campsites and distant cities where mass transit is not available. The main disadvantages of car ownership are its extra costs, including maintenance and insurance. Short-Term Use A con of purchasing a car is that an individual does not have to purchase a car to use one. Rental agencies allow a customer to use a car for a short period...

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How to Clear a Reposession From Credit

If you purchase a car with a loan from a financial institution and then do not pay on the loan, or default on the loan, then they have the right to claim the vehicle. When they repossess the car, it could remain on your credit report as such. The lender can sell your vehicle to recoup some of their costs, but may still charge you with any leftover balance on the loan. A repossession can be extremely harmful to your credit score. Instructions ...

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The Advantages of Turning a Leased Vehicle in Early

In 2009, about six million Americans owned an underwater car -- a vehicle that is worth less than the money owed on it -- according to Bankrate.com. However, it is possible to turn in a lease vehicle early and escape a car with negative equity, or one you just don't want. At the very least, talk to your auto dealer about your options, because walking away from the lease usually is the worst thing you can do. Benefits Turning in a leased vehicle early lets you get out from an obligation you might not be able to afford. A new car might be...

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How to Handle a Car Payment When a Loved One Dies

When a loved one dies, the responsibility of handling his debts and assets often falls to his grieving family. If your loved one owned a car that was not yet paid off, your family can choose to either keep the car and transfer the title or sell the car and pay off the outstanding loan. You may then allocate any leftover funds accordingly. In either case, you will have to continue making payments on the loan to prevent the lender from repossessing...

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Who Pays the Deductible in a Car Accident?

As a car insurance policy holder, when a car accident occurs it is a relief to be able to say "I'm covered." But bear in mind that most car insurance policies require the policy holder to take some type of responsibility for an incident in the form of a deductible. Claims Process When you experience an incident while driving and wish to use your insurance coverage you must call the insurer to open a new claim. You must provide your policy information, date of the incident, police report and a full description of the occurrence. The insurer...

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What Is the Payoff for a Leased Car?

The purchase price for a leased vehicle changes throughout the contract term. If you purchase the car before the end of the lease term, you'll pay more than the purchase amount, also known as the residual value, which is stated in your contract. Expect to also pay fees comparable to those of a first-time purchase, such as tax and motor vehicle fees. Residual Value If you wait until the end of your contract, you'll pay the lease's residual value to purchase the car from the leasing bank. The residual value was determined at the time you...

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Can You Renegotiate a Car Lease?

Your leasing bank ultimately determines if you can renegotiate your lease; some banks may choose not to renegotiate lease terms if you've already signed your contract. If you haven't signed the paperwork for your lease yet, you can change the terms of the lease to better suit your needs. Consider which options your leasing bank may let you change and which other avenues you can pursue to end your lease without penalty fees. Before Signing Paperwork If you haven't signed your lease paperwork yet, you can change the leasing contract terms...

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Can You Move a Financed Car Across State Lines?

You can move your car across state lines as long as your loan contract doesn't state otherwise. However, you might run into problems when titling and registering the vehicle in your new state because of different insurance and title requirements. Consider the various issues you might face when moving a financed vehicle out of state so you can plan ahead. Lender and State Rules Before you move out of state, check the requirements of your old state motor vehicle department, new state motor vehicle department and your lender. As long as you...

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Repossession Laws for Texas Car Loans

The worst thing a person in danger of having their car repossessed can do is fail to communicate with the lienholder, according to Edna Hild, veteran used-car dealer of 38 years and owner of Texas Auto Mart in San Antonio, Texas. Most dealers and bankers are willing to work with you, Hild adds, because it is more expensive for them to repossess your car and dispose of it again, especially if you haven't maintained it. Lienholder's Right to Reposses...

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Is it Easy to Lease a Car If You Already Are Leasing?

If you are already leasing a car, you likely had good to excellent credit at the time you initiated your contract, which is a requirement of leasing. As long as your credit has remained in good standing, you should be able to lease another car. If you want to pursue a second lease, your approval also depends on your debt-to-income ratio. Credit Considerations If your credit has suffered since you initially leased your current vehicle, you may not obtain a lease approval. Banks require good to excellent credit for leases. All of the accounts...

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How Much Will the Bank Negotiate With You to Pay off a Car?

Paying off a regular auto loan early reduces interest charges from your loan account, possibly saving you thousands of dollars. If you're purchasing a leased car from the bank, it might accept a reasonable offer instead of your lease buyout amount. Balances due for repossessed vehicle loans are often negotiable, although settling the balance causes tax issues. Auto Loan Negotiations A bank isn't likely to negotiate the actual payoff amount of your car loan, although your future interest charges are subtracted from your payoff amount. Otherwise,...

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Can I Qualify to Buy a Car After Repossession?

Don't think that it's impossible to buy a car after a repossession. True, the majority of car lenders will reject your application. But by looking in the right place, you can secure a car loan after a repossession and drive away with a new or used automobile. Rebuild Credit After Repossession If you're not in a hurry to buy a new or used car after a repossession, delay the buying process and take this opportunity to improve your low credit...

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How Does Car Credit Work?

Cars can cost thousands of dollars, especially a brand-new vehicle, so buyers typically finance them to spread out repayment over several years. A car loan is a type of credit which you must apply and qualify. The automobile acts as security for the debt, so there are some special provisions for defaults. Loan Type Car credit falls into the installment loan category, according to Teri Cettina of the Bankrate financial site, unlike credit cards that have variable repayment schedules. You borrow a certain amount of money that covers the car...

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What Is the Longest Term I Can Get on a Car Loan?

Car loan term options differ by lender. The amount of money you want to borrow or your credit standing may restrict your term options. Some lenders may offer up to 84 months or longer for an auto loan, although restrictions may apply, based on the vehicle you choose. Resources To determine the longest term allowed by the loan provider your want to use, call potential lenders to inquire. Also, find out if any restrictions apply to available term options. Some lenders may offer loans that exceed 72 months, but may require that your loan amount...

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How Does a Car Title Loan Work?

Basics A car title loan is a way for a consumer to borrow money against the title of his or her vehicle. When a car or truck is owned free and clear of any liens, the owner holds a title. Without the title, the person cannot sell the vehicle. There are auto title lenders, similar to and sometimes in the same building as payday lenders, that specialize in loaning money to consumers using their auto titles as collateral. When someone borrows money with a car title loan, they give up the title to their car, and thus full ownership, in exchange...

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How to Sell a Car You Still Owe Payments On

If you are currently making payments on a car that you do not want to keep or simply cannot afford to keep, you may not know what your options are. Even though you are still making payments on the car, you can sell the car to get rid of it. Since you are still making payments on the car, that means that you still have a car loan outstanding on the vehicle. When you have a loan on the car, this means that you do not have the car title, which is part...

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Questions to Ask When Buying a Certified Pre-Owned Car

Certified pre-owned (CPO) cars present an ideal way to purchase a newer auto in like-new condition but at a depreciated price. With the help of a checklist, manufacturer-trained mechanics inspect each pre-owned vehicle that is five years old or newer. Once the car passes all the necessary inspections and meets the manufacturer's standards, the vehicle is officially considered a certified pre-owned car. However, it is important to ask the right questions...

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How to Sell a Private Car Loan

Loaning money to someone for a car loan will give you a profit if you have a signed contract detailing payments that add interest to the price of the car. This investment poses risks that may or may not materialize during the life of the loan. Once the contract is signed you cannot back out of the deal, so you are stuck being the lender. There are financial institutions that will buy this loan from you if the car owner has a good credit rating. ...

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How to Sell a Car When You're Still Financing

To sell a car that you're still financing, plan ahead to pay off your auto loan provider so you can quickly transfer your vehicle's title to your buyer. Many states do not allow title transfers when a lien exists, so expect to remove the lien from the title or obtain a lien release to provide with the car's title to your buyer. Before you advertise your car for sale, learn about your lender's payoff process and the time frame it requires to process paperwork to better work with a buyer. Instructions 1 Call your auto loan provider. Ask for...

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Does My Lease Agreement Require Me to Get Tires at the BMW Dealership?

Vehicle leases are an alternative to obtaining dealer or bank financing and buying a vehicle on your own. The monthly payment of your lease covers all of the maintenance of your vehicle, except for items such as tires. The tires on your BMW are subject to special provisions in your lease that specify the condition and type of tire allowed for the vehicle. Lease Contract The lease contract for your BMW contains detailed paragraphs concerning...

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Can You Sell Your Car When the Bank Owns the Title?

You can sell your car even if the bank still owns the title, meaning that the bank is the lien holder. Once you satisfy your lien, the bank will give you your title, which is required to sell your car inmost states. Some states do allow you to transfer ownership while a lien is present, but most buyers know this is risky because of the chance of your non-payment. Payoff Amount As soon as you pay your vehicle loan in full, you will become...

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How Can I Get a Car Loan Without a Cosigner?

You may still obtain a car loan with poor credit or lack of credit. Some lenders may be able to work with you, while others will not take the risk. Explore options that can help you obtain financing; you may have to provide a down payment, work with a dealer or wait until your credit improves. Apply to a Different Bank If one auto loan provider turned your loan down, try again. You can apply at banks or credit unions in your area or use an online lender. You might find success applying to a bank where you have a checking or savings account....

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Can I Trade in My New Car for a Cheaper One?

New car buyers may find themselves in a situation where they can't afford to make the payments on the vehicle, or simply are not happy with their purchase. It may be possible to trade in the vehicle for a cheaper one, although this is not always easy. If the vehicle is financed, any transaction becomes more complicated, and it can be difficult to avoid losing money on the transaction due in part to a new vehicle's rapid depreciation. Upside Down...

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Can I Get an Auto Loan for $2,000?

Many auto loan providers have lending restrictions for used car loans. Expect to meet a minimum lending threshold for your loan approval, which differs by lender. To ultimately determine whether an auto loan provider offers a $2,000 loan option, you'll have to contact different loan providers for information. If you can't find a lender for your car loan, you may have other options. Resources To find out whether any auto loan providers in your area offer auto loans for $2,000, call around to bank and credit unions. Call large dealerships,...

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Which is the Easiest Car to Lease?

Leases are available for most new vehicles. However, no vehicle lease is "easier" to obtain than another. Approvals are based on your credit standing. Banks require good to excellent credit for lease approvals. Expect to shop leases by term, mileage and down payment requirements. If you have credit issues, you may find that financing your vehicle offers more flexibility. Comparing Leases If you're looking for a car that will easily fit your budget, shop lease offers online. Vehicle manufacturers advertise lease programs on their websites....

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Dealer Invoice Information

The dealer invoice is a document that lists the dealer cost and suggested retail price of a new vehicle offered for sale. In addition to providing detailed pricing information, the invoice also includes information on the options and packages installed on a new car or truck. The pricing information displayed on dealer invoices is relevant only when purchasing a new car. However, the other information provided on options and packages is relevant for new and used car buyers. Basic Vehicle Information Dealer invoices display basic information...

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