Can a Car Dealer Give Me Cash for My Leased Vehicle?

A dealer can only give you cash for your leased vehicle if your car's value exceeds your lease buyout amount. A dealer must pay your leasing bank for the car's value before purchasing. You might be able to find a dealer who wants to purchase your car, but you might make more money by selling the vehicle privately. Lease Buyout You can purchase your leased vehicle at any time. If you trade the car to a dealer, it must satisfy your leasing bank to obtain a clear vehicle title, a state requirement for resale. The dealer can then return the...

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Can I Sell My Car Without the Original Title?

The car title is a very important document, because it proves that you own the car. When selling your car, you need to have the title as proof of ownership. Don't trust a car dealer or individual who tries to convince you otherwise, or you could end up in trouble. However, if the original title is lost, you can secure a replacement title. Legality A title proves that you, not someone else, owns the car. So, selling a car without a title is...

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How to Determine Equity in a Leased Vehicle

If you can purchase your leased vehicle from your bank for less than its resale or trade-in value, the vehicle has equity. Depending on how far along you are in your lease contract, your vehicle might not have any equity at all. Leasing banks charge monthly payments based on expected depreciation, which often evens out at the end of the lease term. The residual value, or the cost of the car that stays out of your payments, is the expected value at the end of the term. The vehicle might have no equity in it until then. Instructions 1 Call...

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How to Finance a Vehicle With a Lien on the Title

A lien on a vehicle is most often due to a previous car loan that is not yet paid in full. If you buy a car that already has a lien and you want to finance it yourself, you'll have to work with the seller to release the existing lien first. Until this happens, you're going to have a problem completing the transaction. Instructions 1 Negotiate with the seller on the final selling price of the car. If the seller is unable to pay off the lien himself, which would be the normal course of action, you may have to negotiate to pay off the other...

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Advice About Not Getting Ripped Off On a Car Lease

Leasing a car can be attractive because it allows you to get a lower payment than if you were buying a car. While it can be effective, you could also get ripped off easily if you are not careful. Lease terms can be confusing, and you need to keep some tips in mind when you talk to the dealer. Negotiate Price First When you go into a dealer and find a car that you like, you may be tempted to try to start negotiating on how much you can get the payment down to. While this could help you save a few dollars per month, it is not the best approach...

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Ways to Reduce Car Payments

A car payment can eat up a good portion of your monthly earnings, so it's best to plan out how much you want to pay before you purchase the car. Decide on the maximum monthly payment you're willing to make, and the dealer will be able to help you figure out how to achieve it. If you're already paying for a car, there are some things you can do, though your choices are more limited. Consider Buying Used You may want a nice new car, but if...

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Problems with Hybrid Cars

If you are considering the purchase of a hybrid car, there are a few factors you will need to examine prior to purchase. While hybrid cars do offer many advantages, their disadvantages are often overlooked. Many of the disadvantages of a hybrid won't affect your wallet, but a few of these considerations can be quite costly. Lack of Power To increase fuel efficiency, hybrids have much less powerful engines, resulting in cars with a considerable drop in power. Both acceleration and pulling power are affected by this. Cost of Repairs ...

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How to Deal With a Car Loan

Car loans are a regular part of life for most Americans. The reason for this is that most people cannot afford to pay for a new car outright and must get a loan. Auto loans are typically about four to six years long. It is better to just buy a used car outright than to buy a new car that you can't afford; but if you already have a car loan, you must find a way to deal with the expense. Instructions 1 Pay extra money on your car loan each month if you can, which will allow you to pay off your loan early and reduce your interest payments....

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How to Find a Monthly Car Payment

Many people have to take out a loan when they buy a car. These loans require monthly payments to repay the amount borrowed plus interest. To find the monthly payment, you need to know how long you will have to repay the loan, the interest rate and the amount you borrowed. You can find your monthly car payment using an online calculator (see Resources) or working out the formula by hand. Instructions 1 Multiply your annual interest rate by...

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When to Lease a Car?

Leasing a car is not for everyone, so you need to know when is the right time for you to lease a car and when you should buy one. Many of the factors that go into making the decision are dependent on who is making the decision -- what is right for one person may not be right for another. Monthly Payments If the monthly amount you will pay for a vehicle is a big concern or you want a lot of car for the least amount of money, then you may want to lease a vehicle. For the same car, the monthly leasing amount will be significantly less than...

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How Much Insurance Do You Need to Lease a Car?

Leasing banks require its lessees to carry insurance coverage higher than the state minimums. Because the bank owns the leased vehicle and not the lessee, the bank requires increased limits to protect from loss or non-payment. Before you pursue a lease, consider the necessary coverage requirements and your overall cost. Full-Coverage Insurance Leasing banks require full-coverage insurance. This policy covers your car's market value in the event of a loss, even if you were at fault. If this is your first loan and you have only maintained...

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How to Pay a Car Note Twice a Month to Cut Interest

Interest on most automobile loans is calculated over the term of the loan. Making multiple payments per month can reduce the total amount due on the loan and help pay the loan off more quickly. This method works because interest is paid only once per month. The second bimonthly payment is devoted to the loan principal. Instructions 1 Calculate the periodic interest rate. Find the stated rate of interest in your loan promissory note and...

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What Are the Disadvantages of Leasing an Automobile?

Leasing an automobile may have some advantages, but it is very important to be aware of the disadvantages prior to entering into an agreement. Once you have carefully thought through the advantages and disadvantages of leasing, and compared these to your personal situation, you will be in a better position to make an informed decision. Payments When leasing a car, you are making payments on a vehicle that you do not own and will not own....

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Vehicle Finance Problems

Various vehicle finance problems exists, which are mainly the result of credit issues or other information reviewed by the bank that may result in a declined application, such as employment, income or address history. Whichever the case, solutions do exist for common finance issues. You may have alternatives to consider for your vehicle purchase if you run in to finance problems. Types Several types of vehicle finance problems exist. A declined finance application means you cannot finance through the particular lender you applied to. Or,...

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Do I Need Good Credit to Lease a Car?

Good credit is normally required to lease a car. In most cases, a credit score above 680 or a lower score with a good repayment history on prior auto loans and leases is necessary to ensure the most attractive lease offers. To avoid being blindsided by a dealership telling you about your poor credit position, you should check your credit score before visiting the dealership, just so you are not taken aback if things do not go as expected in the showroom. Credit Scores Measure Risk Leasing companies consider credit scores when assessing...

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Can I Discharge a Car Note With a Bonded Promissory Note?

Every now and then, a debt consolidation agency or salesperson may come around and offer a borrower the opportunity to discharge his car loans with a bonded promissory note. This might seem like a tempting option, but bonded promissory notes are often the instrument of scams and fraud. Understanding the difference between a legitimate debt arrangement, such as a promissory note, and a potential scam is important to avoiding this kind of fraud. ...

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How to Get the Best Car Lease

Car leases are desirable because they typically feature lower monthly payments. However, several factors determine whether you get a good car lease deal. If you're looking to lease a new car, and you want to get the best car lease, familiarize yourself with the leasing process beforehand. Ask questions and determine whether a lease is right for you. Instructions 1 Increase your credit score. To get the best car lease, check your credit report...

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Leasing Verses Purchasing an Automobile

Leasing and buying an automobile have similarities. Through each option, you gain access to a vehicle and make monthly payments to the agency that provided it. Yet leasing and buying are inherently different in nature, a difference akin to renting versus purchasing a home. Financial and automobile resources assert that each option has advantages and disadvantages. Leasing Advantages According to online financial resource Smart Money, leasing...

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How to Let Someone Take Over Your Auto Loan

If you want to sell a vehicle and you are still making payments on the car loan, you can do so. You just need to find someone who is willing to take over your monthly payments. To do this, you need to have the person submit a credit application and legally take over your auto loan. This releases you from liability for the vehicle and makes the other person the legally responsible party for it. Not all auto loan companies let someone take over an auto loan. For those that do, the process is the same. Instructions 1 Get the contact number...

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Is it Good for Your Credit to Pay a Car Off Early?

If you're looking for ways to improve your credit score, paying off your loans is a good start. Some loans, such as an auto loan, are easier to pay off than other loans, such as a mortgage. However, before you decide to pay off your auto loan, it's important to consider any possible penalties and whether or not you can afford to do so. How it Can Help Your Credit Anytime you pay off a loan, you will see your credit score respond positively. Paying off an auto loan means that you have one less loan, which means that your debt-to-income ratio...

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How to Return a Car After Purchase

Many factors may cause a car buyer to return a newly purchased car, such as mechanical issues or falling behind on payments. Many car dealers have a "money-back guarantee" that allows the car to be returned after a three-day period if the buyer is dissatisfied. Many states also have "Lemon Laws" that protect consumers if a dealer fails to repair mechanical problems on a newly purchased car. Before returning the car, all options that are best for...

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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,...

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Car Financing Rates Guide

Your car financing rate can potentially cost you significant money during the term of your loan. Not everyone is approved for the best rates offered or advertised and rates are as high as 29 percent in some states. Several different types of lenders exist for vehicle financing, which you can use to your advantage to shop around for the best rate or find a lender to fit your needs. Manufacturer Offers Manufacturer rates are often the most competitive but are usually only available for new-car purchases. The car companies provide incentives...

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How to Calculate the Fair Market Value of a Repossessed Car

Fair market values are often used to determine insurance replacement costs or vehicle tax values. Repossessed vehicles are sold at auction for wholesale value or sold privately for retail value. The Internal Revenue Service website states that lenders don't have to sell your vehicle for the best price, just as long as the car is sold in a commercially reasonable manner, meaning the lender can accept a lesser price depending on the market and condition of the vehicle. The vehicle's actual sales price may be below fair market value. Instructions...

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How to Terminate a Vehicle Lease Early

Leasing a car and then deciding you no longer want the vehicle puts you in an awkward position. Leasing a car involves signing a contract, wherein you agree to pay a certain amount on a car for a specific term. Dealerships and finance companies expect you to keep the car until the lease ends. But what if you need to get rid of the car sooner? Fortunately, provisions are available to help you terminate a vehicle lease early -- without risking your credit rating. Instructions 1 Deliver the car to the dealership, and pay any financial obligations....

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How Financing a Car Works

When you go to a dealership to purchase a car, you have two purchasing options; you can pay for the car in full at once or you can finance the car. Because a car is a large purchase, many people choose to finance. Automotive.com says that 70 percent of vehicles are financed. An informed consumer is a wise consumer so you should understand the vehicle financing process prior to financing your new car. Misconceptions A common misconception...

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How Much Can I Afford on an Auto Loan?

The car of your dreams may not always be the car for your budget. Calculating how much you can afford on an auto loan prevents you from eying a vehicle that costs more than you can comfortably afford. After all, even if you take out a loan to buy a vehicle, you must repay the money. Debt-to-Income Ratio The amount of debt you already have gives lenders insight into how much you can afford to spend on monthly auto payments. They total your current monthly obligations, such as credit card accounts and mortgage loans, and divide the sum by...

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How to Buy a Car With Poor Credit

Most people need reliable transportation for work, school and personal affairs. Some people are able to save money and pay cash for an inexpensive car. But if you don't have cash, financing an automobile is the next best thing. A good credit score can help you finance a car at a low rate. Although lenders prefer applicants with a good credit history, it's possible to get a car loan with poor credit. Knowing where to look is the key. Instructions...

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What to Bring to Get Car Loans

Most auto loan providers require proof of a borrower's income, address and employment to ultimately approve a car loan. Even if you plan to finance at a dealership, expect to provide the same information, as the dealer is required to follow any lender requirements. Having your information and documents ready can speed up the application and approval process. License and Insurance Expect to provide your driver's license or other valid proof of identity to your lender, such as a passport or military identification. Collision coverage is also...

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How Long for a Cosigner to Be Removed From a Car Lien?

Most lenders do not allow borrowers to remove a co-owner. If you have applied for a new loan without a co-owner, you are refinancing your current loan, in which case, your cosigner is removed instantly. You must have your cosigner's permission and signature to remove him from your loan. Removing the Cosigner If your lender allows you to remove your cosigner, the process should take only as long as it takes your lender to process your paperwork. If your lender isn't local, the process may take several weeks. If your lender is local, the...

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What Is the Grace Period for Car Loans in Nevada?

Nevada state laws do not regulate grace periods for car loans. Typically, a grace period entitles the borrower to be 10 to 15 days late making a payment without having to pay a late fee. The availability of a grace period on a car loan in Nevada is totally dependent on the lender's willingness to offer it to the borrower. Contract Your contract with the lender identifies your grace period if one is available. The federal Truth in Lending Act ensures that your lender provides the complete details of the loan in a disclosure statement. Required...

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Should You Use Home Equity to Purchase a Used Car?

Some people purchase cars with funds from home equity products. Homeowners can extract equity from their homes in a variety of ways and generally lenders enable people to use funds for any legal purpose, including buying a car. There are some advantages to using home equity to finance a car but there are also disadvantages and people should carefully consider the pros and cons before making a decision. Accessing Home Equity There are three products that people can use to extract equity from their homes: a mortgage cash-out refinance, a...

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How to Negotiate a Residual Lease

When banks determine the residual value of new cars, they anticipate consumer negotiations. Residual values are not fixed. Set values sometimes reflect market value, but hardly ever match a best estimate of the going price established by manufacturers. As a matter of fact, manufacturers exploit marketing schemes to boost the residual value of particular models by lowering monthly payments. Leasing instead of buying is rewarded. Residual leasing...

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What Is the Depreciation Percent in the First Year for Cars?

Buying a new car can be expensive. After you pay the hefty price to drive the car off the dealership lot, you also may experience increased costs for insurance, registration, gas and repairs. However, one of the biggest expenses of new car ownership is the depreciation to the vehicle in the first year that you own it. Definition When you buy an item of value, it becomes an asset to you. Some assets decline in value and others increase. Some will do both over the span of their useful lives. If you buy an item with increasing value, then...

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Will a Cash Downpayment on a Car Help with Financing?

You can more easily obtain financing for a car if you make a cash down payment. Cash down payment or not, you still have to qualify for the loan, and your income and credit score have a major impact on your qualification. If you can qualify for a loan, making a down payment saves you money in the long term. Credit And Income Lenders usually require you to have a credit score of 620 or higher in order to take out any kind of loan, and people with scores lower than that have so-called "subprime" credit scores. Very few lenders finance car...

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What Does it Mean to Finance a Vehicle?

The majority of vehicles purchased are financed entirely or in part. The Federal Trade Commission (FTC) mentions that the average price of a new car in March 2007 was $28,000 and the average price of a used car was $15,000. Few consumers can pay this out-of-pocket and require financing. Financing a vehicle simply means acquiring a car loan to complete an auto purchase. Direct Lending One way to finance a vehicle purchase is through what is...

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