Getting out of a lease agreement early - and cheaply

Getting out of a lease agreement early - and cheaply

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Highway Star

Original Poster:

3,596 posts

238 months

Monday 10th December 2007
quotequote all
Does anyone have any experience of this?

We moved to the US about two and a half years ago with my wife's work on a three year visa and after a couple of months in a hire car, leased a new Honda Civic on a three year deal (no credit rating means we got raped on the payments, but ho hum). I moved back to the UK recently and my wife is also returning early, next year for a variety of work and personal reasons.

The lease on the car will have about six months to run. We don't fancy having to pay the remaining payments in one lump sum or an early termination penalty (pretty much the remaining payments), if we don't have to.

Searching on the Internet, we found this site http://www.swapalease.com/, where you advertise your lease for assumption by a third party who take the lease off you and see it through.

Any American or ex-American resident PHers ever done this?

Thanks,

HS smile

Edited by Highway Star on Monday 10th December 16:05

GavinPearson

5,715 posts

258 months

Tuesday 11th December 2007
quotequote all
swapalease.com is pretty well known but it requires a fee and you need to consider that you need to make it worth people's while to take over a lease - it needs to be cheaper than if they just went to the dealer.

The other thing you need to bear in mind is that you are still liable and so if you swap the car to somebody who doesn't take adequate care of it, you are liable. Not good.

I would try to make arrangements with the credit company and if those fail try to sell and pay off the deal. If you can't make that work then let the dealer have the car back, pay the money and walk away.

jeff m

4,060 posts

265 months

Tuesday 11th December 2007
quotequote all
Try talking to the manager of the dealers used car dept. (not new car sales)
He may take it off your hands, especially if its good mileage.

Highway Star

Original Poster:

3,596 posts

238 months

Tuesday 11th December 2007
quotequote all
Thanks for the replies guys, much appreciated.

Not sure I like the sound of someone tooling around in our car for six months, returning it dented and then us being approached to pay (even though we'd been long gone from the US by then, but that's not the done thing).

We'll approach the used sales manager at the dealer in town - the car isn't low mileage - just over two years old and 30,000 on the clock (15,000 mile a year limited lease), but it is in good condition.

Looks like we might just have to suck up a couple of grand loss and just pay it off.

Most importantly it sports a PH sticker, which must add $$$$ to the value.