What Happens When a Car Lease Ends?

October 17th, 2019 by

If you wonder what happens at the end of a car lease, you have options you’ll want to prepare for far in advance.

It’s almost impossible to hold down a job, visit family or lead a normal life without mobility.

Without a vehicle, you simply can’t get around and do the things you need to do. But not everyone can afford a car. So they usually get left in the dust.

But there are leases for those who can’t afford to buy a vehicle. With a lease, you basically promise to take care of a car the dealership lends you. And while that may sound fair, it’s important to understand what happens when your lease ends.

If you don’t, the vehicle could disappear.

Know Happens at the End Before You Sign On

Leasing is attractive because it’s an affordable way to get the car you want. It doesn’t matter if you want the latest Cadillac SUV or a decade-old sedan. Usually there are leasing options you can take advantage of.

Never impulsively sign a lease. Research the car you want and the dealership you’ll work with. Ask people what to expect by leasing with a certain dealer. If co-workers, friends and family have dealt with the dealership, seek their opinions.

Most importantly, ask the dealership what happens when the car lease ends. They’ll make sure you understand their expectations when you turn in the car.

Every Lease Offers Options at the End

Just because your lease is up doesn’t mean you immediately give back your car. You usually have several end-of-lease options.

It can be hard to tell which option is best, though. Much depends on your financial fitness, and what you know you can afford.

For example, if you can afford to buy the car outright, you probably should. It guarantees you always have a vehicle. And since you drove it for so long, you know what to expect from of it.

But not everyone can lay down the cash to keep their car. Some need to explore other options.

Three Common Post-Lease Options

To learn more about the choices you have, consider these three likely options.

Agree to a lease extension

As long as the car was treated well, most dealerships let you extend your lease. For many people, this may be the best option. An extension assures no dramatic changes in your life and finances.

Some leasing agencies and dealerships even offer discounts on extended leases. Ask about potential discounts if you maintained the vehicle well and have good credit.

Both make you a valuable customer. Your dealership will work to keep you signed on — even if it means a discount. That way, you keep your car for less money.

Pay the price of practicality

If your finances improved since you leased, you may buy a car outright. And if you don’t renew your lease, you’re on the lookout for a new vehicle.

But why get a whole new car when you can just keep the one you drive?

If you buy the car you leased, you won’t buy a lemon. All you do is pay the dealership for the car, and you drive off as its new owner.

Trade it in like the end of a trial period

Sometimes, the car you leased simply doesn’t satisfy you. It may not get the gas mileage you want, or it may not capture your style. Yet you still may want to buy a car when your lease ends, just not that one. In these circumstances, there are trade-in options.

These options let you can trade-in your leased car for credit toward the purchase of a different car. Think of it as a discount on a new car you earned by fulfilling your lease.

By trading in your lease, you might afford a new vehicle that works better for you.

A Car Lease Can Give a New Lease on Life

Without a vehicle, you’ll struggle to accomplish most tasks. Life gets hard without personal mobility. That’s the real appeal of a lease. It gives people an affordable way to do basic tasks.

That’s also why it’s so important to know what happens when your car lease ends. You should know before you sign the lease if you’ll lose the car you depend on .

Research beforehand. Most of all, go with a dealership you trust. Contact us if you need a car lease. We’ll work with you to assure you get what you need, and you understand what happens when the lease ends.

Posted in Leasing