Pros and Cons of Ending Your Car Lease Early

Leasing a car has become an economical and flexible option compared to buying a vehicle. However, you may need to end your car lease earlier due to different life circumferences. It is important to consider the pros and cons of ending your car lease early before making a final decision.

Pros of Ending Your Car Lease Early

Get Freedom from a Vehicle

You may need to change your vehicle with the passage of time, and your current car doesn’t meet the requirements. The termination of the car lease becomes essential whether you are moving to another city, looking for a fuel-efficient vehicle, or your leased car is outgrowing. Ending your car lease early offers you the needed flexibility.

Reduce Financial Strain

When you are experiencing financial challenges, regular lease payments can make the situation worse. Ending the lease earlier can easily relieve the financial strain when you can shift the lease to another person or consider negotiation for favorable terms.

Avoid Mileage Overcharges

A car lease includes a mileage limit with a typical range of 10,000 to 15,000 miles annually. It can result in hefty fines in the case of exceeding the mileage limits on the day of ending the car lease. Ending the lease early can save you from additional expenses if you observe that you are going to exceed the mileage cap.

Upgrade to a Newer Model

When you are looking to upgrade your vehicle, consider the latest technology and features in new car models. Ending the lease can enable you to enjoy marvelous riding and excellent safety rather than waiting for lease expiration.

Cons of Ending Your Car Lease Early

High Early Termination Cost

The biggest disadvantage of ending a car lease is the high termination fee. Usually, a lease agreement consists of steep early termination expenses as compared to making the remaining payment.

Negative Effect on Credit Score

Ending a lease early can affect your credit score if you fail to make the required termination fees. Missed payments can negatively impact the credit report, which can restrict you from securing the loans.

Difficult to Find Someone to Transfer the Lease

It can be a challenging situation to find someone who is looking to take over your lease. It is a fact that you need to pay the transfer fees even if you are looking for a suitable buyer for your vehicle.

Why Consider New Gen Auto as your broker for Leasing a Car?

Working with a licensed auto broker such as New Gen Auto can benefit in many ways. These days, people spend hours at a dealership and even then may not walk out with a purchase. You get access to a wide range of vehicles to tailor to your budget and preferences. We offer convenience by handling all processes, including vehicle search and negotiation. Leave the car shopping to us!