How to Break a Car Lease

Transferring the Car Lease

1. 
   Review your lease agreement's provisions on transfer. A lease transfer allows you to find someone else who wants the car and is willing and able to make the monthly lease payments.

   1. If you're able to transfer your lease, you can get out of the monthly payments without paying early termination costs. You'll still pay a few hundred dollars to transfer the lease.
   2. About 80 percent of leases have no post-transfer obligations, but the other 20 percent require that you assume responsibility for the successful payment and maintenance of the vehicle. Although the general trend in leasing favors open transfer policies, some lease agents and car companies such as BMW and Infiniti retain post-transfer obligations.
   3. If your lease includes post-transfer obligations, you're still on the hook for payments even after the transfer. This means if the person who took over your lease doesn't make the payments, the lease company will come after you.^[1]
   4. Some car companies also limit the time frame when you can transfer your lease. For example, Nissan won't allow you to transfer your lease if you have fewer than seven payments remaining.^[2]
   5. Your lease company may require you to pay a fee for the transfer and processing of the application, although you could pass these fees on to your buyer. For example, Ford Motor Credit Company charges a $75 credit application fee.^[3]
   6. Never transfer a lease without the lease company's approval. Doing so will result in significant fines.
2. 
   Find lease transfer companies online. Companies such as CarLeaseDepot.com, Swapalease.com, and LeaseTrader.com specialize in lease transfers and handle the transfer process by working directly with your lease company.^[4]

   1. Compare the fees and services of several lease transfer companies, and read customer reviews. Make sure you've read and understand the detail for all fees and procedures before you pick one to use.
   2. While each company does the same thing, fees for various aspects of the process may differ, or you may find you prefer one company's handling methods to another.
3. 
   Advertise your lease transfer. Once you pay the advertising fees, the lease transfer company will post your advertisement on its online marketplace.

   1. Research reasons people take over car leases. Taking over a lease has many benefits, including the ability to commit for a shorter period of time and avoid hefty down payments. If you find reasons that seem to fit your car, you can target your advertisement toward those people for better responses.
   2. For example, some people like to swap cars frequently and try new things, so if your leased car is a particularly trendy or sporty car, you might want to tailor your ad to attract that kind of buyer.
   3. Interested parties will respond to you via email or through your account on the lease transfer company's website.
4. 
   Respond to inquiries from interested parties and negotiate transfer terms. Provide details and documentation relating to the vehicle's condition, maintenance, and accident history as soon as possible.

   1. Usually, the new lessee pays for any necessary vehicle inspections and transportation, as well as any transfer fees charged by the lease company.
   2. Depending on your situation, you might want to add an incentive for the person who will take over your lease. A typical incentive is a stipend that reduces the monthly payments for the lease buyer, and can range from $500 to $5,000.
   3. When transferring a lease to someone who lives in another state, the lease transfer company can help arrange vehicle inspections or transportation of the vehicle.
5. 
   Transfer your lease. Either the lease transfer company or your original leasing company will do a credit check to see if the interested party is eligible to assume the lease.There may be a fee for this.^[5]

   1. Once the buyer is approved, you'll pay a processing fee to the lease transfer company and provide the lease information to the transfer company.
   2. The lease transfer process usually takes several weeks to complete. Once the transfer is in order, you'll sign the documents from the original lease company and the transfer company and turn over the car.