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Posted in Auto Loans
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lalagrace

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Car Lease Turn In...Help!
I'm moving to another city where I found a better job opportunity. I won't be needing my car anymore (its a lease with vw), since I'd be able to reach my destinations via public transport plus saving money. I would like to either sell my lease or turn in my car, how bad would this affect my credit? What options do I have to deal with the after math?

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LEASE

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TAKE YOUR CAR BACK TO THE DEALER YOU BOUGHT IT FROM. THEY CAN EITHER BUY BACK THE CAR FROM YOU OR THEY CAN CALL THE BANK AND SEE HOW MUCH IT WOULD BE TO END YOUR LEASE EARLY. JUST REMEMBER THERE WILL POSSIBLY BE FEES INVOLVED FOR TERMINATING YOUR LEASE EARLY. THE BANK SHOULD GIVE YOU 2 DIFFERENT OPTIONS. AN AMOUNT FOR DEALER TO PAY TO BUY THE VEHICLE BACK AND ALSO AN AMOUNT TO END THE LEASE EARLY.

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Never terminate your lease in my opinion. Check out Carmax or try selling it yourself.

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Options

You can do several things. 

First, you can keep the vehicle and pay the lease.

Second, you can return the vehicle and essentially pay the remaing amount of the lease. 

Third, you can sell it to a private party.  You will have to make up the difference to the leasing company if the sale price is less than the amount remaining on the lease.  Or, you keep the extra money if the selling price is more.  You will need to buy the vehicle from the leasing company and then sell it.  There will be some effort and paperwork required.

Fourth, you can sell the vehicle to a dealer or to Carmax.  Once again, any difference between the selling price and the amount owed will need to be addressed.  This might be the best option as the dealership or Carmax will likely handle the paperwork.

You can also trade the vehicle for a different vehicle same as if you purchased the vehicle.  

The one thing you do not want to do is simply stop paying the lease or returning the vehicle without paying off the lease.  That will destroy your credit for many years.

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I'm going to do a. Voluntary repo I can't afford the payment how will this affect me 

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