Turning in leased car with a lot of extra miles


#1

We are 22k miles over and not sure if we have any leverage by going to same dealership - we are looking to buy a used car with 40k miles and not spend more than $14k - Any Advice?


#2

I think will find that you have to buy the lease car to avoid lots of mileage charges. Either buy the lease car and keep it, or sell it privately (if you can recover your money). I made that mistake (leasing) once and ended up buying the car and driving it for another 10 years. It was still and expensive error.


#3

Call the leasing company for a buyout price. Then you can decide what to do.

There is room for negotiation, so see if you can get the price down.


#4

You have to find out if the lease is an open end lease or a closed end lease. An open end lease allows the option of purchasing the vehicle at the end of the lease. A closed end lease does not. Also, check the mileage penalty for those miles over the limit. Some are pretty steep. Especially when returning a vehicle with a closed end lease.

Tester


#5

Someone else posted here recently stating that he wanted to lease to get the most car he could for the payments. Your experience with concluding your lease would be a welcome testament to the dangers of leasing. Perhaps I could impose on you to post when you’ve concluded your transaction?


#6

I am more than happy to share the outcome…hoping it will not be too bad.


#7

i don’t think you have any leverage at all.
the dealer will also know you’re deep into the hole on the excess mileage (figure 22k miles X 20 cents a mile for example; ouch) and that’s before you even get into anything like excess wear and tear charges so they are the ones holding all of the cards.

going to another dealer will not help things either. within a few minutes they will also know the financial history of the car.


#8

Thanks in advance. It’ll be a valuable post.


#9

Any advice?


#10

There is no good advice when you go way over the allowable mileage like that. The only thing you can do is minimize the damage. Depending on what your contract says, you could be looking at $4-5000 in mileage charges alone. Most likely the best option will be to buy it outright depending on what the contract says again. Then you could either keep it or sell it. That’s the problem with leasing-you really give up all your options for a smaller monthly payment.


#11

Thanks for your input, not a whole lot we can do at this point but pray :slight_smile:


#12

Is there any reason that you don’t want to buy this car from the lease company as a used car? When this happened to me (and I didn’t have any money), I asked them for the buyout price and arranged a loan at a credit union. I could have sold the car and paid off the loan, but I chose to keep it and drove another 200K+ miles.


#13

Was thinking that if we could find a used car with 40k miles, lower mpg and maintenance it would be a benefit in the long run…


#14

It sounds like you are just going to have to look at the numbers and decide what to do. You may end up buying the lease car then trading it on something else, maybe the dealer can work something out. Let us know what happens.