EXTENSION OF YOUR CAR LEASE DEAL

Getting into the car lease deal is a great option for people who are looking for flexibility, convenience, and a way to save some cash. You get a chance to drive a brand new car with the latest technical features and agree on quite beneficial conditions. 

The lease term usually goes from 2 to 5 years and after that typically the leasing company expects you to return the car with normal wear and tear. As the end of a lease approaches, some people panic because they don’t have a new car lined up. They’re worried about making a bad vehicle choice as the clock is ticking. 

What to do nearing the end of the lease term?

As mentioned before, the most common way to end your lease is to give it back to the leasing company and walk away with no hassle. When you are on a tight budget and set the lease period as the one to drive the car, you have nothing to worry about as the leasing company takes care of a car, usually selling it at the auction. Now you are free to choose your new auto and enjoy its benefits straight away. You can check the wide range of options here if you are looking for something special at an affordable price.

Although you may think of quitting your lease contract earlier or later. Looking for the option to end your lease earlier you should check our tips on that. One of the ways is to transfer your lease and you may visit the online trading website.

Some customers may feel a kind of attachment to their vehicle, not willing to say farewell. But there is a way for you to extend your lease term for some time, which can give you some breathing room to think or find your perfect car.

different cars standing in a row

Can anyone get a car lease deal extension?

For every leasing company, the conditions of lease extension are quite individual. The leasing company must make some assessments. It will determine if you qualify for an extension. Generally speaking, there are some reasons you might not be eligible for a lease extension:

  • If the initial agreement is still running
  • If your existing account is in arrears
  • When the leasing company recalls the vehicle back for commercial purposes

If you doubt whether to ask for a lease extension, feel free to contact your personal lease expert from Grand Prix Motors to give you advice.

What kinds of car lease deal extensions are available?

1.Monthly extension

Some lenders will allow for a month-to-month extension. In case you are a trusted customer and you proved to be a reliable lessee, you may expect the suitable condition for your lease extension. 

You should make your regular monthly payments on time and show the consistency of fulfilling the terms of your contract. 

Alternatively, the conditions of your initial agreement should remain unchanged. Mileage limits, monthly payment fee, and the rest of the terms and conditions ought to stay the same.

2.Informal extension

In an informal lease extension, the agreement is usually a temporary solution. It will provide a smooth transition between lease agreements. The extension can last for a month or up to six months. 

Within this period, you will pay the monthly rental as per the agreement of the original contract. After this period, the leasing company can recall their vehicle. 

Keep in mind that you still must stay under your mileage limit. If you go over, you face over mileage charges. Most leasing companies charge up to 25 cents per mile if you go over.

Usually, a single phone call to your leasing company is all it takes to stretch out your term.

3.Formal extension

In this kind of extension, the customer has an opportunity to extend the lease for a specified term. It is usually between six months and one year, and you can negotiate new terms of the contract. 

The agreement may border on the extended-term date, revised monthly arrears, and mileage. The new contract should start immediately after the initial lease agreement ends.

In all formal extensions, the modifying agreement must be binding. You must sign a new contract. 

So what are my options?

Consumers nearing the end of their lease term usually consider possible options to make use of it. 

One of the ways is to quit your lease early but then most probably deal with penalties or selling hassle.

You may choose to typically return the car to the leasing company you got it from, and either start a new lease or walk away from it altogether.

And you also may prolong your lease with an informal or formal extension. It will give you some time to drive your favorite vehicle and think of your further actions. And if you have some thoughts about it, you can share them with your personal lease expert to look for the best deal for you!

#enjoy your freedom with Grand Prix Motors!

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