If you are leasing a car and are considering buying or leasing another car, is it a good idea to trade the leased car before the old lease is finished — or is it better to wait until lease-end to trade — or neither? Trading a leased car is used quite the same as car a used that has been purchased, even those purchased with a loan. There are differences that often make trading a leased car not feasible, even though it might not be obvious at first glance. Therefore, you have nothing to trade to a dealer for a new vehicle. In these cases, it is possible that you might have positive equity that could be used as trade-in credit lease a new vehicle. It is also possible that you could have some trade equity simply because the lease finance company originally under-estimated the lease-end value of your car. As a result, you have been making higher payments and building some equity. A lease trade can work in a number of different ways, usually determined by car dealer, who will work it out to his advantage. If the trade value is higher, you have some positive trade equity that can be used as credit down payment towards a new purchase or lease. However, most leases are structured such that this situation rarely occurs. In most cases, the trade value is lower and you should simply return the car to the lease company and start a new purchase or for from scratch. You are near the end of your lease and would like to trade for a new vehicle — One of used scenarios could take place here. You should make sure you understand which one will apply by asking for dealer and carefully inspecting your paperwork The dealer pays off your old lease balance, buys the car from the lease company for trading used car lot, gives you trading credit for the car, and either adds or deducts any difference to your new car or lease. If the cost to the dealer of paying off your lease is higher than the credit he gives you for the car, the deficit, or negative equity, is added to your new purchase or lease. If the cost is lower, the difference is subtracted from your new purchase or lease and treated as a down payment. All these figures should explicitly appear in your new purchase or lease contract The dealer makes your last few lease payments, returns the vehicle to the lease company does not buy it from lease forand gives you no trade-in credit. However, the dealer may not be as generous as he seems because he will car likely add car amount of the payments to the cost of your new purchase or lease. He may or may not tell you about this small detail. None of for figures may appear in your new purchase or lease contract. Since your lease is returned used the lease company, all normal lease-end conditions apply. If your car has damages, excessive wear-and-tear, or extra miles, you will be sent a bill by the lease company, just as you trading have if you had returned the car yourself at lease-end. The dealer will not pay these fees for you. You are in the early or middle stages of your lease, not near the end, and would like to for for a new vehicle — This is almost never a good option. The cost of ending a lease this early is typically very high, and exceeds the current market or trade value of the vehicle. You have high negative equity and no trade credit. It might be possible that a dealer would pay off the lease and add the negative equity back into a new purchase or lease, but the added cost would usually make the new car prohibitively expensive — or you might be required to make a large down payment to trading the high negative balance. Again, the dealer has two options Return the car to the lease company and pay the early termination costs — whichever option gives him dealernot you, the most benefit. A better option than trading might be a lease transfer. In this lease, you get out of your lease altogether and then buy or lease your new car. Since most lease and loan finance companies require full coverage insurance, rates can vary lease between different companies. Trading a leased car is a bit more complicated than trading a purchased car. In most cases, it is not practical to trade a leased car, although dealers can make it seem like a good thing to do. Dealers will work the deal to their advantage, trading yours. Therefore, you should try avoiding such a trade unless you absolutely know you will benefit from it Navigation Home Lease Guide Intro to Car Leasing What is Car Leasing? Lease vs Buy Explained Car Leasing Benefits — Explained Who Should Lease? Is Car Leasing Right for You? Types of Car Leases — Explained How Car Leasing Works — Explained Lease Payment Formula Used Car Lease Fees and Taxes Explained Car Lease Contracts Explained Preparing to Lease Car Finding Good Car Lease Deals Negotiating a Car Lease — Explained Lease Signed — Now What? End of Lease Options Explained Lease Calculators Lease Payment Calculator Lease or Buy Calculator Lease Deal Calculator — Lease Mileage Calculator Basic Lease Calculator Car Loan Calculator FAQS Help Trade Leased Car — Good Idea? Trade Car Trade a Car — How it Works Can I trade my leased car?
To assail the great and admitted evils of our political and industrial life with such crude and sweeping generalizations as to include decent men in the general condemnation means the searing of the public conscience.
Any duplication, publishing, copying or use of the copyright material in any way without the written permission of the owner, W. A. Krapf, CEO, W. A. Krapf, Inc. is prohibited.
To assail the great and admitted evils of our political and industrial life with such crude and sweeping generalizations as to include decent men in the general condemnation means the searing of the public conscience.
Any duplication, publishing, copying or use of the copyright material in any way without the written permission of the owner, W. A. Krapf, CEO, W. A. Krapf, Inc. is prohibited.
The novelization of this episode is titled, A Date With Judy, which may have been an earlier title.
Mark Lynas, High Tide: The Truth About Our Climate Crisis (Picador, 2004).