Car Lease Refinance - Attracted by the lower monthly payments, many consumers choose to lease a vehicle instead of buying it outright.
However, if you've recently experienced a job loss or illness, it may be a struggle to make your monthly lease payment. If so, an auto lease refinance could provide you with some much-needed breathing room in your budget.
Unlike a traditional mortgage or auto finance, which replaces the original loan with a new one, an auto lease refinance involves some additional factors. The lease contract prevents you from changing the finance terms without terminating the current lease and beginning a new one. While it's possible that the cost of ending your original lease could offset - or exceed - the potential savings you'd hope to gain by refinancing, it is possible that a car lease refinance could work in your benefit.
Online auto lease refinancing companies, such as LowerMyLease.com, provide various leasing options based on your vehicle information, lease details, and credit history. Review these quotes carefully to see if there's an option that will save you money.
If you discover that an auto lease refinance isn't a viable option, you might consider buying the vehicle from the dealer. In this scenario, you'll contact a new lender with the lease payoff information. If your car has too many miles or doesn't meet the age restriction, your buyout may be declined.
Understanding leasing terminology and wading through the seemingly endless rules and terms can be a disheartening task. If you misunderstood the terms of your original lease, don't make the same costly mistake when refinancing. Before signing any new contracts, make sure your decision is financially sound and that you fully understand the terms and fees to which you are agreeing.