QuestionQUESTION: The end of my 3-year lease is this December. I pay $260/month which leaves around $2000 left on the lease. Max miles is 15,000/year. I will reach the max miles of 45,000 between April or May. If I keep the car until the end of the lease in December I will be well over the mileage cap and would have to pay 20 cents per mile over. I would guess by December the mileage will be around 55000-60000 which adds up to about $2000 in mileage fee. Which is better:
Return the car now and pay the remaining $2000 balance?
Or keep the car until December and pay the excess mileage fee?
Also, I don't intend to keep the car after the lease because the payments will be too high. I intend to buy another new or used car but I will not lease again.
ANSWER: Chris:Thank you for your questions.It really depends,if you trade now normally a dealership will pay off the car.Or if you decide to wait,the current rebates at that time on the car you select will cover the mileage excess fees.But a car on a lease really needs be traded two months or less before you terminate the lease.Also check your contract on other possible fees.(the condition of the car will be major factor)
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QUESTION: Thank you for your answer. Most likely I intend to return the car to the dealer and pay all fees and buy a used car elsewhere so the rebates on a new car wouldn't apply. So which option is more beneficial since I won't be buying another car from the same dealer?
AnswerChris:I think the best way is return the car,then consider a "certified preowned car".The main reason for that type of car it offers better warranty and perhaps better financing.Plus you can save alot money.And why change dealership?A lot of changes in cars has happened in three years!I say that,because you seem to like this make of car.And this dealership has offered you some form of relationship.(i.e. service)Good luck!
