There are times when unanticipated circumstances such as illness, job loss and relocation out of the country may result in end car lease. The good news is there are choices for you.

Become informed before you make a decision because some options are very expensive . There is one alternative that has become quite popular because it is simply and cost effective.

Review your lease agreement to see if there are any restrictions on early termination.. Some lease companies will not allow you to terminate the lease in the first or last month of the lease contract.

Lets briefly take a look at each option .

1. Turn In The Leased Car
You can simply return the lease vehicle to dealership before the lease runs out . You are responsible for the remainder of the lease payments as well as any surplus mileage or excess wear and tear of the vehicle. Since you are still on the hook for the remaining lease payments this may not be the best option for you if you are in a financial bind.

2. Repossess The Vehicle
In this situation you simply return the lease vehicle to the finance company and walk away without paying the rest of the lease payments. This is not a good choice as it maybe a short term solution to a financial situation but the final result is a damaged credit score. In the future you will be unable to obtain credit or will end up paying very high interest rates for credit merchandise.

3. Take Out A New Lease
Some lease companies may encourage you to take out a new lease. Most companies that do this have a hidden agenda to keep you as a customer. They may not inform you that you are still responsible for the payments on your initial lease. What they do is add those payments into your new lease which increases the cost of your monthly payments. This practice is not common, however it does happen. It absolutely will not help you if you’re in a financial bind.

4. Auto Lease Buyout
If you have sufficient funds to purchase the vehicle, this maybe a good option for you. You will have decision to keep the vehicle or re-selling it. Depending on where you live sales taxes may need to be paid during the transaction.

5. Auto Lease Transfer
This is one of the most cost-efficient and popular methods of terminating an car lease. Check your auto lease agreement to see if there are any restrictions on auto transfers. The process is quite simple. Find someone who is credit worthy and willing to assume car lease. They pay a transfer fee and accept ownership of the lease vehicle.

For more information on trading a car lease visit car lease buyout