Lease Transfers FAQ
How the lease transfer process works
To Transfer or Assume a Car Lease with LeaseTrader is Easy and Simple
There are 6 major steps in the process:
Let's walk through each step in a little more detail to clarify the process.
Step 1: A Seller will list their vehicle in LeaseTrader.com
If you are looking to trade out of your car lease, you register with us and create your listing
in the LeaseTrader.com website. This is a quick process that involves providing
LeaseTrader with some important information about your vehicle and your car lease.
Please have a copy of your car lease handy before you input your listing.
Step 2: A Buyer will select a vehicle that they would like
Buyers search, find, review and select the vehicle
listings LeaseTrader actively markets our service in places where people looking
to buy or lease cars regularly go; including google, yahoo, msn and multiple others.
These potential lease buyers come to the LeaseTrader website looking for the vehicle
that best meets their needs.
Step 3: The Buyer will then need to verify that they are credit worthy
Buyers search, find, review and select the vehicle
listings.
People looking to take over
car leases review the listings in the Marketplace and communicate with the
seller using the Contact Seller button found in each listing. Common questions include
"where exactly is the vehicle located?" and "will you split the car lease transfer
fee?” LeaseTrader screens these messages rather than direct communication between
the seller and buyers to prevent the seller from having to answer questions that
have nothing to do with taking over a car lease. Once all questions or concerns are answered,
the seller and buyer can now on moving forward with the transfer of the auto lease.
Step 4: The Buyer may then contact the seller directly
Seller and buyers communicate with each other.
Common questions include "where exactly is the vehicle located?" and "will you split
the car lease transfer fee? Once all questions or concerns are answered, the seller
and buyer are ready to move forward with the transfer.
Step 5: Once Buyer and Seller agree to transfer, the transfer documents are sent to both parties to sign and complete the transfer
Documentation Transfer:
Once approved by the Finance Company, LeaseTrader will have the transfer documents
sent to both parties to sign and complete the transfer. These are the official contractual
documents that finalize the transfer of the car lease. The documents normally first
go to the seller, who signs them and then forwards them to the buyer. The buyer
now signs and sends the documents back for processing. The completed transfer documents
will then be sent to the seller as well as to the buyer. The buyer needs to take
part of these documents to the local Department of Motor Vehicles to pick up license
plates and other registration items (these processes vary by state).
Step 6: Vehicle Transfer, once the documents are completed the
Seller may now transfer the vehicle to the Buyer and the deal is done!
The buyer can now take possession of the car
and the deal is done!
If the buyer and seller are not located near each other, the vehicle can be transported
using one of LeaseTrader's shipping partners.
The deal is done!
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How to find information on my leasing company
LeaseTrader has included the basic lease transfer policies for many leasing companies
within
Leasing Company Information on this site. If the company you are looking
for is not listed please Contact Us, and we'll be happy to get you more information.
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How to handle long distance lease transfers
When a long distance separates the Buyer and Seller, normally arrangements to inspect
the vehicle and get it to the Buyer are worked out between the parties involved.
We have seen many different arrangements work, ranging from the Buyer or Seller
driving to meet each other, having the vehicle inspected by a dealer or mechanic
and having the vehicle transported by a shipping service. If you are interested
in getting your vehicle inspected or having it shipped, please contact us via phone
or email and we will set you up with the service. For more info, go to the services
page.
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How to get the vehicle inspected by a third party
If you need to have the car inspected by a third party you can go into our Services section where you will find a company that we recommend.
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Transferring FAQ
What to Expect During the Lease Transfer
Now that you have agreed to move forward with the registered buyer, the following
are some tips on what to expect.
LeaseTrader Support
Our dedicated and experienced staff are available by e-mail or phone to assist your
with expediting the transfer process. Let us know how we can help.
Documents Involved
Every leasing company has different policies and paperwork for their transfer process.
The typical documents involved are: . Lease transfer agreement
. Odometer Statement
. Insurance verification
. Registration forms
. Others, depending on the individual circumstance
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Finalizing
the Transfer
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Each Leasing Company has their own policies regarding finalizing the lease transfer
process. Some will require your signatures Notarized; others may require you to
meet at an auto dealer or bank branch. LeaseTrader helps guide you through the process
to make it as easy as possible for you.
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Handing
Over the Keys
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Once Seller and Buyer have completed the Leasing Company requirements for the lease
transfer (i.e. signed the appropriate transfer documents, buyer has provided proof
of insurance, both parties have paid the appropriate fees, and any other specific
requirements of the leasing company), youre now ready to hand over the keys to the
new lessee.
Generally speaking, we recommend the Seller ensure all transfer documents are completed
and are properly forwarded to the leasing company. Its also prudent to confirm that
the leasing company received and processed the transfer two weeks after you forwarded
the documents.
As the Buyer, you should expect to begin receiving monthly lease payment statements.
If you dont receive your monthly statement by a week before the payment due date,
please call your new leasing company to ensure your statement is being processed
properly. Remember, it is your responsibility to make the lease payments.
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License Plates
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Typically the license plates on the vehicle are the property of the leasing company
and should remain on the vehicle. For the specifics of your states policies and
for cross-state transfers, please contact the local Department of Motor Vehicles
office or your leasing Company.
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General FAQ
What
is LeaseTrader.com
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LeaseTrader.com is the first full-service online auto lease
transfer marketplace of vehicle leases. We match individuals who are currently leasing
vehicles and wish to get out, with individuals who are looking for short-term leases
with attractive payments and no money down.
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How does the LeaseTrader process work
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LeaseTrader allows Lease Sellers to offer their leases for assumption online where
potential Lease Buyers can view them and make contact with them. Please visit How it Works
for a detail step-by-step process.
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How long does the lease transfer process generally take
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Some leasing companies can complete the process in as little as one day while others
may take several business days. How long it takes depends on a few things. First
is the credit application approval process, which generally takes 24 to 72 hours.
The second factor entails the creation and processing of the required lease transfer
documents, which generally takes 3 to 5 business days. Lastly mail and paperwork
turnaround times must also be taken into consideration. Typically, it takes between
7 to 14 business days to complete the entire process. If youd like information on
the typical time frame for a specific leasing company, please Contact Us and we will be happy to share our experiences
with you.
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Who can use LeaseTrader to Transfer or Assume a Car Lease
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Can I be both a Lease Seller and a Lease Buyer with LeaseTrader
By being both a Buyer and a Seller with LeaseTrader, you
can take full advantage of what we offer. You can monitor all of your account activity
in one place, using a single username and password. A good place to start is in
MyLeaseTrader, and then go to either Seller Central, Buyer Central or Profile,
to view, edit and manage your accounts.
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How does LeaseTrader protect customer information
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LeaseTrader protects customer information by using state
of the art 128-bit Secure Socket Layer(SSL) encryption supplied by Verisign.
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How often are the listings updated
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The listings are updated in real time at LeaseTrader. When
Sellers list their vehicles, they appear immediately on the website. When Sellers
make any changes or add missing information to their listing it appears as soon
as they save the information in our website.
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Are the leases on the web site Open or Closed End Leases
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Most leases, if not all of the vehicles listed on LeaseTrader.com
are closed-end leases.
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Are Any of the vehicles Listed on LeaseTrader offered by Dealers
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Most of the vehicles listed in LeaseTrader.com are being
offered by the original lease holders looking to get out of their car lease.
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Do Leasing Companies allow lease transfers
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Most leasing companies allow car lease transfers, however
very few do not, and some have specific restrictions. Call a LeaseTrader Transfer
Specialist or your Leasing Company to find out their policies regarding car lease
transfers or lease assumptions.
Nearly all leasing companies allow car lease transfers;
however none of them actively promote or advertise this service. Time and costs
associated with the car lease transfer to the Leasing Companies is one of the reasons
why.
Please remember that Lease Transfer or Lease Assumption is NOT a sublease since a
sublease is NOT allowed by leasing companies and is in fact illegal in many states.
LeaseTrader does not advocate subleasing in any way whatsoever, and the LeaseTrader
Marketplace is not to be used for the advertising or seeking of subleases.
LeaseTraders Lease Transfer is a true transfer of equity, done by the leasing company,
with full contractual coverage by all of the parties involved.
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What if I am in a different state
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A great number of transfers are between people in different
states. We work with a national transportation company that delivers the vehicle
to your location. You can negotiate with the owner as to who pays any costs involved.
For more info on this, visit our
Services section.
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Can I use LeaseTrader in Canada
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We are pleased to inform that we are now accepting Canadian listings. We have received
a lot of interest from Canadian lessees and lease buyers.
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When I search in the LeaseTrader website and I like a car what do I do
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Click where it says "Make an Offer" if you would like to
make an offer on the lease or if you simply like to assume the lease Click where
it says "Contact Seller" Log in if you are a registered user or create a new account.
Complete the credit application if you would like to get pre-approved. You will
be contacted within 24 hours with the results.
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What are the costs in taking over a car lease
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Initial Credit Application Fee: The cost to join our
buyer programs varies from 39.95.95 to $129.95. The buyer programs include 1 credit
verification and up to a 180 days of membership. The buyer program provides you
with information and lots of tools to expedite, enhance and facilitate your lease
transfer experience. LeaseTrader is available to assist you with the entire lease
transfer process, In addition to the membership, a $249.95 Non-Refundable transfer initiation fee ( * $149.95
after rebate) for services already rendered is due once the buyer and seller agree to initiate the 2 to 3 week long (on average) lease transfer process.
*Transfer Rebate: $100.00
LeaseTrader offers the buyer an instant Transfer Rebate of $100.00 (One Hundred Dollar) to be applied automatically once the payment of the transfer initiation fee is made at the initiation of the lease transfer process.
Note: Failure to pay the transfer initiation fee at the initiation of the lease transfer process will result in forfeiting any and all discounts and rebates offered by LeaseTrader.
Leasing fees: Most financial Institutions charge a fee to process the car lease transfer paperwork. This fee varies from $0-$650
and is payable directly to the Finance Institution (e.g. Mercedes Benz Credit).
You can negotiate with the person transferring the lease as to who pays any fees
involved.
Other: If you are in a different state, there may be transportation and optional
third party inspection costs. You can negotiate with the person transferring the
car lease as to who pays these fees. For more info on this, visit our Services section.
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Do I have to give a down payment
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No. That's one of the advantages of taking-over a car lease.
You simply continue to pay the monthly car lease payments until the lease term ends.
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Once
Once I start the transfer process can I back out
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Yes, up until the final transfer documentation is signed
you can back out at any time. Note that any fees collected by LeaseTrader are non-refundable
if you decide to stop a transfer once the transfer process has begun.
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Who pays for the transfer costs
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You can negotiate with the person transferring the lease
as to who pays any costs involved.
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Where do I return the vehicle
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In most cases you can return the vehicle once the lease is
up at a dealership in YOUR area. This is the case even if you take-over a lease
from a different state.
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After the lease is over can I buy the vehicle
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Yes, most leases have a purchase option. The amount to be
paid will be specified in the contract (residual value or lease end buyout). If
this info is not displayed in the listing, you may send an e-mail to
customersupport@leasetrader.com. You must include the listing number in
your correspondence.
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Can I
extend this lease
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Most Leasing Companies will let you extend the lease term.
However, it all depends on the original lease agreement and what the Leasing Company
decides to do. For more details please contact the Leasing Company.
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What do I do if I forget my user ID and or password information?
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From the Sign-In area you can click on Forgot Password? to request your username
and password. Just enter the email address you have included in your LeaseTrader
account, and the username and password will be emailed to you. If you have any difficulty
obtaining the username and/or password, please Contact Us.
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1. Click "Tools" on the main menu of your Internet Explorer window
2. Click on "Internet Options..." to open the corresponding dialog
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3. Click on the "Security" tab. Here you will find all the information
on your browser's security level
4. Click on "Default Level". This will set the default security settings
on your browser
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As you can see, your security level is now set to "Medium", which is the
appropriate for most Internet sites (you can see all settings below the "Medium"
title).
5. Click on "Apply"
6. Click on "OK"
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7. Click the "Refresh" icon on the Internet Explorer toolbar.
You are now ready to use our site!
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Select your Email Provider, in order to give you specific instructions:
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AOL
AOL software:
1. Go to AOL® Keyword: Spam Folder.
2. Select the e-mail you want to retrieve, then click the This is Not Spam button.
AOL Mail on the Web:
1. Go to http://webmail.aol.com.
2. Enter your screen name and password, then click the Sign On button.
3. Click the Spam link.
4. Click the box next to the e-mail you wish to retrieve to place a check mark in
it.
5. Click the This is Not Spam button.
Gmail
1. Go to your Spam mailbox.
2. Tick the box next to the sender's name.
3. Click "Not Spam" at the top of your Spam mailbox.
MSN Hotmail
1. Go to your Junk E-mail folder.
2. Open the message you want to retrieve.
3. Click the "Not Junk E-mail" button at the top of your mailbox.
Yahoo
1. Go to your Bulk Folder.
2. Open the message you want to retrieve.
3. Click the "Not Spam" button.
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Why take
over a lease
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Save thousands of dollars - You simply take-over someone
else's monthly car lease payments
for the time remaining on the lease. No down payments required. E.g. Someone gave
a $3500 down payment on a BMW lease
to lower the car lease payments
to $349 per month. When you take-over the lease, you simply continue paying the
$349 until the end of the lease. You do not have to pay the $3500 down payment.
More car more often - Taking
over a lease gives you flexibility to lease a vehicle for a short amount
of time . Even for a year if you like without the long term commitment.
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What does regular leasing involve
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A longer term commitment. Usually 36, 48, or 60 months
(5 years).
Down payment. In many vehicles there is usually a down payment involved which
you do not get back when the car
lease is over.
Negotiating with a dealer. You have to negotiate the purchase price of the
vehicle, the term of the lease, the excess mileage charge, and the interest rate
included in the lease payment. This is something that a lot of us try to stay away
from.
In both auto leasing and
taking-over a car lease,
the lease can generally be extended and you have to make sure not to exceed the
mileage allowance on the car lease and not exceed normal wear and tear on the vehicle.
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Is it possible to terminate a lease prior to the full term of the contract
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Yes, it is possible to terminate most car leases prior to
the scheduled end date, however there are normally significant financial implications
to the lessee when doing so. Each leasing company has their own policies, but most
will charge some form of early termination penalty. It is not unusual for these
charges to be in excess of several thousand dollars. This makes transferring a car
lease through LeaseTrader such a valuable service.
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How does assuming or transferring a lease work
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The car lease transfer process is almost the same for most
leasing companies.
The individual wishing to take over the lease submits a credit application
to the leasing company. The leasing company will make a decision on the credit worthiness
of the applicant. If approved, lease transfer documents are prepared and signed
by the original and assuming lessees. The transfer is complete when the signed documents
are returned to the leasing company and processed. There are variations in the fees
and details for each leasing company. The LeaseTrader Team is on board to assist
with these variations and details as you navigate through the car lease transfer
process.
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What are my chances on transferring my lease
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Although we cannot give any guarantees, we have a constantly
updated waiting list of individuals looking to take-over leases. We tend to receive
various applications per vehicle. People nationwide search our listings and constantly
fill out Wish Lists. LeaseTrader's patent pending system automatically notifies
all the people who requested your vehicle the second you put it online.
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How can I find information on my leasing company
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LeaseTrader has included the basic lease transfer policies
for many leasing companies within Leasing Company Information on this site. If the company
you are looking for is not listed please Contact Us, and we'll be happy to get you more information.
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What role does my Finance Company play
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Independent of our pre-screening process, all of the lease
transfers require the approval of the Finance Company involved in each particular
lease (e.g. Wells Fargo Finance). Most Finance Companies charge separate fees in
connection with transferring a car lease. The individual taking over your car lease
typically pays these fees. These fees range from $0- $650.00. To this end,
since we usually receive various applications per listing, we require candidates
to undergo a pre-screening process to determine who is the most suitable to take-over
candidate for your lease. These candidates may undergo a credit check and pay a
$24.95 to LeaseTrader.
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What happens to the security deposit when a lease is transferred
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Each leasing company has their own policy for how to handle
security deposits during a lease assumption. Most transfer the security deposit
to the assuming lessee, while others return the deposit to the original lessee and
require a new deposit from the assuming lessee. Some of them did not require a security
deposit to begin with. Information on how leasing companies handle security deposits
is included within Lease Company Information.
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At lease end who is responsible for potential charges
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The individual assuming the lease, will be responsible for
the lease-end terms as stated in the original lease contract. Lease-end charges
may include disposition fees, excess mileage fees and excess wear & tear assessments.
All potential lease-end charges will be outlined in the original lease document.
The Lease Buyer would be responsible for any termination charges, or disposition
fees at lease end.
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Are buyers and sellers free to negotiate any of their own terms concerning lease
transfers
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Normally the terms of the lease, including monthly payment
amount, mileage allowed and lease-end date remain fixed and are controlled by the
leasing company. However, the Buyer and Seller of a lease are free to negotiate
the details of the car lease transfer, as long as they do not interfere with the
rules set forth by the lease agreement or are in violation of any laws. A common
example of a negotiable item is who will pay the leasing company's transfer fees,
transportation fees, inspection fees etc. These agreements are made between the
individual Buyer and Seller, therefore LeaseTrader does not have any control over
the items being negotiated and assumes no responsibility for such agreements.
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How long does the lease transfer process take
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It generally takes about three weeks to get all the documentation
processed. LeaseTrader offers a service to expedite the lease transfer process.
Contact our Lease Trader Transfer team to find out more about this service, at 1-800-770-0207
Mon-Fri 9 AM to 6:30 Pm EST.
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When is the lease transfer final
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The lease transfer process is final when the leasing company
receives all required lease transfer documents and fees for the transaction. LeaseTrader
will advise you on how to complete the necessary documents and when to submit the
fees in each situation. LeaseTrader will be happy to share our transferring experience
with the procedures of all major leasing company's , please Contact Us with any questions or concerns you may have.
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Is it possible to transfer a lease to an individual who resides in a different state
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A great number of transfers are between people in different
States. Some restrictions on lease transfers are set by the particular leasing company
involved.
Restrictions for each leasing company may be included in Lease Company Information.
You can negotiate with the person taking over the lease as to who pays any costs
involved in transporting the vehicle to another state. Check out our Services section for more details.
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Can the vehicle be inspected if buyer and seller are in different states
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Arrangements to inspect the vehicle and get the report to
the Buyer are worked out between the two parties involved. The vehicle may be inspected
by a dealer or mechanic. If you are interested in getting your vehicle inspected
by a third party please contact us via phone or email and we will set you up with
an inspection service provider that we recommend. For more info, go to the Services section of our website.
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Where is the vehicle returned at lease end
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Each leasing company has their own return policies. Some
allow you to return the vehicle to the local authorized dealer, others have their
own policies.
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How do sellers benefit using Lease Trader
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Car Lease Sellers can save money by having someone assume
their car lease, instead of the other early lease termination alternatives which
are a lot more expensive.
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Am I still held liable once the lease has been transferred
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Whether or not the original lessee is liable once the lease
is transferred depends on the leasing company involved. Some leasing companies completely
remove the first individual from the account and some choose to leave the original
lessee's name in the lease contract as a guarantor. When the original leaseholder
is removed, the lease transfer is typically referred to as a "lease assumption".
You may find details on the liability policy for many leasing companies within
Lease Company Information. If you dont find information for your leasing
company, or would like more specific details, you should contact your leasing company.
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What are the fees involved in a lease transfer
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There are two kinds fees involved in transferring a car lease with LeaseTrader.
The fees charged by LeaseTrader to list and transfer vehicles and facilitate the
auto lease transfer process,
and those fees required by the car leasing company who holds the vehicle lease.
Leasing company fees can include both credit application and lease transfer fees.
Each leasing company has their own fee structure, and they vary broadly from one
company to the next. If youd like to find the fees for a specific leasing company,go
to Leasing Company Information in our site. If the company
you are looking for is not listed, please Contact Us.
As with any change of vehicle ownership, there may be vehicle licensing or registration
fees required by your state. Policies and fees vary by state. The leasing company
which holds the car lease
can advise you on how to manage these details, since technically they own the vehicle.
Some states may require payment of taxes, in addition to the use tax normally included
in monthly lease payments. These are a matter of policy in each state. If you are
unsure about your states policies, you can check with the agency that handles taxes
for your state, or ask a local auto tag agency who should be able to advise you
on how taxes are handled in vehicle assumptions or car lease transactions.
Click here to read more about LeaseTraders's
fees
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What are my options if I want to end my lease
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- Purchase the vehicle
- Sell the vehicle
- Trade the vehicle into a dealer, in which case the dealer pays off the lease.
- Arrange for an assumption (with Leasing Company approval) through LeaseTrader.com
All of these options are available to you. What you are doing is satisfying the
payoff balance (Residual Value + remaining lease payments) at the time of your decision,
which may be more than the value of the vehicle.
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What are my responsibilities at the end of the lease
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- Sell the vehicle
- Trade the vehicle into a dealer, in which case the dealer buys the vehicle or
returns it back to the leasing company.
- Extend the lease by calling your leasing company.
- Turn your vehicle into the dealer.
If you choose to return your car to the finance company you may be responsible for
excess wear and tear as well as the excess on the mileage allowed by you lease agreement.
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What are my responsibilities for vehicle maintenance
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You are responsible for all maintenance and you should follow
the recommended maintenance schedule as outlined by the manufacturer.
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What are my responsibilities for vehicle insurance?
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You are required to have insurance on your leased vehicle
throughout the lease term. Refer to your lease contract for details on the exact
coverage required.
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Am I responsible for personal property tax on my leased vehicle
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Only in those states that assess personal property tax on
leased vehicles, such as Texas, Missouri, North Carolina, Virginia, West Virginia,
etc. For information about your state's policy please check your state's website.
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Who is responsible for moving violations
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By law, you are responsible for all parking/ moving violations.
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What happens when I drive more miles than is stated in my Lease Agreement
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If you purchase, sell, or trade your vehicle to a dealer
or refinance the lease no mileage charge will be assessed. If , however, you elect
to turn your vehicle in at lease end, and you have exceeded the allowable mileage
stated in your contract, you may incur excess mileage charges. Refer to the section
of your contract titled "Standards for Wear and Tear". This section will help you
calculate excess mileage charges.
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How
do I get license plates
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In most cases, when you take delivery of your vehicle, the
dealer will handle the necessary steps in supplying you with your first set of license
plates. In subsequent years you will be notified by the Bureau of Motor Vehicles
for renewal procedures.
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Who
pays for license plates
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You are responsible for the cost of license and registration
fees throughout the lease term. You will receive a bill annually from the Bureau
of Motor Vehicles for this cost. In the event that someone assumes your lease then
they will be responsible for these costs.
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Can I take my leased vehicle out of the continental United States
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No, most lenders umbrella insurance will not allow you to
take your leased vehicle outside the continental U.S.
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What happens if tax rates change
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If the tax rate change affects your lease payment, you will
be notified of the new rate. Your monthly payment will then be changed to reflect
any increase or decrease resulting from the tax change.
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What happens if I move out of state
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You should contact your leasing company at least 30 days
prior to your move so they may take the necessary steps in assuring that your vehicle
is registered properly. In addition, some states require additional fees and taxes
to be paid when registering in that state.
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What happens if I my vehicle is wrecked but not declared
a total loss
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You need to have your vehicle repaired.
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If I decide to return my vehicle at the end of my lease, who do I contact
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You need to contact your leasing company and inform them
where you are planning to return your car lease.
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What do I do if I haven't received a payment booklet
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If you have not received your payment booklet before your
next payment due date, please call your leasing company. Even though you may not
have your payment book, you are still required to make your payments on time.
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