A car lease agreement is really a legally binding contract where the lessor owns the vehicle, and also you pay an agreed-upon monthly add up to use the vehicle. But what goes on when some unforeseen circumstance prevents you against driving the vehicle? There’s no be certain that you can break a lease due to disability. However, you have options beyond giving the vehicle back and paying steep fees.
Can I end my lease early due to a disability?
A disability does not automatically enable you to get from a car lease. A lease is a legally binding agreement between your lessor. To break anything, both parties must agree to terminate the lease or prove the contract allows for termination.
Breaking a lease because of disability will not be free. There’s typically an earlier termination fee and, with respect to the lessor and the contract terms, you may be necessary to make the remaining payments in your lease. The earlier the lease is terminated, the higher this charge might be.
But you may also talk to your lessor and explain that you're breaking a car lease for medical reasons. They may be able to work with you to find the best solution or give you more details about early termination policies.
How to break a car lease early
There are several methods to break your lease to avoid penalties. Before trying to get away from your car lease, you have to be prepared and consider your choices.
Review your contract
Your best source of information for breaking a car lease early is your contract. The lease agreement will have a clause around the early termination process and also the associated fees.
Depending around the agreement and your finances, these fees might be manageable for you personally. But double-check in case your contract offers options for breaking an automobile lease for medical reasons like disability. This can include a lease transfer, lease buyout or full termination of the contract.
Ask for an exception
Even if there are no exceptions stated in the contract, see if the lessor is willing to help. Ideally, you'd be able to support the request with documentation like a medical note proclaiming that you can no more drive.
If apparently , early termination is unrealistic or too pricey, you may consider finding someone to consider over the car lease. In some instances, if another member of the family takes over the lease, you can do this for a small charge.
Swap your vehicle lease
Most lease agreements allow you to transfer your car lease to another person — provided another party meets credit requirements. Different lessors have different rules for lease transfers, so check with your lessor before you make any plans.
There are online marketplaces, like SwapALease or LeaseTrader, that match lessees wanting to get out of car leases with prospective lessees for a small fee. Most automotive brands allow lease takeovers, and these third-party companies handle the associated paperwork so that you can feel confident to control your emotions correctly.
While you may also try to look for someone on your own, this could require sometime. And you’re still accountable for making monthly lease payments before the lease is transferred.
The bottom line
Early termination of the car lease may come with fees and other costs that could add up to 1000s of dollars. When you can’t automatically break a lease due to disability, it doesn’t mean you’re stuck.
You may be able to minimize any penalties through a lease transfer. Take a look at lease agreement to see if there’s a clause about early termination and contact the leasing company to go over your choices.