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Help, a really dumb question about leasing a car

Danno30008's Avatar

Join Date: Nov 2004
Posts: 155

11-25-12, 04:22 PM   #1  
Help, a really dumb question about leasing a car

Hey everyone:
Here is, like I said a real dumb question.

Say I lease a car for 36 months for $300/mo and it includes 10,000 miles a year. I plan on buying it at the end of the lease.
I drive 30,000 miles in the three years over the allowed amount.
So, will I have to pay for the additional miles which would be about $7500? remember I am buying the car, not turning it back in.

Thanks in advance for your help and take care,
Dan in Albuquerque

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toolmon's Avatar

Join Date: Oct 2012
Posts: 614

11-25-12, 04:39 PM   #2  
I have no idea but if you do have to pay the overage, complain about the high mileage and ask for a $7500 discount.

Danno30008's Avatar

Join Date: Nov 2004
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11-25-12, 06:33 PM   #3  
Thanks Toolman, I appreciate it!

Take care
Dan in Albuquerque

chandler's Avatar
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11-26-12, 03:38 AM   #4  
I should think there would be no issue on the overage if you are going to buy it. That is in place to "compensate" them when they go to sell it at a reduced rate. Toolmon isn't far off. Either they discount it to you for sale, or they don't charge you for the overage. Good argument point.

Nice sage brush y'all have out there. No trees, but a long view. Out there a few weeks ago. How does it compare to Marietta??

the_tow_guy's Avatar
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11-26-12, 04:25 AM   #5  
Just an observation, but IMHO leasing programs mostly benefit the car makers and dealers; if they didn't you would see a lot fewer of them being marketed.

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Northern Mike's Avatar

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11-26-12, 05:14 AM   #6  
I would check your lease contract before going to the dealer.
You would assume the over mileage will be absorbed in the buyout, but it might not work out as you expect.
Know your agreement before trying to make any deals.

stickshift's Avatar
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11-26-12, 05:47 AM   #7  
Have this worked into the lease agreement - the finance company does not want this car back when you're done so they should be willing to work with you on the mileage.

Halton's Avatar

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11-26-12, 06:23 AM   #8  

yep.....read the lease agreement.....in the end it trumps all......

Generally....buying out a lease will cost you more than if you had financed it.

The only advantage is you will have lower monthly payments.

But.....if you fully intend on owning the vehicle.....then financing is the better option.

Regarding the over-mileage charge and buyout.....likely it's one or the other.....not both.

This is because if you buy it out....the dealer gets all their money for the car plus interest.

At that point it does not matter what the mileage is or the condition of the car itself.

The mileage charge is there to pay for the shortfall in residual value only if you turn it in.

It goes in hand with the "reasonable condition" requirement at the end of the term.

You would have to pay for excess wear & tear.....again, only if you actually turn it in.

And.....if you significantly modified it.....you would have to return it to original.

In the end.....handing them a check for the pre-agreed balance in full closes the deal.

At that point the 150,000 miles and the custom dingle balls you added won't matter.


Danno30008's Avatar

Join Date: Nov 2004
Posts: 155

11-26-12, 03:36 PM   #9  
Thanks to everyone for the comments, I do appreciate it very much!

Chandler.. Yea, lots of desert out here, no humidity, and you can go from the desetr to mountains, to forrest in about 30 minutes.

i love it, was in Atlanta too long and got tired of the three shirt days from Mat through September.

Take care and good to hear from you again.

Dan in Albuquerque

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