Usually there are extra costs involve when you lease your car or other vehicle.These extra costs are not in your leasing agreement.However,if you know some of these costs and if you know how to avoid,that will save you some money.Therefore here are some tips on how to avoid extra costs of your lease.
leasing companies charge you if you choose not to buy the Vehicle at the end of your lease. This fee is set as compensation for the expenses of selling, or otherwise disposing of the vehicle. It typically Includes charges that are administrative the dealer’s cost to prepare the car for resale and any other penalties. Make sure this fee is stated clearly in the contract and is agreeable by you before signing on the dotted line. At lease-end, you are left in no position to negotiate as the dealer can apply Your security refundable deposit for this fee.
Excess tear-and-wear charges:
Another cost at the end of the lease is any incidental damage done to the car during the lease. This is deemed any damage that is excessive to the normal tear and wear of the vehicle. Notice the utilization of the terms “deemed”, “excessive” and “normal”.
Excess mileage charges:
A premium shall be charged by all leasing companies for each mile over the agreed upon mileage stated in your contract. This penalty can be as high as 25 cents per mile and can quickly add up. To prevent the possibility of running 1000s of dollars in excess mileage penalties end of your lease, always check the “per mile” charges in your ` contract . before you sign any contract be realistic about your mileage .If you believe the limit is unrealistic given your commutation needs, then negotiate the dealer to obtain an increased mileage or contract for additional miles.