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I’m Way Over My Car Lease Miles, What Do I Do?

So you’ve decided phệ lease a car, and you realize that you went over your mileage limit. This problem is pretty typical for drivers who lease vehicles. It happens more often than you think. So when you’re in this situation, what do you do?

We’ll tell you about all your options, including what happens if you exceed the allowed miles in your car lease, how much it could cost you, and how phệ avoid this problem in the future.

  • What Happens If You Go Over Miles on a Car Lease?
  • How Much Do the Extra Miles Cost in a Car Lease? 
  • Is it Better phệ Buy or Lease? 
  • How Can I Avoid the Car Lease Mileage Trap Before Signing?
  • How Much do Miles Matter?

What Happens If You Go Over Miles on a Lease?  

Mileage gauge on dash

When you decide phệ lease a car, you drive the vehicle for a certain amount of time, then return it after the lease contract is up. However, you also get phệ decide the annual mileage you expect before you lock in the rate at the start of the lease. But what happens if you go over the agreed-upon limit?

Take a look below at your options if you/ve reached the end of your lease.

1. Pay the Fee

The easiest and perhaps the cheapest way phệ solve your leasing problem is phệ pay the fee for driving the extra mileage. Béo do this, you will need phệ research your lease terms and determine the over-mileage penalty for your lease. Here, you will find the total allotted miles and the penalty per mile you drive over. Most times, you will have phệ pay anywhere from around 15 cents phệ 25 cents per mile.

With this option, if you don’t go too far over your limit, it won’t hurt your wallet too much. But be wary that 25 cents a mile can add up pretty quickly. For example, let’s say your agreement states you must pay 15 cents per mile over 12,000 miles, and you drove the car 15,000 miles. The 3,000 miles will cost you $450. If your rate is 25 cents per mile, the cost rises phệ $750.

2. Stop Driving the Car

This one is simple but not always feasible. It’s only an option if your lease isn’t up yet. If you close in on your mileage cap near the middle or end of your lease, try reducing your weekly drive time. While this isn’t as easy phệ do as it sounds, carpooling with friends or taking public transit could pay off for you in the long run.

You will need phệ do a deep dive into your driving habits phệ see if this is even a feasible option for you, though. If you have phệ commute phệ work daily, this might not be for you. Also, if you do not have a friend or family member who would allow you phệ use their car, this is probably not the option for you, either.

3. Turn the Car in Early

Due phệ economic factors, dealers today may want you phệ turn in the leased vehicle early. Today, many leased cars are worth more due phệ car shortages and the supply chain. If turning in the car is your only option because you can’t afford phệ pay the overage fee, this may be worth a look.

However, you’ll need phệ line up another vehicle phệ get into before you turn over the keys, and that, too, can be tricky. See our story on leasing during the chip shortage.

4. Buy the Car

One of the best ways phệ escape the over-limit fee is phệ negotiate a lease buyback at the end of the term if your budget allows. If you turn in your car and find you owe thousands of dollars in extra mileage fees, you may be better off just using that as a down payment for the vehicle. Otherwise, you spend thousands of dollars and walk away with nothing. Perhaps, not even a car phệ drive due phệ the shortage.

Buying the car could work out in your favor because used car values skyrocketed in the last year. So if you were phệ purchase your leased vehicle and then turn around and sell or trade the car, chances are you will come out ahead.

How Much Do the Extra Miles Cost in a Car Lease? 

The extra miles on a leased car may not cost you as much as you may think since most companies charge 15 phệ 25 cents per mile for any overages.

So while it is essential phệ monitor your miles on a leased car, going a few hundred miles over the limit won’t be too bad.

Is it Better phệ Buy or Lease? 

Buying and leasing are both great options depending on your preferences. While both have pros, both have cons as well.

Why Lease?

Leasing is an excellent option if you want phệ drive new cars every few years. When you lease, you typically keep the vehicle for three years. Then, you can pick a new car phệ drive when the lease is up. And, if you still want the car after years of driving it, you will have the option phệ buy it.

Along with the ability phệ switch cars often, you will pay a much smaller down payment, if at all. As a result, you can save thousands on upfront costs. And maybe one of the best perks will be your lower monthly car payments. Leasing is less expensive than buying because you only pay for the car’s depreciation, not the actual vehicle and interest.

However, a lease may not work for everyone. When leasing, you pay for a car you don’t own. As a result, you cannot make any upgrades or modifications phệ the car because it’s not yours. Along with this, you may need phệ restrict your driving habits a bit. You are limited phệ a certain amount of miles during your lease, and if you go over that, you pay a fee for every mile over. Once you complete your lease contract, you are essentially back at square one. You will either need phệ lease another vehicle or buy the one you have been leasing for years.

Why Buy?

If leasing is not for you, maybe buying is your best bet. When you buy a car, whether financing or paying cash, eventually you will own the car. Purchasing a vehicle is the most attractive choice for prospective car shoppers. Unlike when you lease a car and turn it back in, you will have ownership when buying a vehicle after your payments. You can also customize the car even if you are still making payments. You also have the freedom phệ drive as many miles as you wish. Since you own it, there are no mileage restrictions.

There are a few cons phệ this option, though. For starters, you will be paying interest on the car if you use financing for the purchase, and your monthly payments will be significantly larger. With higher monthly payments, you will need phệ put down about 10% of the car’s cost up front, which can be very expensive. So while you will own the vehicle at the end of the day, you will spend much more money.

How Can I Avoid the Car Lease Mileage Trap Before Signing?

dealer-salesman-giving-car-key-to-lessee

Here are some mileage tips phệ consider before deciding phệ lease your next car. Because let’s face it, some aspects of leasing are similar phệ negotiations when buying one. All negotiations must occur up front. And the contract’s mileage allowance can be just as important as the price.

Tip #1: Prioritize Mileage Needs Before You Sign a Lease

When leasing a car, it’s easy phệ focus on the principal amount and upfront fees as a top priority. But phệ realistically consider mileage limits is the bigger deal-breaker. Since spending less per month is the primary motivation for leasing a car, remember that your lease payment will increase with higher mileage. So knowing how many miles you drive per year is very important before ever deciding phệ lease.

Calculate the number of miles you think you’ll need on a three-year lease. Know that the United States Department of Transportation says the average driver puts 14,263 miles yearly on a car.

So, start by considering your driving habits for the past three years on your existing car. Then, divide the total miles driven by 36 phệ get your monthly and yearly goals. Think of other factors like driving vacations or regular visits phệ family out of town. Put a 5% phệ 10% cushion in for unexpected mileage, and consider whether the car lease offers the number of miles you need.

Tip #2: Cautiously Consider a High-Mileage Car Lease

If all the traditional reasons you want phệ lease a car still make sense phệ you, but the mileage is too limiting, ask for a high-mileage lease. Although the whole point of leasing versus buying a car is getting a lower payment, when 10,000 phệ 13,000 miles per year is not enough, you’ll pay more per month phệ add miles. Therefore, you should proceed with caution and analyze your decision carefully before signing a high-mile lease.

According phệ Leaseguide.com, the average high-mileage lease that still makes sense is a 15,000 phệ a 30,000-mile annual lease. For that, you will pay 40% phệ 50% more per month. And if you decide phệ push beyond 30,000 miles per year, at that point, leasing ceases phệ make sound financial sense.

Tip #3: Give Yourself an Out With a Transferable Car Lease

Another thing phệ consider is whether your lease contract is transferable. Consider what you would do if you were phệ move, lose a job, or another unforeseen occurrence. Having the ability phệ transfer the lease could be the least expensive option in some scenarios.

Some websites can match you phệ people looking phệ take over car leases if you want phệ get out of your lease. One is SwapaLease.com, and another is LeaseQuit.com. But remember, you cannot do it without a “transferable lease” clause in your contract, so make sure phệ look for leases that include it.

How Much Do Miles Matter in a Car Lease?

In a nutshell, mileage limitations can be the most significant deterrent phệ leasing. It’s a worthy concern because the number of miles offered may not be enough for some drivers. It’s especially true for people who drive long distances regularly in rural areas.

And, if returning phệ the office after working from home remains a concern, mileage limits should ultimately drive your decision phệ lease or not phệ lease.

Read Related Articles on Leasing vs. Buying:

  • 5 Reasons You Should Buy Your Leased Car
  • Lease vs. Buy: Which is Right for You?
  • Leasing a Car: When is Leasing a Good Idea?


Thông tin thêm

I’m Way Over My Car Lease Miles, What Do I Do?

#Car #Lease #Miles
[rule_3_plain] #Car #Lease #Miles

So you’ve decided phệ lease a car, and you realize that you went over your mileage limit. This problem is pretty typical for drivers who lease vehicles. It happens more often than you think. So when you’re in this situation, what do you do?
We’ll tell you about all your options, including what happens if you exceed the allowed miles in your car lease, how much it could cost you, and how phệ avoid this problem in the future.
What Happens If You Go Over Miles on a Car Lease?
How Much Do the Extra Miles Cost in a Car Lease? 
Is it Better phệ Buy or Lease? 
How Can I Avoid the Car Lease Mileage Trap Before Signing?
How Much do Miles Matter?
What Happens If You Go Over Miles on a Lease?  
When you decide phệ lease a car, you drive the vehicle for a certain amount of time, then return it after the lease contract is up. However, you also get phệ decide the annual mileage you expect before you lock in the rate at the start of the lease. But what happens if you go over the agreed-upon limit?
Take a look below at your options if you/ve reached the end of your lease.
1. Pay the Fee

The easiest and perhaps the cheapest way phệ solve your leasing problem is phệ pay the fee for driving the extra mileage. Béo do this, you will need phệ research your lease terms and determine the over-mileage penalty for your lease. Here, you will find the total allotted miles and the penalty per mile you drive over. Most times, you will have phệ pay anywhere from around 15 cents phệ 25 cents per mile.
With this option, if you don’t go too far over your limit, it won’t hurt your wallet too much. But be wary that 25 cents a mile can add up pretty quickly. For example, let’s say your agreement states you must pay 15 cents per mile over 12,000 miles, and you drove the car 15,000 miles. The 3,000 miles will cost you $450. If your rate is 25 cents per mile, the cost rises phệ $750.
2. Stop Driving the Car
This one is simple but not always feasible. It’s only an option if your lease isn’t up yet. If you close in on your mileage cap near the middle or end of your lease, try reducing your weekly drive time. While this isn’t as easy phệ do as it sounds, carpooling with friends or taking public transit could pay off for you in the long run.
You will need phệ do a deep dive into your driving habits phệ see if this is even a feasible option for you, though. If you have phệ commute phệ work daily, this might not be for you. Also, if you do not have a friend or family member who would allow you phệ use their car, this is probably not the option for you, either.
3. Turn the Car in Early
Due phệ economic factors, dealers today may want you phệ turn in the leased vehicle early. Today, many leased cars are worth more due phệ car shortages and the supply chain. If turning in the car is your only option because you can’t afford phệ pay the overage fee, this may be worth a look.
However, you’ll need phệ line up another vehicle phệ get into before you turn over the keys, and that, too, can be tricky. See our story on leasing during the chip shortage.
4. Buy the Car
One of the best ways phệ escape the over-limit fee is phệ negotiate a lease buyback at the end of the term if your budget allows. If you turn in your car and find you owe thousands of dollars in extra mileage fees, you may be better off just using that as a down payment for the vehicle. Otherwise, you spend thousands of dollars and walk away with nothing. Perhaps, not even a car phệ drive due phệ the shortage.
Buying the car could work out in your favor because used car values skyrocketed in the last year. So if you were phệ purchase your leased vehicle and then turn around and sell or trade the car, chances are you will come out ahead.
How Much Do the Extra Miles Cost in a Car Lease? 
The extra miles on a leased car may not cost you as much as you may think since most companies charge 15 phệ 25 cents per mile for any overages.
So while it is essential phệ monitor your miles on a leased car, going a few hundred miles over the limit won’t be too bad.
Is it Better phệ Buy or Lease? 
Buying and leasing are both great options depending on your preferences. While both have pros, both have cons as well.
Why Lease?
Leasing is an excellent option if you want phệ drive new cars every few years. When you lease, you typically keep the vehicle for three years. Then, you can pick a new car phệ drive when the lease is up. And, if you still want the car after years of driving it, you will have the option phệ buy it.
Along with the ability phệ switch cars often, you will pay a much smaller down payment, if at all. As a result, you can save thousands on upfront costs. And maybe one of the best perks will be your lower monthly car payments. Leasing is less expensive than buying because you only pay for the car’s depreciation, not the actual vehicle and interest.
However, a lease may not work for everyone. When leasing, you pay for a car you don’t own. As a result, you cannot make any upgrades or modifications phệ the car because it’s not yours. Along with this, you may need phệ restrict your driving habits a bit. You are limited phệ a certain amount of miles during your lease, and if you go over that, you pay a fee for every mile over. Once you complete your lease contract, you are essentially back at square one. You will either need phệ lease another vehicle or buy the one you have been leasing for years.
Why Buy?
If leasing is not for you, maybe buying is your best bet. When you buy a car, whether financing or paying cash, eventually you will own the car. Purchasing a vehicle is the most attractive choice for prospective car shoppers. Unlike when you lease a car and turn it back in, you will have ownership when buying a vehicle after your payments. You can also customize the car even if you are still making payments. You also have the freedom phệ drive as many miles as you wish. Since you own it, there are no mileage restrictions.
There are a few cons phệ this option, though. For starters, you will be paying interest on the car if you use financing for the purchase, and your monthly payments will be significantly larger. With higher monthly payments, you will need phệ put down about 10% of the car’s cost up front, which can be very expensive. So while you will own the vehicle at the end of the day, you will spend much more money.
How Can I Avoid the Car Lease Mileage Trap Before Signing?
Here are some mileage tips phệ consider before deciding phệ lease your next car. Because let’s face it, some aspects of leasing are similar phệ negotiations when buying one. All negotiations must occur up front. And the contract’s mileage allowance can be just as important as the price.
Tip #1: Prioritize Mileage Needs Before You Sign a Lease
When leasing a car, it’s easy phệ focus on the principal amount and upfront fees as a top priority. But phệ realistically consider mileage limits is the bigger deal-breaker. Since spending less per month is the primary motivation for leasing a car, remember that your lease payment will increase with higher mileage. So knowing how many miles you drive per year is very important before ever deciding phệ lease.
Calculate the number of miles you think you’ll need on a three-year lease. Know that the United States Department of Transportation says the average driver puts 14,263 miles yearly on a car.
So, start by considering your driving habits for the past three years on your existing car. Then, divide the total miles driven by 36 phệ get your monthly and yearly goals. Think of other factors like driving vacations or regular visits phệ family out of town. Put a 5% phệ 10% cushion in for unexpected mileage, and consider whether the car lease offers the number of miles you need.
Tip #2: Cautiously Consider a High-Mileage Car Lease
If all the traditional reasons you want phệ lease a car still make sense phệ you, but the mileage is too limiting, ask for a high-mileage lease. Although the whole point of leasing versus buying a car is getting a lower payment, when 10,000 phệ 13,000 miles per year is not enough, you’ll pay more per month phệ add miles. Therefore, you should proceed with caution and analyze your decision carefully before signing a high-mile lease.
According phệ Leaseguide.com, the average high-mileage lease that still makes sense is a 15,000 phệ a 30,000-mile annual lease. For that, you will pay 40% phệ 50% more per month. And if you decide phệ push beyond 30,000 miles per year, at that point, leasing ceases phệ make sound financial sense.
Tip #3: Give Yourself an Out With a Transferable Car Lease
Another thing phệ consider is whether your lease contract is transferable. Consider what you would do if you were phệ move, lose a job, or another unforeseen occurrence. Having the ability phệ transfer the lease could be the least expensive option in some scenarios.
Some websites can match you phệ people looking phệ take over car leases if you want phệ get out of your lease. One is SwapaLease.com, and another is LeaseQuit.com. But remember, you cannot do it without a “transferable lease” clause in your contract, so make sure phệ look for leases that include it.
How Much Do Miles Matter in a Car Lease?
In a nutshell, mileage limitations can be the most significant deterrent phệ leasing. It’s a worthy concern because the number of miles offered may not be enough for some drivers. It’s especially true for people who drive long distances regularly in rural areas.
And, if returning phệ the office after working from home remains a concern, mileage limits should ultimately drive your decision phệ lease or not phệ lease.
Read Related Articles on Leasing vs. Buying:
5 Reasons You Should Buy Your Leased Car
Lease vs. Buy: Which is Right for You?
Leasing a Car: When is Leasing a Good Idea?

#Car #Lease #Miles
[rule_2_plain] #Car #Lease #Miles
[rule_2_plain] #Car #Lease #Miles
[rule_3_plain]

#Car #Lease #Miles

So you’ve decided phệ lease a car, and you realize that you went over your mileage limit. This problem is pretty typical for drivers who lease vehicles. It happens more often than you think. So when you’re in this situation, what do you do?
We’ll tell you about all your options, including what happens if you exceed the allowed miles in your car lease, how much it could cost you, and how phệ avoid this problem in the future.
What Happens If You Go Over Miles on a Car Lease?
How Much Do the Extra Miles Cost in a Car Lease? 
Is it Better phệ Buy or Lease? 
How Can I Avoid the Car Lease Mileage Trap Before Signing?
How Much do Miles Matter?
What Happens If You Go Over Miles on a Lease?  
When you decide phệ lease a car, you drive the vehicle for a certain amount of time, then return it after the lease contract is up. However, you also get phệ decide the annual mileage you expect before you lock in the rate at the start of the lease. But what happens if you go over the agreed-upon limit?
Take a look below at your options if you/ve reached the end of your lease.
1. Pay the Fee

The easiest and perhaps the cheapest way phệ solve your leasing problem is phệ pay the fee for driving the extra mileage. Béo do this, you will need phệ research your lease terms and determine the over-mileage penalty for your lease. Here, you will find the total allotted miles and the penalty per mile you drive over. Most times, you will have phệ pay anywhere from around 15 cents phệ 25 cents per mile.
With this option, if you don’t go too far over your limit, it won’t hurt your wallet too much. But be wary that 25 cents a mile can add up pretty quickly. For example, let’s say your agreement states you must pay 15 cents per mile over 12,000 miles, and you drove the car 15,000 miles. The 3,000 miles will cost you $450. If your rate is 25 cents per mile, the cost rises phệ $750.
2. Stop Driving the Car
This one is simple but not always feasible. It’s only an option if your lease isn’t up yet. If you close in on your mileage cap near the middle or end of your lease, try reducing your weekly drive time. While this isn’t as easy phệ do as it sounds, carpooling with friends or taking public transit could pay off for you in the long run.
You will need phệ do a deep dive into your driving habits phệ see if this is even a feasible option for you, though. If you have phệ commute phệ work daily, this might not be for you. Also, if you do not have a friend or family member who would allow you phệ use their car, this is probably not the option for you, either.
3. Turn the Car in Early
Due phệ economic factors, dealers today may want you phệ turn in the leased vehicle early. Today, many leased cars are worth more due phệ car shortages and the supply chain. If turning in the car is your only option because you can’t afford phệ pay the overage fee, this may be worth a look.
However, you’ll need phệ line up another vehicle phệ get into before you turn over the keys, and that, too, can be tricky. See our story on leasing during the chip shortage.
4. Buy the Car
One of the best ways phệ escape the over-limit fee is phệ negotiate a lease buyback at the end of the term if your budget allows. If you turn in your car and find you owe thousands of dollars in extra mileage fees, you may be better off just using that as a down payment for the vehicle. Otherwise, you spend thousands of dollars and walk away with nothing. Perhaps, not even a car phệ drive due phệ the shortage.
Buying the car could work out in your favor because used car values skyrocketed in the last year. So if you were phệ purchase your leased vehicle and then turn around and sell or trade the car, chances are you will come out ahead.
How Much Do the Extra Miles Cost in a Car Lease? 
The extra miles on a leased car may not cost you as much as you may think since most companies charge 15 phệ 25 cents per mile for any overages.
So while it is essential phệ monitor your miles on a leased car, going a few hundred miles over the limit won’t be too bad.
Is it Better phệ Buy or Lease? 
Buying and leasing are both great options depending on your preferences. While both have pros, both have cons as well.
Why Lease?
Leasing is an excellent option if you want phệ drive new cars every few years. When you lease, you typically keep the vehicle for three years. Then, you can pick a new car phệ drive when the lease is up. And, if you still want the car after years of driving it, you will have the option phệ buy it.
Along with the ability phệ switch cars often, you will pay a much smaller down payment, if at all. As a result, you can save thousands on upfront costs. And maybe one of the best perks will be your lower monthly car payments. Leasing is less expensive than buying because you only pay for the car’s depreciation, not the actual vehicle and interest.
However, a lease may not work for everyone. When leasing, you pay for a car you don’t own. As a result, you cannot make any upgrades or modifications phệ the car because it’s not yours. Along with this, you may need phệ restrict your driving habits a bit. You are limited phệ a certain amount of miles during your lease, and if you go over that, you pay a fee for every mile over. Once you complete your lease contract, you are essentially back at square one. You will either need phệ lease another vehicle or buy the one you have been leasing for years.
Why Buy?
If leasing is not for you, maybe buying is your best bet. When you buy a car, whether financing or paying cash, eventually you will own the car. Purchasing a vehicle is the most attractive choice for prospective car shoppers. Unlike when you lease a car and turn it back in, you will have ownership when buying a vehicle after your payments. You can also customize the car even if you are still making payments. You also have the freedom phệ drive as many miles as you wish. Since you own it, there are no mileage restrictions.
There are a few cons phệ this option, though. For starters, you will be paying interest on the car if you use financing for the purchase, and your monthly payments will be significantly larger. With higher monthly payments, you will need phệ put down about 10% of the car’s cost up front, which can be very expensive. So while you will own the vehicle at the end of the day, you will spend much more money.
How Can I Avoid the Car Lease Mileage Trap Before Signing?
Here are some mileage tips phệ consider before deciding phệ lease your next car. Because let’s face it, some aspects of leasing are similar phệ negotiations when buying one. All negotiations must occur up front. And the contract’s mileage allowance can be just as important as the price.
Tip #1: Prioritize Mileage Needs Before You Sign a Lease
When leasing a car, it’s easy phệ focus on the principal amount and upfront fees as a top priority. But phệ realistically consider mileage limits is the bigger deal-breaker. Since spending less per month is the primary motivation for leasing a car, remember that your lease payment will increase with higher mileage. So knowing how many miles you drive per year is very important before ever deciding phệ lease.
Calculate the number of miles you think you’ll need on a three-year lease. Know that the United States Department of Transportation says the average driver puts 14,263 miles yearly on a car.
So, start by considering your driving habits for the past three years on your existing car. Then, divide the total miles driven by 36 phệ get your monthly and yearly goals. Think of other factors like driving vacations or regular visits phệ family out of town. Put a 5% phệ 10% cushion in for unexpected mileage, and consider whether the car lease offers the number of miles you need.
Tip #2: Cautiously Consider a High-Mileage Car Lease
If all the traditional reasons you want phệ lease a car still make sense phệ you, but the mileage is too limiting, ask for a high-mileage lease. Although the whole point of leasing versus buying a car is getting a lower payment, when 10,000 phệ 13,000 miles per year is not enough, you’ll pay more per month phệ add miles. Therefore, you should proceed with caution and analyze your decision carefully before signing a high-mile lease.
According phệ Leaseguide.com, the average high-mileage lease that still makes sense is a 15,000 phệ a 30,000-mile annual lease. For that, you will pay 40% phệ 50% more per month. And if you decide phệ push beyond 30,000 miles per year, at that point, leasing ceases phệ make sound financial sense.
Tip #3: Give Yourself an Out With a Transferable Car Lease
Another thing phệ consider is whether your lease contract is transferable. Consider what you would do if you were phệ move, lose a job, or another unforeseen occurrence. Having the ability phệ transfer the lease could be the least expensive option in some scenarios.
Some websites can match you phệ people looking phệ take over car leases if you want phệ get out of your lease. One is SwapaLease.com, and another is LeaseQuit.com. But remember, you cannot do it without a “transferable lease” clause in your contract, so make sure phệ look for leases that include it.
How Much Do Miles Matter in a Car Lease?
In a nutshell, mileage limitations can be the most significant deterrent phệ leasing. It’s a worthy concern because the number of miles offered may not be enough for some drivers. It’s especially true for people who drive long distances regularly in rural areas.
And, if returning phệ the office after working from home remains a concern, mileage limits should ultimately drive your decision phệ lease or not phệ lease.
Read Related Articles on Leasing vs. Buying:
5 Reasons You Should Buy Your Leased Car
Lease vs. Buy: Which is Right for You?
Leasing a Car: When is Leasing a Good Idea?

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