Are monthly lease payments becoming too much for you, or do you no longer enjoy driving the vehicle you have leased? You can get out of your lease by transferring it to another person. Websites like LeaseTrader and SwapALease provide people looking forward to getting out of a lease as well as people wanting to take over a lease a platform to connect with each other. You can post your vehicle or look up a vehicle offered by someone else. Find more information about lease swapping and how to do it right at eAutoLease.com.
Leasing a vehicle is similar to renting an apartment. As with any rental, you do not own the property. Rather, you agree to make payments for a certain number of years in exchange for driving the car.
What Is a Lease Transfer?
Getting out of a leasing contract can be expensive. In some cases, it is even more expensive than continuing with the contract as the lease termination fees or penalties are really high.
The only ways to terminate a lease are:
- A buyout, where you buy the vehicle from the leasing company
- Purchasing the vehicle and selling it yourself
- Transferring your lease to someone willing to take it over
- Paying your remaining lease payments
Leasing companies usually allow some kind of transfer to help you get out of the lease contract easily. However, it is up to you to find a suitable lessee ready to drive your vehicle.
Read more: Documents You Need When Leasing a Car
How Does a Lease Transfer or Swapping Work?
If you want to transfer your lease, you must find a replacement lessee. The lessee must take over your monthly lease payments and return the vehicle to the lessor at the end of the lease.
A lease transfer is only possible in the following situations:
- You find someone who likes your leased vehicle model, trim, and color
- The potential lessee is ready to take the used car as-is and pay all associated fees at the lease end
- The new lessee has the right credit score to get approved by the leasing company
Both parties should agree on the leasing conditions to move forward with the deal.
How to Transfer a Lease?
The best way to transfer a lease is by finding someone willing to take over your lease. Finding such a person may not be easy on your own, but you can look at marketplaces that match lessors with people who are interested in a lease takeover. LeaseTrader.com and Swapalease.com are popular online platforms that connect people looking to get out of a car lease with people looking to take over a car lease. They allow you to post your vehicle or look up a vehicle offered by somebody else.
These platforms collect fees for the matching services they provide, as well as their efforts to guide site users through the lease transfer process. It is up to you and the lease buyer to make the process work and negotiate the lease transfer terms. Remember, the terms must comply with the original lease agreement between you and the leasing company.
Read more: What Credit Score Is Needed to Lease a Car?
Eligibility for Leasing
If you have leased a vehicle and want to transfer it to someone else, read your leasing contract and look for a lease transfer or assumption clause. This clause allows for a lease takeover by another party. Next, you should contact your leasing company to confirm what you need to do to transfer your car lease.
Each lease transfer is individually assessed. The person interested in a lease takeover will go through a credit check. Their credit score and history must be the same or better than yours to qualify for a lease transfer. Remember, if the finance company is not satisfied with the candidate for any reason, they can reject the lease transfer. They may also ask you to become a guarantor which makes you responsible for the lease payments if the new lessee fails to make payments.
Check with your leasing company about lease transfers before doing anything.
What is LeaseTrader.com?
LeaseTrader.com is a classified ads platform for lease swapping. Leaseholders who no longer want to retain their leases and want to get out of their car lease can post an up, upload pictures, and add details of their lease for the interested parties.
Similarly, people looking for a short-term lease can browse the vehicles listed on the platform and compare deals. If they like a particular auto lease, they can contact the seller and apply to the leasing company for a transfer.
Remember, LeaseTrader.com does not facilitate the legal transfer of the lease. Both parties will pay a fee for using the site if a lease transfer occurs.
What is Swapalease.com?
Swapalease.com is an online platform that offers two main options, transfer of a lease and take over a lease.
- Transfer a lease– This option is for leaseholders who seek to trade out their leased vehicle. They can post a listing with photos of their vehicle and information about the lease payment and configuration.
- Take over a lease – This option is for people interested in a short-term lease. They can go through the leased vehicles, compare deals, and apply for the one that suits their budget and lifestyle.
It is important to note that Swaplaease also does not facilitate the actual lease transfer. It charges the transfer and takeover party a fee to make the connection.
Leasetrader vs. Swaplaease – Which Is Better?
Both platforms are very similar. They offer visitors a straightforward way to create a new vehicle listing or browse the vehicles available for lease. Visitors need to keep in mind that these companies only advertise vehicle listings and help to make a connection between lease takeover partners. They do not have any role in actual lease transfer.
The lease transfer can only take place through the leasing company that owns the particular vehicle. The terms and conditions of the lease transfer as well as any applicable fees are determined by the leasing company, and they are not negotiable.
There are a few differences between LeaseTrader and Swapalease.
Seller Fees
Both these platforms charge a fee from sellers to advertise their listings. They offer three comparable pricing models, which provide enhanced listing options and different levels of exposure.
LeaseTrader listing rates for sellers:
- $99.95 for a 15-photo listing
- $199.95 for 7 days of high exposure
- $249.95 for 30 days of high exposure*
It charges a transfer commission fee of $149.95. All fees paid to LeaseTrader are nonrefundable, regardless of whether the lease transfer is successful or not.
*High exposure includes social media marketing, suggested results exposure, and prominent gallery listing
Swapalease listing rates for sellers:
- $74.95 for a 1-photo ad, plus a $200 “success fee” – $210 total**
- $199.95 for a 12-photo ad – the success fee is added to this package
- $299.95 for a 36-photo ad – the success fee is included, and the ad is featured for 2 weeks.
All fees paid to Swapalease are nonrefundable.
**This fee is charged before the potential lease transfer goes through. If the transfer fails, the fee is reusable for another transfer, but it is not refundable.
Buyer Fee
Buyers can browse the vehicles for free on both platforms, but they will have to pay to register and contact leaseholders.
Leasetrader Buyer Fees
LeaseTrader subscription rates for buyers:
- $9.99 per month for 6 months ($60 total)
- $19.99 per month for 2 months ($40 total)
- $34.99 for 1 month ($35 total)
LeaseTrader charges the buyer a commission of $149.95 in case of a successful lease transfer. A free credit report is performed as part of the package.
Swapalease Buyer Fees
Swapalease charges $59.95 to register as a buyer. It is just a one-time registration fee. Buyers also get a free credit report and 2 PDF E-Books as part of the package.
Verification
LeaseTrader nor Swapalease do not verify vehicle listings for accuracy, or perform vehicle inspections. It is up to both parties to verify all the information before they proceed with the lease transfer.
In addition, there are no guarantees that the lease transfer will be successful. All the charges are nonrefundable.
Website Interface
Both websites have a similar layout. The main body of the homepage offers a photo gallery of the vehicle, a detailed description, and features.
The right-hand sidebar contains information about the lease, including:
- Monthly lease payment
- Lease term and the number of payments left
- Miles available according to the lease
- Vehicle location
Many people find LeaseTrader more convenient to use due to its modern and minimalist design. The listings feature plenty of details and information that is readable, well-formatted, and easy to locate.
Exposure and Site Traffic
According to analysts, Swapalease.com receives as much as 3 times more web traffic than LeaseTrader.com. However, LeaseTrader’s Facebook audience is 8 times larger than that of Swapalease. Social medical marketing is an important aspect as it can influence public exposure and website traffic.
It is essential to note that the success of your listing is influenced by the details of your lease. If you secure a good initial lease deal, it will be an appealing prospect for other lessees as well. You may have to offer a cash incentive upfront to make the deal more attractive for prospective lessees in case you are stuck with a car that may not be worthy of monthly payments, but you need to get rid of it anyway.
Swapalease vs. Leasetrader – Which Platform Is the Best?
Both platforms are evenly matched in features and price. You can browse classifieds of leased vehicles available for transfer, or you can place your own ad and find interested drivers. They make it easy for both parties to find each other and a good deal, although there are no guarantees.
It is up to you to make the best decision based on facts and lease information.
Some Other Ways to Swap Your Lease
While lease-swapping platforms offer a convenient way for both parties to connect, there are not only ways. You can also find suitable swap partners that are free too. They include:
- Craigslist and other classifieds
- Facebook marketplace
- Brand-specific web forums
- Online and offline car communities and clubs
Approaching the right platform, understanding how leasing works, and what steps you need to take care help you make educated financial transactions.
If you are ready for a lease, LeaseTrader and Swapalease bring you a chance to do it right. With basic information about what you have to check out and how they work, you can look forward to successfully buying or selling a lease on the most popular lease trading platforms. Check more at eAutoLease.com to find out more about leasing and how you can drive a newer model vehicle at monthly payments you can afford.
