This is another common fee, charged by the lending bank, that is due at the end of your lease contract to compensate the leasing company for the expenses of selling or otherwise disposing of a vehicle.

Leased vehicles must be returned in very good condition in order to avoid extra charges. It may be worthwhile to consider having a professional repair any dents or scratches before turning in the vehicle. If the tires have less than 1/8-inch tread, they should be replaced to avoid potentially costly tire replacement charges at the dealership. Leasing Direct offers aftermarket products that can make the lease return process easier and more cost effective. If you purchased Safe Lease when you leased your vehicle, it will protect you anywhere from $2,500 to $5,000 (depending on the specific plan) of wear and tear damage including worn tires, dings, dents, scratches, wheel damage, windshield chips and interior stains and tears—and there’s no need to go through the hassle of getting these repaired.

Leases come with a pre-set mileage allowance per year. A three year lease with a 12,000/year mileage allowance should be returned with less than 36,000 miles to avoid overage charges. Under-mileage: If your estimated mileage will be under your allowance, you can just return the vehicle at the end of the lease, however there is no credit for being under the mileage in the lease contract. If you purchased additional mileage (but didn’t use it), this is sometimes refundable. Over-mileage: If your estimated mileage will be over your allowance you have three options—either arrange to drive the vehicle less, pay the mileage penalty at the end of the lease (typically $0.15-$0.30 per mile depending on the brand) or buy the vehicle at the end of the lease.