End of Lease Options: What Happens When Your Personal Car Lease Ends?

End of Lease Options: What Happens When Your Personal Car Lease Ends?

If you are considering a personal car lease agreement, you may be wondering what happens when your lease ends. In most instances, the leasing company will contact you in advance to discuss your options and confirm how you would like to move forward. There are typically three options to choose from:

1. Arrange the return of the car.

2. Extend the contract, allowing you to drive the same vehicle for another set period of time.

3. Start a new lease deal with a new vehicle.

By contacting you ahead of time, the leasing company gives you the opportunity to decide what you want to do once the lease agreement comes to an end. It also gives you the opportunity to take the necessary steps to ensure that the vehicle is returned in the best possible condition.

Personal Pre-Return Inspection

It is advisable to conduct your own pre-return inspection 10-12 weeks prior to returning the car at the end of the lease. This will give you time to arrange the rectification of any damage that falls outside of acceptable ‘wear and tear’ and help protect you against any additional fees that may occur should the vehicle not meet the conditions set out in the agreement. The British Vehicle Rental & Leasing Association (BVRLA) advises using a reputable repairer for any damage outside the agreed return standard, who also provides a fully transferable warranty on the work.

If you are unsure what level of wear and tear is acceptable, the BVRLA sets the standard for leasing fairness and their website has some more information along with a breakdown of how you can appraise the vehicle’s condition.

Getting the Vehicle Ready for Collection

When the personal car lease has come to an end, the vehicle must be returned to the leasing company. Most companies will arrange to have your vehicle picked up from your address. Before the company collects the car, make sure that you do the following:

• Clean the car inside and out.

• Remove all personal belongings.

• Check that any provided interior items are present, including the parcel shelf, headrests and spare tyre.

• Remove any personal data from the onboard systems.

• Ensure you have the keys to hand.

• If it’s an electric car, make sure you have the charging cables ready to hand over.

• Ensure no warning lights are displayed on the dashboard.

• Confirm that the tyres comply with the minimum UK legal tread depth requirements and verify that the sidewalls are free from any damage.

• Make sure the condition of each window is enough to pass an MOT.

• Ensure you have the necessary documents for the person collecting the car. These include:

  • Valid MOT certificate (where applicable).

  • Owner’s manual.

  • V5C document (logbook).

  • Up-to-date service history.

Vehicle Inspection

Some leasing companies will do the inspection when they collect the car, others will only do the inspection after the vehicle has been returned. During the inspection, they will check for wear and tear, damage, and mileage. You can then expect to receive a condition report where any areas of concern will be addressed. It is important to note that you will not be charged for any normal deterioration, but you will be billed for damage outside of the agreed standard.

After the full inspection is completed, a final invoice will be issued which could also include additional fees if, for instance, you exceeded the contract mileage. Any extra mileage will usually be calculated on a price-per-mile basis, as set out in the agreement. Once you have paid the final invoice, the contract comes to an end, unless you choose to extend the lease agreement.

Looking for a Personal Car Lease?

Whether you are new to leasing or a returning customer, our team at Pink Car Leasing is standing by to help you find the perfect car to meet your needs and budget. We offer an array of vehicles from the leading car brands available in the UK – from practical family cars, EVs and small utility vehicles, to high-end executive motors and large SUVs. Contact our team and let us guide you through the process of personal car leasing. It’s as simple as that!