When is it Profitable to End a Car Lease or Loan Contract Agreement?
A vehicle depreciates in a non linear trend during its term, unlike the outstanding balance, and there is always a risk when leasing or financing that the vehicle value will be lower than its book value, i.e. the market value of the automobile or the truck would be less than the balance left to be paid on the contract, a situation also known as negative equity.
Please change the suggested values with your own amounts in the blue text boxes.
Our financial calculators start with default values to suggest what to enter typically in each modifiable field, displayed as blue text boxes, in order to simulate a common scenario. Please change those values with your own. To keep track of your changes, the blue box will turn gray after they are modified.
You will also notice that our calculators behave like financial applications and recalculate automatically all values with each change instead of having to click on some extra button or going to a new result page, this is intentional and helps understand the effect of one change with the overall result in a more dynamic and instantaneous manner.
However, charts in our older calculators are not updated automatically, so if there is an "Update" button next to the chart, make sure to click on it after you make a change before you analyze it.