Because they don’t have a new car in the works, some folks become anxious as their lease expires. As the deadline is running out, they are concerned about choosing the wrong vehicle. However, the majority of leasing firms are happy to extend an expiring lease, giving you some time to discover the ideal vehicle.
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Can the length of a car lease be altered?
In a nutshell: You may surely haggle over the lease price. Leasing is the same as buying when it comes to negotiating, so feel free to do so just like you would when purchasing a car.
How does leasing a Kia operate?
When a lease expires, you must either return your car and start a new one with a new lease, or walk away. While buying gives you the freedom to go wherever adventure takes you, leasing has mileage constraints. When purchasing a Kia, you can pick between new and used loans whereas leasing requires a brand-new Kia vehicle.
What grace time is there for Kia Finance?
Your auto loan refinancing experience with Kia Motor Finance could feel overwhelming and intimidating. You wish to avoid a few dangers because you don’t refinance your Kia Motor Finance loan frequently, which is completely understandable.
Reasons you should not refinance
If your overall interest rate ends up being greater after refinancing your Kia Motor Finance auto loan, you shouldn’t do so. This means that if you wind up with a weaker financial product and a higher interest rate, you shouldn’t refinance your loan. Let’s look at the following illustration:
If your current monthly payment is $450 at 13 percent, you shouldn’t accept a loan at 13 percent even if the monthly payment is only $400 because your lender extended the loan’s term. Although it is undoubtedly conceivable, we strongly advise against it.
We’ve heard countless success stories from customers who successfully refinanced their Kia Motor Finance car loans. While maintaining the same loan period, several of our clients wished to lower their monthly Kia Motor Finance payment. Other clients extended the loan duration to 60, 72, and even 84 months in order to further minimize the monthly payments.
Other customers chose the cash-out loan from among all of our loan offerings because they had positive equity in their automobilethat is, the outstanding Kia Motor Finance loan sum was lower than the value of their car.
However, a common query we have from clients is, “I haven’t been fantastic at completing my payments therefore my credit score hasn’t really improved much yet. But I truly want to cut my payments each month. Should I refinance, accept a higher interest rate, and extend the loan’s term?
Such a refinancing is not one that we support. You’re committing yourself to much greater payments over a long period of time, which is a poor financial decision. Avoid being both a penny-wise and a pound-fool!
Can I skip a car payment?
Are you wondering if Kia Motor Finance will let you postpone a car payment since you’re strapped for cash? Yes, you are able to postpone one or more payments on your current auto loan. However, you must first discuss the deferral with Kia Motor Finance. Simply refusing to pay puts you at danger of collection calls and, eventually, a repossession.
Call Kia Motor Finance at 1-866-331-5632 and describe your position, if possible. The objective of Kia Motor Finance is for you to make your payments for the duration of the loan. You will ultimately pay more for your loan because finance charges will continue to be added to the outstanding debt. However, if you work successfully with Kia Motor Finance, they may postpone one or more installments as a courtesy and to assist you in making your payback.
Having said that, if you’ve been timely with your most recent payments, you may be able to refinance your Kia Motor Finance loan and lower your monthly payments. You may determine how low your payments could be in three easy steps without having to skip a payment or two.
Does Kia Motor Finance have a grace period?
The grace period for late payments under the Kia Motor Finance policy ranges from 7 to 15 days. Grace periods differ from lender to lender, and as a result of the coronavirus outbreak, banks are now much more understanding with their customers.
The minimum late fee we’ve seen was 5% of the monthly payment amount, although late rates vary greatly every loan. However, unless you have an emergency, we strongly advise against taking advantage of Kia Motor Finance’s grace period. You would be endangering your credit, which could have a long-lasting, detrimental effect on your personal finances.
Instead, we advise you to see if refinancing will lessen your monthly load and perhaps even generate unforeseen cost savings. Giving us your phone number and following our three easy steps will earn you a definite offer that is 100% online and won’t affect your credit.
How long does Kia Motor Finance take to repossess my car?
State-by-state variations in repossession laws range from three to five months after you ceased making payments on your Kia Motor Finance loan. What constitutes a default is specified in each unique retail and installment contract, the agreement you signed when you obtained your vehicle and Kia Motor Finance loan.
In some states and contracts, being in default for 45 days (or a month and a half) even results in a repossession. As soon as you stopped paying payments and as long as you haven’t paid the Kia Motor Finance late fees, you are in default.
You are still in default even if you make up all of your past-due payments and make Kia Motor Finance whole. To stop being seen as being in default, you truly need to pay Kia Motor Finance everything you owe, including fees.
When should your lease be renewed?
As the number of years in a lease decreases, so does its value. Since certain lenders need a particular number of years before they are willing to lend, it is often advisable to prolong the lease before it reaches 80 years or less.
When a lease is less than 80 years old, a higher payment is required to renew it because marriage value is now due. The increase in the value of the apartment brought on by the signing of the new lease is known as the marriage value.
Extension of a lease can be a challenging process. We advise you to seek expert guidance from a surveyor and lawyer with relevant experience.
How long may a lease be extended?
Renewal of the Lease Anytime you want, you can ask the landlord to extend your lease. If you meet the requirements, you might be able to extend your lease on a flat by 90 years. If you are qualified, 50 years on a house.
Which month is ideal for leasing a car?
Between July and October, when the majority of new models are released, is when you should aim to lease to get the best deal.
Know the terminology
The language used while leasing a car differs from the language used when purchasing one. Before you visit the dealership, familiarize yourself with the following key words.
- Lessor/lessee: In a lease agreement, the lessor is the leasing business, and the lessee is the individual who is leasing the car.
- Gross capitalized cost (GCC) is the sum of the purchase price of the vehicle plus any agreed-upon services and fees. It is comparable to the car’s overall cost.
- The future value of your car is sometimes referred to as residual value. This will be decided by the lessor depending on how well it anticipates that particular car to hold its value throughout the period of your lease.
- Rent: A significant expense of leasing a car, comparable to the interest on a car loan.
- If you return the car, the leasing company may assess a disposition fee. This fee is intended to cover the costs associated with preparing your car for sale once you return it at the conclusion of the lease.
- You should generally choose for a closed-end lease, which implies that the future worth of your car was predetermined at the start of your agreement. This implies that even if the automobile is worth less when you return it, you won’t owe the leasing company any additional money as a result of the extra depreciation.
Research prices and deals
It’s wise to look into any lease offers that may be available for the models you’re interested in before visiting the store. To begin your talks, look for manufacturer incentives and promoted deals.
Make sure you research what the going rate is for the cars you like. Even though you aren’t purchasing a brand-new vehicle, you can haggle over the cost of the vehicle. If all other parameters stay the same, the lower the price you can negotiate, the less depreciation you might have to pay for over the course of the lease. That could also result in a decreased monthly leasing cost.
Shop multiple dealerships
Comparing rates and offers on the automobile you wish to lease at different auto dealers is a smart move.
By checking to see whether another dealership can match your best offer, you can try to get dealers to compete for your business. Next, you can choose whether you like that deal or want to continue looking for a car. Always be prepared to leave a contract if it isn’t one you can afford.
Be open to other car models to find the best deal
Similar to when you purchase a car, dealerships could offer incentives to move specific vehicles off their lot. Take advantage of these chances to maybe obtain a nice lease deal if you’re open to leasing more than one particular manufacturer or model.
What credit score is required by Kia?
A credit score of 650 to 850 is often required to be eligible for Kia financing. You may still have options if your credit score is lower than this, such as adding a co-signer or agreeing to a higher interest rate.
To apply for Kia financing, you will require the following information:
- Name, contact information (phone and email),
- dwelling details (including your housing status, time at your current address and monthly mortgage or rent payment)
- Information about income and employment status
- SS# (Social Security number)
What credit rating is required to lease a Kia?
You have two choices when deciding to purchase a new car: either pay in whole, or finance it with a loan or a lease. Finance options for a car could seem a little intimidating if you’ve never bought one before. First-time purchasers typically prioritize affordability among other criteria when choosing a vehicle.
In addition to being reasonably priced, Kia vehicles are also attractive, secure, trustworthy, and extremely practical. Your Kia car is even more affordable if you finance it through a bank or Kia Motor Finance.
You normally need a credit score of between 650 and 850 to finance a Kia automobile. However, additional elements also play a role in determining your eligibility.
The credit tiers at Kia Motor Finance are varied. Depending on the tier, you will receive several offers when you apply for a car loan. It’s excellent news for you if your credit score is higher. You are presented with the most competitive loan offers.
You needn’t be dismayed if your credit score is low, though. You might be qualified for alternative choices. Along with your credit score, your income and credit history are key factors in evaluating whether you qualify for financing.
Kia provides a variety of discounts and incentives, including:
Military Bonus: You can be eligible for a $400 military bonus if:
- You or your spouse are a serving or reserve member of the US military.
- You left the US Armed Forces with an honorable discharge or retirement.
- You’re given disability benefits by the US military.
Competitive Bonus: If you own a rival vehicle, you might be eligible for a $1,000 rebate.
Bonus for loyalty: If you currently own a Kia and wish to purchase another one in the same model, you may be eligible for a $1000 Bonus for loyalty.
Program for first-time buyers: This program is for those who have little or no credit history. Buyers who qualify must satisfy the standards for employment and income.
Other plans: Kia has a number of additional alternatives, including lease cash, cash back, bonus cash, special financing, and even financing with a 0% APR.
Can you skip a payment on a Kia Finance loan?
Scheduled payments delayed for 0.0 percent APR contracts with terms of up to 66 months up to 120 days from the date of purchase. Delaying your payments is an option that will increase the length of your contract. To very highly qualified purchasers, subject to credit approval by Kia Motors Finance (KMF), through KMF. Customers that qualify for the quoted APR and 120-day payment deferment will be few in number.
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