Dealership taking over financing?
 

A friend of mine told me that he had gotten a dealership to "assume" the financing (buying out?) of his car, this was before they knew for sure he'll lease a car from their dealership.
Some details:
My friend's car is a civic that had 2 year left on the financing (approx 11k left)
The dealer is a Kia company, and he leased a Kia Sportage.

My question is, any of you heard of something like this/had experience with it?
My assumption is that they did it because they know they can buy it off and in turn sell it at profit?

I'm in a similar situation like my friend, though my car is more expensive. (gen coupe)
Just exploring options, any comments are appreciated, cheers.

I'm interested in getting info for this as well..

Yes.

Dealerships can offer to make the remaining payments on the vehicle to buy it out in order to earn your business....

What year was the civic? I highly doubt they offered to buy it out without having him lease the Kia....

In 99% of situations I've seen this will result in a big loss for the customer. If there is $20k left worth of payments... and your car is only worth $15k to them, you're going to end up paying $5k extra for the car you're wanting to buy.... Which you are probably going to finance as well and pay interest on.

BMW took in my lease a year before it was up so yes, dealers can workout a deal depending on what are you're buying and if the car they're paying off for you has value. But like mentioned, you might have to pay because you might owe more than the car is worth.

GM took my hyundai payments away, but no other place would. even hyundai.

I think it would depend how much you owe and what your credit is really. thats the vibe I got.

His civic was '09 I believe.


How much was left on your lease when they took it over?


How much left on your Hyundai when they took it away?


I have 30K left on mine.. (lots of years left on the finance as it's 2011 model) so I guess I'm SOL :(

i had 18k left on my genesis coupe and they gave me 16 for it, so not a huge deal really, but ford and hyundai wouldn't touch it for some reason, also offered much less for the car

$770 ( tax in) x 12 months = $9240, buy out was around $31,000. Not only did they take it in but they gave me $2500 on top.

kool, thanks for the info guys!