How a Toyota Lease Return Works
When your Toyota lease is ending, you have options to buy the vehicle, trade it for a different lease, or simply end the lease.
Written by Mary Alice Morris
Reviewed by Jessica Barrett
Table of Contents
If you’ve leased a vehicle from Toyota, you’ve enjoyed the freedom of driving a new car at its peak without all the commitment. But as the lease draws to an end, there are obligations you must fulfill before you’re off the hook, including a vehicle inspection, arranging for any necessary repairs, and handling the paperwork.
While dealerships strive to make the end-lease process as stress-free as possible, there is a bit of work on your end that goes into the process. You’ll want to make sure you check off each step so you’re not surprised by any fines or fees after you’ve turned the vehicle over.
To give you a simple step-by-step instruction guide on ending your Toyota lease, top-rated
car insurance
broker and app Jerry
is here with everything you need to know about the process. Plus, stick around to learn how to save on your monthly Toyota insurance cost
.How a Toyota lease return works
When the days on your Toyota lease are dwindling, you’ll need to decide what you’d like to do at the end of the lease term. You have three basic options:
- Return the car to the dealership and walk away
- Return the leased vehicle and start a new Toyota lease
- Purchase the vehicle you’ve been leasing
If you want to return your leased Toyota and walk away
Start by scheduling a vehicle inspection when you’re about two months out from your lease-end date. Here’s a schedule outline to follow as the day draws near:
- Two to three months out: Watch for correspondence from Toyota Financial Services. They will get in touch with you via email, billing statements, mail, or phone call to start arrangements for the end of your lease. Inform them of your intention to end the lease and walk away.
- Two months out: Schedule a complimentary vehicle inspection. You can schedule your inspection by calling (855) 40-MY-TFS or by visiting theToyota Financial Services Lease-End website.
- One week out: Visit theToyota Financial Serviceswebsite and log in to ensure payments have been made or arranged for any contractual obligations or fees. Then, call the dealership where you purchased the lease to arrange a return appointment.
- A day or two before the appointment: Call your state’s motor vehicle division to find out if you need to return your license plates to them.
- On the day of your Toyota lease return appointment: Bring your vehicle along with all sets of keys and original equipment to the dealership. You’ll sign an odometer statement with a dealership representative, and you’re all done!
- After your lease appointment: Cancel any automatic electronic payments that were set up with your bank or Toyota Financial Services.
If you end your Toyota lease without buying the vehicle or leasing a new Toyota, you’ll likely have to pay some fees, including:
- Any fees for excessive wear and tear to the vehicle
- Outstanding payments, if applicable
- Disposition fee
However, Toyota waives the disposition fee if you decide to lease another vehicle from them. They’ll also waive it if you have three or more open Toyota Financial Services accounts.
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* checking your rate won’t affect your credit score
If you want to lease a new Toyota
If you’ve decided you’d like to lease again, Toyota will certainly welcome your business as long as you end your previous lease in good condition and on good terms. As mentioned above, they’ll waive your disposition fee in exchange for a new lease.
But it’s also worth talking to your dealership directly to negotiate lease terms beneficial to a returning and loyal customer.
Research new Toyota models and schedule some test drives to decide which one you want. Then, you’ll simply inform Toyota of your intent to lease a new vehicle and follow the rest of the steps outlined above. Except for this time, you’ll be driving away in a newly leased Toyota!
MORE: How to test drive a car
If you want to buy out or extend your lease
If you’re head-over-heels for the car you’ve been leasing and you don’t want to give it up, you have a couple of options. You can contact Toyota Financial Services at 1-800-286-0652 to inquire about extending your lease, or you can opt to do a
Toyota lease buyout
and keep the car.If you choose to extend the lease, your payment and terms may change. You’ll need to discuss the matter in detail with Toyota Financial Services. Lease extensions are usually for terms of six to twelve months.
If you want to buy your leased Toyota, log in to the Toyota Financial Services website or call them to get a payoff amount. Then, arrange for financing if necessary and contact your dealership to discuss the terms of your buy-out.
If you want to return a Toyota lease early
If leasing a Toyota isn’t everything you thought it would be, or your financial circumstances change, you might want to end your Toyota lease early. But be forewarned, ending a lease early means you’ll probably face some steep early-termination fees.
If you decide you’d like to return your vehicle before the lease-end date, get in touch with Toyota Financial Services right away. Communicate your wishes to them, and take detailed notes on the conversation so you understand exactly what your financial obligations will be.
How to find the best Toyota insurance
If you’ve enjoyed leasing your Toyota and want to do it again, you know you’ll have to update your
car insurance
each time you switch out vehicles. Luckily for you, though, there’s a way to do it that’s hassle-free and easy. Just try the Jerry
app!Getting tarted with Jerry only takes about 45 seconds. You just download the app, answer some basic information about yourself and your leased vehicle, and let Jerry do the rest of the work. They’ll curate a set of competitive car insurance quotes for you to pick from. When you find the policy you like, Jerry makes switching over easy. You can do it all in the app!
“Jerrywas spot on. I’m young with one rear end on my record. Still, they dropped my monthly insurance rate from $468 to $250. This really saved me money.” —Jason M.
Find out if you can reduce your monthly car payments in minutes
* checking your rate won’t affect your credit score
Check your rate
* checking your rate won’t affect your credit score
Can I negotiate my Toyota lease buyout?
You can certainly discuss this with your dealer to
negotiate a price
to buy your leased Toyota. When you lease a Toyota, your lease terms agreement and Toyota Financial Services account should both provide you with an estimated buyout price for the end of your lease.What happens if I turn my leased Toyota in over the mileage allowance?
Toyota Financial Services will establish a mileage allowance for the term of your lease. When your lease ends, you will report the number of miles you drove on your
odometer disclosure statement
. If you go over this mileage, you will be charged an excess mileage fee, which will be assessed per mile. The amount of this fee-per-mile will be disclosed in your lease term agreement.Can you return a Toyota lease early?
Toyota Financial Services will allow early lease termination, but it will come at the cost of early termination fees. To find out your costs and potential financial obligations, contact Toyota Financial Services at 1-800-286-0652.
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