BMWFS has a captive lender they use for buyouts. One call to BMWFS will hook you up. Historically their rates are easily beaten by credit unions for people with good credit, but using the BMWFS system makes it seamless.
This past year things have become a bit sticky for some as certain states are not permitting BMWFS to sell directly to consumers due to franchise laws. Should this become an issue for you, read your lease carefully and insist BMW honor the precise terms.
FWIW i bought my car off lease and it was super easy. New York, called BMWFS, they were very helpful, decided I didn't want to use their captive lender, sent them a bank check (certified for you old timers like me) by FedEx, I also added the fee for expedited return. Got my title back in like a week. Went to NYS DMV to update the title (vanity I only wanted my name onit) and BMWFS sent me the proper letter to do this, got the car inspected (it was due anyway) and away I went, same plates. BMWFS collected the NYS sales tax so it was easy peazy. I found that every time I called (multiple times) they folks on the other end were very helpful and friendly. Simple process. Also sytarted calling about 3 months in advance of lease end. Good luck
I had 6 months left on my lease and decided to keep the car. Very low mileage, one more free service and another year and a half of factory warranty remained. Just as with Rounderman, BMWFS referred me to their captive lender -- as I recall they transferred my phone call directly to the lender -- and, just as Rounderman did, I decided not to do a loan and simply stroked a check to BMWFS and didn't have to make those last 6 lease payments. They emailed me the required forms and a checklist. I paid the small fee for BMWFS to FedEx me the title and in a blink it was done. I sent a personal check so it took an extra few days for it all to clear before BMWFS would send the title.
Here in California the sales tax (use tax, officially) is paid by the pink slip holder, so I took the title BMWFS sent me to the local auto club office, paid the tax there, and the auto club processed the paperwork with the DMV. When the annual DMV renewal came due this past October, only my name was on the registration -- no BMWFS.
And I sprayed some New Car Smell stuff into the car so the only thing I'm missing is a lease payment!! But I'm adjusting quickly. Though not shelling out that tri-annual Lease Acquisition Fee felt a little strange. Maybe I'll spend the $925 acquisition fee savings on a little Merry Christmas to ME!
Looking forward to learning how it goes for Bear-avhistory.
I forgot to mention that I had Multiple Security Deposits with BMWFS. Those were used to decrease the balance I owed. Depending on how you expense the costs of your lease, it might be advantageous to ask BMWFS to handle the MSD refund as a separate transaction. YMMV, depending on your ethics and your tax advisor.
By paying off my lease 6 months early I saved a few hundred bucks in interest charges on the lease balance but, of course, the balance due was a bit higher because unpaid depreciation payments were still owed.
One way or another, if we drive these vehicles, BMW and the tax authorities get paid. That's the price of New Car Smell addiction. Oh well.
I bought out my X5 lease earlier this year before interest rates started going up. The rate from BMW’s lender was about 2 points higher than what I was able to get from a local credit union. Process was easy though, credit union overnighted them a check and I got the title and paperwork needed to register the car a few days later.
I have a few months left on my X5 lease and considering buying it out. Between my bank and credit union, I have some decent options for financing if electing to go that route. Also, the paperwork is readily available on BMWFS page when I log into my account so this is looking like a super easy transaction. One question, however: Is there ANY chance of negotiating (requesting) a reduced residual when dealing with BMWFS? I know that this technically went away a while ago, but wondering if they have any incentive programs, etc. that might apply. Or if anyone here has pulled something off. Can't hurt to ask, but wondering if there is an effective approach.
The short answer is no. It never hurts to ask. remember you both signed a contract agreeing to the buyout. The process is easy, send a certified check and spring for the over night return of your title. easier to track and speeds up the process. the folks at BMWFS were very easy to work with and answered my many questions multiple times as I dithered.
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