BMWFS Rocks!

[leasehackr]

FYI:

I completed lease Assumption Process with BMWFS ~2 weeks. I was the party exiting the lease on my 3 series that I got 6 months ago. Lease assumption process was completed EXACTLY in 5 days (start 04/25 - end 04/29) and I just got alert on 05/12 from my credit monitoring service that there is change in accounts. Upon checking found that BMWFS lease account has been updated with as TERMINATED.

WOW, not even 3rd week completed and credit update has been done. I have read earlier that lease account was never deleted from original lessee till the completion of lease. Just wanted to put it out there.

Credit Reporting Agency - TransUnion Equifax Experian
Responsibility Terminated Terminated Terminated

Remarks Loan assumed by other party Account assumed by another party
Auto Assignor - loan has been assumed by another party.

Here is BMWFS lease assumption process at a higher level:-

BMWFS claims it is ~3 week process. But generally it takes 3-5 days to complete.

1. Stage 1 - Application/credit process for Assumee. Assumee applies for credit approval with BMWFS and within minutes approval/denial is done online. BMWFS charges $500 for lease transfer. If assumee credit score is not good, he will get $400 refund.

2. Stage 2 - Documents sent via email for signatures and return to BMWFS followed by their review for accuracy and completeness (sent it back by overnight)

3. Stage 3 - Assumption complete - Original lessee get final email and his part is done and no longer responsible on lease. Assumee still gets docs via FedEx for registration purposes, etc.

4. Just handover both keys to new lessee.

[iconoclast]

curious if breaking a lease agreement affects your credit score.
i never leased or financed a vehicle but curious if terminating your lease early or transferring it has a negative impact on your credit.

[Vitacura]

5 days, that's great!
As for it affecting your credit, it really shouldn't unless it was the only installment loan reporting. If that is the case, having zero installment loans may impact your credit negatively. But the act of terminating a lease early, no negative effect on that alone.

[leasehackr]

Originally Posted by Vitacura

5 days, that's great!
As for it affecting your credit, it really shouldn't unless it was the only installment loan reporting. If that is the case, having zero installment loans may impact your credit negatively. But the act of terminating a lease early, no negative effect on that alone.

Correct!

I don't see any effect on my credit scores. All 3 agencies are still showing FICO 800+