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View Full Version : Swap-a-Lease Timeline - FYI



bk4re
07-02-2012, 06:07 AM
In case anyone was curious about Swap-a-Lease, here is a timeline of me swapping out my S4 [=(]:

December 27, 2011 - Listed on Swap-a-Lease, started hearing from interested parties almost immediately
January 6, 2012 - Received email from interested party, who turned out to be end swapper
Jan 9 - Party received acceptable shipping quote and we initiated the transfer
Jan 9 - Received lease credit application from Audi FS and Transfer of Equity Form
Jan 11 - Party overnighted all information directly back to Audi
Jan 17 - $100 credit application fee posted on Audi FS website, accepted TOE
Jan 23 - Audi FS sent all paperwork to Final Decision department
Jan 24 - Audi FS informed me that everything was accepted and final paperwork mailed to ME
Jan 31 - I received FINAL paperwork from Audi FS, filled out my portion and overnighted to Florida
February 2 - Party submitted everything to Audi
Feb 8 - Audi FS confirmed with party as having received everything and transfer COMPLETE
Feb 11 - S4 picked up from my house and on its way to Florida
Feb 22 - S4 delivered, swap COMPLETE

So there you have it. It took just under two months from posting ad to the new party driving the car. Reviewing my little timeline here, it took approximately 4 weeks for the actual swap. Swap-a-lease was definitely key to this, however they did not do nearly as much as I thought. Basically they are just there to find you the buyer, but once we found a person interested, I handled everything with Audi and the buyer.

nick71692
07-02-2012, 08:42 AM
Are you at all worried that you will are still on the hook in the event of a default? I have taken over a lease from a another party on swapalease and loved it, but always worried about another party taking over my lease and me still being responsible.

omegax
07-02-2012, 08:50 AM
I thought Audi holds the original buyer-leaser accountable for any problems that may persist in the future with new lease holder. Is this true?

motorboatingsob
07-02-2012, 08:52 AM
If you are in fact transferring the lease which I assume is what you are doing. Then you have no further financial responsibly for the car after. I would assume they are charging the transfer fee for processing the paperwork to actually transfer the lease to the new owner in which case you are done just like you turned the car back in on a lease or sold it back to the dealer when getting a new car. I have never done this swap a lease thing so I may be speaking out of turn here. But I don't see how you could be held responsible for someone else just because you had the car first.


Are you at all worried that you will are still on the hook in the event of a default? I have taken over a lease from a another party on swapalease and loved it, but always worried about another party taking over my lease and me still being responsible.

helix139
07-02-2012, 09:14 AM
If you are in fact transferring the lease which I assume is what you are doing. Then you have no further financial responsibly for the car after. I would assume they are charging the transfer fee for processing the paperwork to actually transfer the lease to the new owner in which case you are done just like you turned the car back in on a lease or sold it back to the dealer when getting a new car. I have never done this swap a lease thing so I may be speaking out of turn here. But I don't see how you could be held responsible for someone else just because you had the car first.

This is not true with Audi. AFS still keeps you on the lease and will come after you if the person the lease is transferred to defaults.

motorboatingsob
07-02-2012, 09:16 AM
WOW, if that is the case I would NEVER do this. Why would anyone want to put their financial stability in a complete strangers hands? That seems like a pretty dumb thing to do. How can audi get away with that if you are in fact transferring the lease or is this just swapping cars not the actual lease agreement? I am confused here. it just doesn't make sense why this would work or be a good idea if you weren't in fact getting out of the car??


This is not true with Audi. AFS still keeps you on the lease and will come after you if the person the lease is transferred to defaults.

helix139
07-02-2012, 09:29 AM
WOW, if that is the case I would NEVER do this. Why would anyone want to put their financial stability in a complete strangers hands? That seems like a pretty dumb thing to do. How can audi get away with that if you are in fact transferring the lease or is this just swapping cars not the actual lease agreement? I am confused here. it just doesn't make sense why this would work or be a good idea if you weren't in fact getting out of the car??

I agree, but it's basic contract law and in the standard AFS lease agreement. If you don't like it, don't sign the contract.

motorboatingsob
07-02-2012, 09:39 AM
I totally agree. Can you explain what is actually happening with lease swap? Is it staying in your name and a new person takes over the lease for a period of time with you still holding the lease under you? I want to understand the process so I can make sense of why they keep it in your name or at least keep you financially responsible. I would think as long as they have a person financially responsible they would be fine. What benefit does it have for them to keep it in your name other than to chase you down if the new person doesn't pay now they just have two people to chase down who aren't going to pay anyway?

In the sense of basic contract law just because it is put in a contract doesn't make it just. The courts can override anything in a contract that this outlandish. Like a loan that says if you are late you have to pay 3 times the amount of the loan or something stupid like that? Granted this isn't an outlandish thing like what I stated, but still seems a little odd. Audi really is trying to get us no matter what is it, TD1, TD10, lease swap, etc.


I agree, but it's basic contract law and in the standard AFS lease agreement. If you don't like it, don't sign the contract.

helix139
07-02-2012, 10:14 AM
I totally agree. Can you explain what is actually happening with lease swap? Is it staying in your name and a new person takes over the lease for a period of time with you still holding the lease under you? I want to understand the process so I can make sense of why they keep it in your name or at least keep you financially responsible. I would think as long as they have a person financially responsible they would be fine. What benefit does it have for them to keep it in your name other than to chase you down if the new person doesn't pay now they just have two people to chase down who aren't going to pay anyway?

In the sense of basic contract law just because it is put in a contract doesn't make it just. The courts can override anything in a contract that this outlandish. Like a loan that says if you are late you have to pay 3 times the amount of the loan or something stupid like that? Granted this isn't an outlandish thing like what I stated, but still seems a little odd. Audi really is trying to get us no matter what is it, TD1, TD10, lease swap, etc.

I guess the only reason would be so that it would be a deterrant to transferring your lease to someone you do not know very well and can vouch for. That, and the bolded reason above. I don't lease cars myself, but I believe the original leaser stays on the contract as a secondary leaser. Audi would not come after you unless the new leaser defaulted and they couldn't recover completely from them. As you've noted, with TD1, T10, etc., Audi is not above making things very advantageous for their bottom line and not very equitable for their customers.

As far as contract law, it doesn't really meet the criteria for a void contract, thus it is valid even if the contract is far more beneficial to Audi than to you.

bk4re
07-02-2012, 11:38 AM
As others are saying, it is true that the original lessee remains as "secondary credit" to the Audi Financial Services lease. This was the only concern I had and, of course, thought about it many times, all the way up until I saw the car trucked away (and some time thereafter). Audi FS said that themselves that this was the main reason people decide not to proceed, although they have been seeing more and more of the the lease swapping.

Whoever you are swapping the lease to has to go through the same credit checking process you went through, and has to have same or better credit than you have. They have to prove they can afford the car and the payments just as you had to. The bottom line is, if they just take the car and run, whatever name they put it in will have ruined credit too. I don't think this is any different than anything else in life...if someone wants to destroy your credit, they will find a way to do it--and there are much easier ways than going through this process with Audi...