No one is forcing you to do anything. Keep the car for the length of the contract you signed and no more undue tax liability.
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Listen, I get that you all have jokes and you can all sit around saying “you signed the agreement, blah blah” … I get it. None of that changes the fact that it literally makes absolutely no sense (to me, to their dealers, or even to their own bottom line). For those of you who shared some actual valuable insight, thank you.
In all seriousness If captives make it more difficult for you to cash equity out of the car, and only half of people do that than otherwise would have, they are able to capture the equity which positively affects their bottom line. The pr side of it is a different story but like I said earlier afaik every captive finance company is doing it so your only choice is to buy/lease a car or not.
This is the only part of the equation that is different than other brands and ridiculous.
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if that weren’t the case, my dealers would be buying out every single car they could get their hands on.
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If I had to guess, I’d assume that their motivation is to try to drive sales of new vehicles while recapturing equity in the lease vehicles. They’re probably trying to prevent a whole bunch of their assets being sold and the lessee pocketing the money. By only allowing a dealer to take a vehicle in on trade, the bank gets another bite at the apple.
It might be short sighted, but that’s a potential rationale.
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Can we move this to leasehackr meme lounge please?
OP should have leased a Tundra.
As @ursus says, try asking VCFS nicely after researching the forum for similar recent vcfs early term experiences (keyword vhooloo lease termination services). Jk jk.
This right here is my sticking point. In my situation I am not trying to cash out or make a dime. I’ve literally called every Volvo dealership in FL (and multiple dealers are claiming they are going to yet again talk to VCFS about “this situation”) who are fine with buying the car at VCFS dealer buyout price, but they supposedly won’t let them. Not allowing this sort of a scenario play out literally hurts everyone involved; there is literally no positive occurring for anyone (except maybe the tax collector).
It is what it is, I took the advice further up and searched out the threads where people were able to terminate the lease early. I plan on calling VCFS back and taking what I’ve learned into account and hopefully having a better outcome. 
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Again, it’s irrelevant whether you’re trying to profit ir not. Even if we all agree, which we don’t, that it doesn’t make sense for Volvo to limit third party buyouts, even for dealers, it’s ridiculous to claim it’s fraud.
Good luck. Hopefully they let you terminate with little to no fees, as others have had success doing.
People might pay the penalty and return the car to VFS.
1- Take make money from the penalty you paid.
2- They sell the car in the auction make a lot money from the current prices.
Makes sense?
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Same thing happened to me a few months back right after Volvo made the change. Had my lease sold to Carvana and purchased my other car already since I had done this 6 months prior with no problem. VCFS told me a Volvo dealer could buy after Carvana realized they couldn’t. I called multiple dealers in Florida. They called VCFS and they couldn’t. I had to pay all the sales tax and buy it myself. Ugh. Still made $$ but lost out on almost 2k. The real kicker about 30 days later Volvo was constantly sending me offers to buy back my lease. I was ticked. I wrote corporate…too bad so sad.
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OP: you can either
- buy-out your lease from VCFS (until then, you are a tenant trying to sell the building out from the landlord) - which has to transact at a dealership, or
- contact VCFS to find out how much the ETF is, pay it, and return it to a dealership
All the answers to your questions are here. Next time, read your lease agreement and understand what you’re signing.
Good luck!
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What are the options at lease end of a Volvo lease? Is the dealer allowed to buy it out at a negotiated price between you and them? Or does it have to be grounded as a return and you get charged disposition etc?
I’m thinking at the end of the lease I would like to go Benz. And one of the Volvo dealers has a benZ dealership. So ideally return the Volvo, and count it against a Benz. We get sales tax credits in TX with trade ins.
The dealer can only buy it out if you’re trading it in on a new Volvo. Otherwise you can turn it in or buy it out yourself and resell.
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Currently you can’t do this. It may change by your lease-end, but as Matt and Mike and others have mentioned, the dealership can only (possibly) buy it at disposition, or if you are trading a Volvo when buying a Volvo - same brand on both sides of the transaction.
I’m much less likely to lease another Volvo( as well as many other brands) after the changes that have happened in the past year. I realize most lessees won’t care though, doubt it’s going to change any VCFS policies.
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Listen, I get that you all have jokes and you can all sit around saying “you signed the agreement, blah blah” … I get it. <<<
No, you don’t “get it”. You are one of those people too lazy to read their contract. Then you expect everyone to agree with you nonsensical logic and share your sense of outrage. I have the feeling you get into 20 of these messes every year
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You would be wrong, sir. I think your omelet has turned to scrambled eggs 
I understand why someone might want more optionality, but always assume with a Volvo lease that you will be together until disposition. In the highly unlikely event you do, it’s hopefully not to tell your “I survived” story.
I’m 2/3 through, and happy to drive mine another year.
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I don’t have my Volvo lease with me tonight but in the OPs defense I don’t recall it being that blunt. I recall it being basic legalese like lease is not assignable or transferable (if I am wrong someone with a Volvo lease handy please correct me). Some of my job is writing legal and medical concepts in plain language and the terminology in this lease definitely doesn’t count as plain language. I am very confident the lease contract doesn’t just come out and state no one except a Volvo dealership can buy out your lease, and even a Volvo dealership can only do it if you are buying/leasing a new Volvo."
Adding to the confusion, the rules are changing as different brands are enforcing contractual rights in leases they never before did such as stopping third party buy out. Which is legal but very confusing for a consumer.
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