Yes, car lease payments can often be deferred, but it is not an automatic right and is entirely at the discretion of your leasing company. This process, typically called a lease extension or payment deferral, is usually offered as a form of financial hardship assistance. You must proactively contact your lender to request this option; they will not initiate it for you.
The primary mechanism for deferring a payment is to formally request a lease extension. This involves adding the missed payment(s) to the end of your lease term. For example, if you defer one payment on a 36-month lease, your contract effectively becomes 37 months. It's crucial to understand that this is not forgiveness; you are simply postponing the payment obligation.
Before requesting a deferral, consider the financial implications. Most lenders will continue to charge interest on the deferred amount. Furthermore, exceeding your lease's mileage allowance during the extension period can result in significant overage fees at lease-end. You also need to maintain full insurance coverage throughout the deferral.
Here is a comparison of common outcomes when deferring a lease payment versus other actions:
| Action | Impact on Lease | Financial Consequence | Best For |
|---|
| Formal Deferral/Extension | Lease term is officially extended. | Accrued interest on deferred amount; potential for extra mileage fees. | Temporary, predictable hardship. |
| Missing a Payment | Default on contract, damaging credit score. | Late fees, potential repossession risk. | Should be avoided at all costs. |
| Early Lease Termination | Ends lease agreement prematurely. | Very high early termination fees, often thousands of dollars. | Permanent change in financial situation. |
| Lease Assumption/Swap | Transfers lease to a new, qualified person. | May involve a transfer fee, but avoids long-term credit damage. | Those who can no longer afford the car at all. |
The most critical step is immediate communication with your lessor. Explain your situation clearly and ask specifically about their hardship programs. Get any agreement in writing before you stop making payments. Exploring alternatives like a lease swap through a service like Swapalease or LeaseTrader might be a more sustainable solution if your financial change is long-term.
