[Lynn_228i]

I have a chance tomorrow to have the 33 month lease go back to a 36 month lease that I signed for late Friday and drove the car home after 7 PM from the dealership.

I was upset on my way home since I felt we agreed on the payment and the purchase price of my new BMW 228i and the dealer hardly spent time with me since I knew what I wanted when I sent the specs to this referral and got a price the next morning. The dealer put the car into production that day when I said yes on the phone despite me not having signed the contract yet. I held up signing the contract for another day until I was sure what seat color I wanted. But I was unable to change the seat color since the car went into production so I will live with the black leather seats when I had decided to change them to all oyster leather seats when I found out that I could not get that combination anymore as it was discontinued. I knew if I did not sign, they would have another car to sell on their lots with a lot of equipment and I would have to see who can give me a good deal that had an allocation as I did not want the sport suspension and wanted a lot in my car. I gave him the specs the night before from an email form the BWM website. He did not have to take me out for a test drive or do any work. I felt the payment was fair and the price was fair and I was behind in my work.

I waited for my car over 1.5 months and it just arrived at the dealership late in the day two days earlier. After giving back my leased BMW 128 car that was due the same day as the day I was picking up my new car and after seeing the new car, I noticed that the contract said 33 months with a higher price but the same payment we negotiated on and the same $2500 out of pocket. I was to have a 36 month lease with that payment and the lower purchase price with $2500 out of pocket.

The finance guy tried to convince me that usually lower months caused higher payments and I was getting a good deal and only the payment I should be worried about. I was upset that if the program BMW offered changed, I should get a lower payment rather than increase the purchase price. I was told that I would be better off with the less months since I could do an extension to make it 36 months or get out of my lease earlier and not owe more payments so it was the same either way. The Finance Manager signed a paper I wrote that I would be able to extend my lease for 3 months if I needed more time on 4-25-17. But on my way long way home, I started to realize that if BMW will not extend my lease on 4-27-17, it would not matter what the finance guy signed!

I drove home after 7 PM on Friday getting more and more upset. I then called the next day after not getting much sleep to complain that I doubt BMW will extend my lease without being in a new contract and they should have told me the day before they had another program and emailed it to me to look over to have time to call BMW and to ask knowledgeable friends that lease on what would be my best advantage and maybe even negotiate the payment to be lower. I was fair to them and did not call around to see who could beat the price due to knowing hardly anyone had allocations and I had gotten two prices already with a little more money down.

Finally after many phone calls on Saturday (the day after I had the car), I was told I could come in on Monday to go back to 36 months if that is what I wished or keep the deal at 33 months.

$2500 spread over less months increases the cost per month. I kept my leased car for the full term up until the last day of my lease this time. Maybe next time, I will negotiate nothing out of pocket or only a $1,000 out of pocket so this would not matter. It would become expensive to put $2500 cash down 6 months earlier to do the pull program each time which is what they suggested and then payments would really be more.

I am confused right now what to do and I will never allow myself to be in this situation again. I should have kept my car until I was sure or called a rental car place to get myself home until I had negotiating power again. Next time, I will be sure to get there the day before my lease ended and not give them back the car yet until I went home to review the contract.

I was happy with the payment but now seeing that they had to increase the purchase price to get the same payment has me upset and if I can't extend my lease on 4-25-17, I will have to return the car and rent a car as I will have no time during my tax season to test cars and I would want to be sure I want to stay with BMW. Of course the dealer is trying to convince me that I will be liable for less payments if I extend my lease and I will get a refund of allocation of what I paid if I was on month to month with an extension and I found what I wanted versus having to still owe payments. I was also told that if I find a car that comes in sooner or I do the Pull program it would be better to have less months. I just wish I was informed before I returned my lease car so I could have driven home my BMW 128i and just kept it another day until I knew what I was doing.

Sorry this so long but I had planned to just call BMW tomorrow morning to find out the real story on extensions and then make up my mind. Any input from others here? I know the BMW genius would not let me extend my lease this time without being in a contract.

My car is MSRP $42,975 and the payment is $410 per month with $2500 out of pocket and it was supposed to be for 36 months.

[Lynn_228i]

After I get this contract settled, I will share my first and 2nd impressions of my new BMW 228i AW White with Black Dakota Leather Interior car that has most of the options added to it. I do LOVE my back-up camera so much.

[BMW F22]

No offense. I wanted to try answering your question but due to the lengthy explanation, I didn't bother reading. All I know is yes, you should be able to extend your lease with BMW.

[Lynn_228i]

Originally Posted by BMW F22

No offense. I wanted to try answering your question but due to the lengthy explanation, I didn't bother reading. All I know is yes, you should be able to extend your lease with BMW.

BMW_F22, Sorry about going on and on. I should have just sent myself an email to get this out of my system and asked a brief question. Thanks for letting me know that you feel that I can extend my lease.

I guess I was upset and then wished I just outright bought the car but I want to be sure I will love the new BMW 228i before buying it to keep more years and I was upset that the XDrive would not come out until July in the new 2015 model with none to test until my lease was over.

I feel they should have lowered the payment and kept the same price we negotiated on or lowered what I had to put down if they had to up the purchase price to get the same payment with the new lease plan BMW came out with.

I WILL never pick up a car the same day I return a car after this experience. I will also never give my keys, books and the end of the lease car until I am sure about the new car. I do not like to be taken advantage of. If I had come there the day before, I would have driven home and called BMW and renegotiated the lease or canceled it. If I was then able to extend the lease, I would have waited for another good deal.

I will share what I learn about lease extensions after I call BMW after this reply.

The BMW Genius in June 2014, told me I could not extend my lease without being in a contract when I wanted to wait for the 2015 cars to come out and test them and wait for a good deal. I may want to buy my next car possibly with X-Drive if I love driving the BMW 228 car since it is a little bit bigger than what I am used to.

[bimmerbuff]

I read this but it's just too confusing. My only two comments are:

-The lease agreement is a contract, so you can't just add months. My understanding is that BMWFS will extend your lease for up to 6 months if you have a new BMW on order. Otherwise, if you want to keep the car, you'd have to renegotiate a new lease with them.
-The pull ahead offers aren't perpetual. The terms, eligible cars, etc. change. Example: there was a 6-month pull ahead that expired on 6/30. I don't think there is currently a pull ahead program.

Anyway, can you skinny down your story for us to just the facts?

[Lynn_228i]

Thank you everyone. So sorry for the long post. I should have written it and then copied and pasted it to an email to myself and just briefly asked my question. I guess I was just very upset that I was forced to make this decision after I drove the car home due to the way the finance manager presented the change in the contract to me. If I had not read the lease contract carefully, I would have not noticed that the 36 month term became 33 months. When I brought it up, I was told it was the new program. Then I was told I could change it back to 36 months if that was better but I could get a 3 month extension without a production number. I needed to wait for BMW lease end department to be open on Monday to find out the real rules. I wish this change in the lease agreement would have been faxed to me or emailed to me the day before or the morning that I was coming in to return my leased car and pick up my new car.

I did call BMW today after my reply post and the lease end department told me that unless I have a BMW production number, I would be given only a 30 day courtesy extension. I can have up to a 6 month lease extension if I had a production number.

Since my lease contact with the 33 month would end on 4-25-17, I would have to extend it since I am a CPA and I am very busy until the end of April as I have a NJ Sales Tax Deadlines right after the April 15th deadline and then a quarterly payroll deadline due 4-30-17. After the end of April, I am trying to get extensions out for those clients waiting for K-1's and other late documents to come in or that had these tax documents come in during the last week of tax season. I really do not like looking for cars until late May or in June.

Hence, I changed the lease term back to 36 months so I will have to 7-25-17 to know what I want to order. I never buy a car off the lot since I have special needs for all the driving and parking assistance I can have due to my petite height.

I will post a quick thread to let others know the BMW lease extension rules tomorrow.

If I could have had the three months courtesy extension without a production number and then up to 6 months with a production number extension, I would have stayed at the 33 month lease as that would have been best for me in case there would be a pull ahead program. But with only a one month extension that I would have to take, I did not feel that was enough time to know what I want and to get a good deal and have some negotiation power.

[Lynn_228i]

Originally Posted by bimmerbuff

I read this but it's just too confusing. My only two comments are:

-The lease agreement is a contract, so you can't just add months. My understanding is that BMWFS will extend your lease for up to 6 months if you have a new BMW on order. Otherwise, if you want to keep the car, you'd have to renegotiate a new lease with them.
-The pull ahead offers aren't perpetual. The terms, eligible cars, etc. change. Example: there was a 6-month pull ahead that expired on 6/30. I don't think there is currently a pull ahead program.

Anyway, can you skinny down your story for us to just the facts?

Thank you so much Bimmerbuff for your reply. It made me realize that I should go with the 36 month term despite the new program in case a pull ahead program is not offered as ending my lease on 4-25 is not good for me being that I am a CPA and I am so busy in April. I will for now on make shorter questions and if I need to type a lot, I will try to send myself an email and read it over to shorten the post. I was just so frustrated by having the contract change on me on the day my other car was due since my new ordered car just came in.

[hyperzulu]

I would love to help, but I got lost. From what I can tell, they padded their pockets with the difference in last month's rates to this month's. They seized the opportunity to make extra profit knowing you didn't really know any better. You should have gone in knowing your monthly payment based on new lease terms already. Ii don't know your deal from past and present, so can't say how much difference it makes.

[Alpine F31]

Does BMW allow extensions on leashes?

Depends on how big your dog is.

[Lynn_228i]

Originally Posted by Alpine F31

Does BMW allow extensions on leashes?

Depends on how big your dog is.

Alpine F31, Thank you for the laugh!

My two little dogs are too small and do not need leash extensions so I had to read this twice and I guess my question should have said car leases.

I was so stressed out before bed when I typed up the question so fast knowing I should have asked this two days earlier. This is funny! You are the only one that caught this!

I am feeling better now that I drove my exciting new car home and got this all behind me so I can enjoy my new car.

[Alpine F31]

Originally Posted by Lynn_128i

Alpine F31, Thank you for the laugh!

I am feeling better now that I drove my exciting new car home and got this all behind me so I can enjoy my new car.

Thank YOU for the laugh! I'm glad you're feeling better now. Congrats on the car! Excellent choice!

[wmo168]

Originally Posted by Alpine F31

Does BMW allow extensions on leashes?

Depends on how big your dog is.

LMAO

[flyga3]

Originally Posted by Alpine F31

Does BMW allow extensions on leashes?

Depends on how big your dog is.

+1
That was what I was thinking when I read that title too!

[Lynn_228i]

I am glad at least I made a few members laugh. I will update everyone who my impressions of my new car when I get a little more used to it. For now this is how I feel about the new car since I still miss my BMW 128i a little bit.

I do love all the new technology a lot! I miss the Oyster leather seats that brightened my interior. I chose black Dakota leather this time and is looks very nice with the Alpine White exterior but the seats are hot behind my back. My Oyster seats in my previous BMW cooled down so quickly and never absorbed the heat so long. I tried to change the order to Oyster but it was too late since my car went immediately into production when I placed the order. I will get used to it since the look is very sharp and sporty. I had not had dark seats in 11.5 years.

I love how the blinkers light up on the mirrors when I make turns. I love how my steering wheel vibrates when I am getting so close to the lines in the roads. I love the back-up camera.

I miss my Garmin since the Navigation on the idrive system does not say the names of the roads and is more difficult to use.

I love the presets on the radio and having a year of Sirius Radio that I never had before.

I love the Comfort Access feature.

I love the new lighting package and how the car handles and how quiet it is with great pickup!

I wish the size of the car would have stayed the same but I am getting used to the car being a little bit wider and starting to judge a little bit better when I am driving.

I am glad I was able to change the lease term back to 36 months since that is what I negotiated on when I ordered the car.

[RPM90]

Originally Posted by Lynn_228i

I am glad at least I made a few members laugh. I will update everyone who my impressions of my new car when I get a little more used to it. For now this is how I feel about the new car since I still miss my BMW 128i a little bit.

I do love all the new technology a lot! I miss the Oyster leather seats that brightened my interior. I chose black Dakota leather this time and is looks very nice with the Alpine White exterior but the seats are hot behind my back. My Oyster seats in my previous BMW cooled down so quickly and never absorbed the heat so long. I tried to change the order to Oyster but it was too late since my car went immediately into production when I placed the order. I will get used to it since the look is very sharp and sporty. I had not had dark seats in 11.5 years.

I love how the blinkers light up on the mirrors when I make turns. I love how my steering wheel vibrates when I am getting so close to the lines in the roads. I love the back-up camera.

I miss my Garmin since the Navigation on the idrive system does not say the names of the roads and is more difficult to use.

I love the presets on the radio and having a year of Sirius Radio that I never had before.

I love the Comfort Access feature.

I love the new lighting package and how the car handles and how quiet it is with great pickup!

I wish the size of the car would have stayed the same but I am getting used to the car being a little bit wider and starting to judge a little bit better when I am driving.

I am glad I was able to change the lease term back to 36 months since that is what I negotiated on when I ordered the car.

First, calm down, it'll be ok.
Seems you have learned your lesson to know ALL the numbers on THE car you want BEFORE you sign anything.

If you dealer agreed to a 36 month lease at the payment you were quoted, then the dealer should honor that agreement.
Unfortunately, you signed a contract and it seems you didn't read it before you signed it.
You've made all the mistakes that one should avoid when leasing or when loan buying.

As for your question regarding extending a lease, YES BMW will extend a lease as long as you have a new BMW on order.
I know this because I have done this.
My last BMW was a 135i that was due back via lease terms at the beginning of July 2012. However, I had ordered a 2013 335i Msport that would not begin production until some time in July 2012 and the car wasn't due to get to me until around the end of August 2012 or early September.
BMW easily extended my lease to cover the time it would take for my new BMW to arrive to my dealer. Monthly payment was the same for that July and August. My 335i arrived early September

The only concern on extension is the mileage allowance on your lease.
As long as you are within the mileage you're good.
And, BMW also gives you more miles per the extension.
So, if you have a 12K per year lease the extension gives you 1K per extended month, that way you don't go over your original mileage allotment.

Also, next time when you do a lease try not to put any money down, it's simply not worth it. If you have to put money down to bring the payment in line, don't. If you have money to put down, then you have the extra money to cover the slight increase in monthly payment without a down payment.
I'm on my 4th leased car, 3 BMW's and 1 Audi. No money down on any of them. If you want to lower your monthly payment and have extra cash on hand, then consider additional multiple security deposits/MSD.
BMW's lease program allows a customer to give additional security deposits in order to buy down "money factor/interest rate".
Each additional security deposit brings the MF down by .00007.
You can do up to 7 security deposits for a total MF buy down of .00049.
I hope I'm remembering how many 0's it really is.
So if the MF is .0013/3.12%, with 7 MSD's the MF would be .0008/1.94%
When your lease it up you get all of your security deposits back.
Security deposits are the amount of your lease monthly payment rounded up.
So if your payment is say $550, iirc the security deposit will be $600.

Is this a good deal? For me it was.
I had the extra money that was only getting .5% in interest in the bank.
By using that money to buy down my MF, which then lowered my monthly,
I will actually be ahead, meaning, I'll get more money by saving on my monthly then I would have received on interest from my bank.

If you are an investor, then you might do better investing the money instead of making extra security deposits. But, since the money I used was not investment money but money in my savings, the lower monthly payment puts me ahead. Win win for me.

Also, I never roll anything into the lease except the cost of the vehicle.
IOW, I make a check for the security deposits, first payment, any taxes, doc fee's, etc... I do not like paying interest on those fee's.
It's money I have to spend anyway so why pay interest on it, just write a check. Mind you, that is NOT the same as putting money down.
It is simply all the fee's necessary to create the lease and take the car.
My leases are only the actual agreed upon price of the car and that's all that gets calculated in the lease.

Those are just some things to consider the next time you lease another BMW or other German car. Audi and MB also have multiple security deposit programs in order to buy down the MF.

Luckily in my state we don't pay tax on the purchase price of the vehicle, so that makes leases much easier and less expensive. We only get taxed on the monthly payment.

On my 2013 335i Msport the MSRP is around $52K.
I negotiated $500 over actual invoice.
My monthly with the 7 security deposits is $514, that's including my states 7% sales tax. I also received and used a $1000 voucher for participating in one of BMW's drive events, well worth it.

My next BMW will likely be an M235i. I may do an early lease turn in.
I'm almost at my 2yr mark on a 3yr lease.
My pay off and the value of my 335i Msport are about the same, so no loss at all, just a simple turn in of my 335i and get into a new M235i.

That's a lot of info I know.
But I hope some of that helps.

[patbrass]

I agree with everything you said except one thing. There is NO way a smart investor would choose to invest instead of doing the MSDs and come ahead. Last time I checked, the equivalent rate of return for doing 7 MSDs was more than 12% annually. That money is AFTER tax - which is equivalent to more than 15% if you are in the 28% tax bracket. And the kicker is that this is GUARANTEED! If there is another way to make guaranteed 15% investments please let me know ASAP!

[Lynn_228i]

RPM90, thank you for such a long detailed educational explanation that I read twice. I did not know I could put no money down but that is what I will do from now on so that if I want to trade in my car early for another BMW (if it maintained its value) or do the pull-out program, I did not lose anything.

I did read the contract thoroughly and bring my paperwork to match everything but I was told that it was a new program that I would be better off with the lesser months. I had the finance manager sign a paper when he told me that I could extend the lease 3 months without being in a contract and 6 months being in a contract. Then when I was driving home, I thought BMW may not allow this just because the finance manager says so. I was right that I needed the 36 months lease term due to timing of when the lease would end at 33 months on 04-25-2017 (My tax season does not end on 4-15-17 since I have other deadlines in April with no time to call dealers for pricing or test cars). I was able to resign the lease based on the signed paper of the finance manager that was incorrect.

I was told I may be able to get a courtesy 30 day extension if I call the lease end department and talk to a person but that is all UNLESS I am in a contract waiting for my car and then I can get up to a 6 month extension on my BMW lease agreement.

I like this Multiple Security Deposit way of lowering my payment. Thank you RPM90 and patbrass for letting me know.

I really love this forum so much as the members are all mostly so caring and knowledgeable. Thank you both! Also I want to thank the others that contributed and tried to help me or that made me laugh that posted: BMWF22, bimmerbuff, hyperzulu, Alpine F31, wmo168, and flyga3.

[hyperzulu]

A 36 month extension seems excessive. Be aware that bmwfs may extend the lease 30 days as courtesy without an order. Just say you are thinking of getting a new BMW but shopping around different dealers. Be more aware that even with an order, extensions are not guaranteed and sometimes bmwfs offers extensions with very bad rates. So you could be offered one month same payment, but second month it jumps to $1,000 for payment. At that point, rent a car for 30 days instead and rack up frequent flier miles on a credit card.

[Lynn_228i]

Originally Posted by hyperzulu

A 36 month extension seems excessive. Be aware that bmwfs may extend the lease 30 days as courtesy without an order. Just say you are thinking of getting a new BMW but shopping around different dealers. Be more aware that even with an order, extensions are not guaranteed and sometimes bmwfs offers extensions with very bad rates. So you could be offered one month same payment, but second month it jumps to $1,000 for payment. At that point, rent a car for 30 days instead and rack up frequent flier miles on a credit card.

Sorry, Hyperzulu, it was a typo error for typing so fast and not reviewing my post since I was so tired. I meant a 6 month extension I was told I could have if I had a BMW car on order with a production number. I was also told that I may be able to get a 30 day courtesy extension if I call the lease end department. I wanted the 36 month lease term and not the 33 month lease term since 30 days may not be enough time to get a good deal since part of those days, I will still be working nonstop and then I will need a break as I will be burnt out.

Thanks for letting me know that I did the right thing but changing the lease terms back to 36 months since I do not want to have to rent a car if I am not in a contract when the lease ends and if 30 days is not long enough for me to get into another contract if I want to make a good deal. You are so right that it would be better to rent a car and rack up frequent flyer miles on a credit card than get into a high rate bad contract.

[RPM90]

Originally Posted by patbrass

I agree with everything you said except one thing. There is NO way a smart investor would choose to invest instead of doing the MSDs and come ahead. Last time I checked, the equivalent rate of return for doing 7 MSDs was more than 12% annually. That money is AFTER tax - which is equivalent to more than 15% if you are in the 28% tax bracket. And the kicker is that this is GUARANTEED! If there is another way to make guaranteed 15% investments please let me know ASAP!

There is the reason as to why I the MSD's, because I don't have an investment where I can do better.

[RPM90]

Originally Posted by hyperzulu

A 36 month extension seems excessive. Be aware that bmwfs may extend the lease 30 days as courtesy without an order. Just say you are thinking of getting a new BMW but shopping around different dealers. Be more aware that even with an order, extensions are not guaranteed and sometimes bmwfs offers extensions with very bad rates. So you could be offered one month same payment, but second month it jumps to $1,000 for payment. At that point, rent a car for 30 days instead and rack up frequent flier miles on a credit card.

True, there is no "guarantee" that BMW will extend a lease at current terms.
There is a possibility, perhaps, that BMW would do an extension that jumps like crazy. However, I haven't read that happeing to anyone.

Yes, you do have to call BMWFS and ask for any extension as the dealer is not the leasing company.
It is my experience that you won't get denied.
When my 135i was due back July 1 of 2012 I was given an extension up until my new 2013 335i Msport arrived. The 335i was due in at least 2 months and could have been another 2 week beyond that, though it wasn't.
New model year build start is currently July, so it's possible that a particular car may take longer than 8 weeks due to production starting for the new model year builds.
My extension was at my current monthly and I was given 1K per month of extra miles.

It's not in BMW's best interest to jack up your monthly payment if you have a new BMW on order. It doesn't make good business sense to anger a repeat customer.
If BMW were to do a payment hike that nearly doubled a payment, how many angry repeat customers would they lose?