Smart and/or informed people: Can a 16 year old get a car lease?

[Bombtrack]

I want to know if it's possible. My cous is looking into it and I actually think that logically it makes the most sense since he can afford it and that an old undependable car for a high school student is one of the most assinine hassles of life. He's got 2 years left of high school. He isn't one of those lucky bastards who has parents that will buy him any car much less a dependable one. But he has a very high paying job as well as a couple thousand saved up.

[Pacifist Patriot]

1. I'm fairly sure he'd have to have a co-signer.

I highly doubt anyone would give him a solo lease, if they do it all. When I was in auto financing with AAA, applicants for any type of financing had to be at least 18. And even then they almost always required a co-signer.

[MrCoffee]

2. My first thought would be that he doesn't have enough credit history...

but I really don't know for sure.

[Bombtrack]

3. I appreciate both responses, anyone else care to contribute?

thanks guys

[trof]

4. Minors generally cannot be party to legally binding contracts.

It would have to be signed by a parent or guardian.
Unless the law has changed radically in the past several years.

Disclaimer: I am NOT a lawyer, but I DID sleep in a Holiday Inn last night.

You MAY be able to look up the law in 'state code' on your state's secretary of state website. Ours has it. Civil law under 'contracts'.

[Bossy Monkey]

5. Can't even rent one; I doubt seriously that they would lease to a minor

He should approach a loan officer at his bank, though. Sounds like he's definitely good for the money. (Still might need a co-sign, though)

[Midlodemocrat]

6. Unless he is emancipated, I don't think a minor can enter into a contract like that.

[Left Is Write]

7. I'm not a lawyer either, but I do agree with the others.

A non-emancipated minor cannot enter into a legally binding contract.

[XNASA]

8. Only in Kazakhstan. And even then....

..the car is drawn by a donkey.

[ScreamingMeemie]

9. No. Not even with a co-signer.

I just a asked a dealer friend. :hi:

[eyesroll]

10. Generally: A minor can sign a contract, but that contract is voidable by the

minor (NOT the car company) -- so no car company with any knowledge of contracts is going to get into a contract with a minor. (Yes, that means a minor can buy a car, crash it into a telephone pole, and then void the purchase contract, leaving the dealer with a wreck and no money.)

Plus, your cousin likely doesn't have any credit history, and a car company may be unwilling to extend a lease (which is also a credit-driven transaction) to him.

However, if an adult signs the lease, unless it's specifically forbidden by the lease terms (and I can't imagine why it would be), your cousin can drive it (and make payments). Yes, responsibility falls to the adult if the minor refuses to pay (which may or may not be a good risk).

*I am a law student, not a lawyer. I am using your situation as exam practice. I could very well be wrong. You don't know me from Adam.

[LSK]

11. "an old undependable car for a high school student "

is part of life. Or so I thought.

Financially he'd be much better off getting a used car and putting money in savings or even a retirement fund. I wish I could put a few 1000 away when I was 16, compounding interest is a powerful thing.

:shrug:

[LeftyMom]

12. With careful looking, he can get a reliable car for the few grand he wants to use as a down pmt

There are plenty of threads here suggesting reliable and reasonably priced used cars and how to pick one. I'd advise starting with Consumer Reports of a similar used car guidebook and then getting a mechanic to inspect any likely canidates. I had AAA look at my car before I bought it and used the minor issues they found to talk down the price.

Even if he's got a great job now, what are the chances he'll still have it in a few years or be able to get a comparably paying one if he loses it? It's never a bad idea to avoid making a long term financial commitment if it's avoidable, but for a young person I'd say it's absolutely imperative that he safeguard his future financial wellbeing by realizing that he will have ups and downs in income and living not only within his present means but in a way that doesn't compromise his future.