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Lease Transfer / Assumption Process Overview

Dear Mr XXX:

Thank you for contacting BMW Financial Services regarding the lease transfer process (hereafter referred to as Assumption Process). The following documents will explain the Assumption Process, provide you with the assumption timeline and will answer frequently asked questions regarding the Assumption Process. The Assumption Process may take up to three weeks to complete.

To eliminate any confusion, Transferor refers to the original signer of the lease and Transferee refers to the individual who is assuming the lease. Please note the following important conditions to complete the Assumption Process:

- There must be a minimum of six months remaining on the lease.
- The Transferee (applicant) must be credit approved by BMW Financial Services.
- The account must be paid current to begin the Assumption Process, and must be current atall times for the assumption to be completed. This includes paying all charges billed to the account in addition to the monthly payments, such as personal property tax, late charges, parking tickets, and administrative fees. The Transferor should resolve with the Transferee, any
payments or refund of monthly payments made prior to transferring the vehicle. BMW Financial Services will not prorate any payments to either party made on the account.
- The vehicle must remain in the Transferor's (current customer's) possession and on his or her insurance policy until a confirmation letter is received by email or by regular mail from BMW Financial Services stating that the Assumption Process has been completed.


Assumption Process Overview

The Assumption Process is completed in three stages. The following information details what occurs in each of the assumption stages.

Please note BMW Financial Services will not act as a mediator regarding arrangements made between the Transferor and the Transferee. This process cannot be expedited or delayed for any reason once we have received the required documents. Should the process exceed 60 days from the credit application submission date, it will automatically be cancelled and a new credit application and application fee will be required to initiate the process again.

Stage 1 - Credit review process

The Transferor contacts BMW Financial Services to provide his or her current and valid email address, the name of the Transferee and the Transferee's email address. If there are more than six (6) months remaining on the term of the lease and the account is current, BMW Financial Services will mark the account “Assumable” and bill the account for the $500.00 Assumption Processing Fee, plus any applicable sales tax.

A credit application link will be sent electronically to the Transferee and both parties will receive updates and documentation electronically throughout the Assumption Process.

The Transferee must click on the link to submit a credit application to BMW Financial Services. The credit application can only be submitted once the $500.00 Assumption Processing Fee plus any applicable sales tax has been paid. It is the responsibility of both parties to determine who will pay the fees and taxes. We will accept the payment in full by one party only. We cannot accept partial payment from either party. The payment can be made online by the Transferee at the time of the credit application submission. If the Transferor will be making the payment they can do so by contacting a Customer Service Advocate at (866) 646-4463 or online at bmwusa.com.

BMW Financial Services will inform the applicant of a credit decision by email within 48 business hours. This information can only be given to the Transferee. Please understand we are bound by privacy laws and cannot discuss any aspect of the credit decision with the Transferor or any third party.

If the lease assumption is cancelled before completion, or if the Transferee is not credit approved, BMW Financial Services will retain $100.00 plus applicable sales taxes as a processing fee. The balance of the Assumption Processing Fee will be refunded.

Stage 2 - Completion / verification of assumption documents

Upon credit approval of the Transferee, BMW Financial Services will send the required assumption documents to each party by email within 24 to 48 business hours. Each party will receive their own document package for completion.

Please print and complete the document package as instructed. Both parties must complete and return the Stage 2 documents within three to five business days.

Return the documents with the original signatures to:

BMW Financial Services

ATTN: Assumptions Department

5550 Britton Parkway

Hilliard OH 43026

At this time, the Transferee must contact their insurance company to add the vehicle to his or her insurance policy with an effective date within ten days to insure the vehicle.

Upon receipt of the completed documents from both parties, BMW Financial Services will verify that all documents have been sent and filled out correctly and the insurance policy coverage is correct.

If the documents were not completed correctly or we are missing required information, BMW Financial Services will contact the appropriate party by email within three to five business days to advise the appropriate party of the error.

Stage 3 - Release of Liability / Registration Documents

After verification that Stage 2 documents were completed correctly, BMW Financial Services will prepare a final set of documents which will include a confirmation letter indicating that we have received all of the documents required to complete the financial part of the Assumption Process.

Transferee: The Transferee's documents will include the necessary information that will allow the Transferee to register the vehicle at their local Department of Motor Vehicles. These documents will be mailed by second day delivery to the Transferee.

Transferor: A confirmation letter will be mailed by United States Postal Mail and emailed to the Transferor. Upon receiving this letter, the Transferor is required to release the vehicle to the Transferee and may cancel the registration, insurance and license plates. The transferor may need to send BMW Financial Services a copy of the plate cancellation or plate transfer form the DMV when required by their state.

Upon completion of the Assumption Process, the Transferor is fully released from financial liability of the account.