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Can you sell a car that is still on lease?
Settlement figures, the leasing company’s permission and code 178: what to resolve before handing over the car.
27 October 2026
3 min read
You want to change cars before your lease ends. Before looking for a buyer, ask the leasing company how to end the agreement and obtain permission to transfer the vehicle. Know the settlement amount and exit terms before setting a handover date.
Start with an up-to-date settlement figure
Ask for a repayment or early termination statement valid on your intended exit date. Confirm any fees and how the agreement will be closed. The figure that matters is the amount required to exit the agreement, not just the remaining monthly payments added together.
Cembra points out that the lessor remains the owner of the vehicle during the agreement. The residual value in the contract should therefore not be treated as permission to sell the car freely for that amount. The process depends on your agreement and leasing company.
Compare the settlement with the sale proceeds
Once you have the statement, compare it with a realistic selling price and any selling fees. This shows whether the proceeds will cover the settlement or whether you will need to contribute more.
Don’t tell the buyer everything is settled until the amounts and process are confirmed. If a garage or intermediary is handling the sale, ask who pays the leasing company, who receives the balance and which documents you will receive.
Check code 178
The entry “178: change of registered keeper prohibited” may appear on the registration document. The canton of Vaud explains that it prevents a change of keeper without authorisation and notably protects the leasing company’s rights.
The final payments and removal of this entry need to be coordinated. At Cembra, release takes place automatically once the agreement has been paid in full, with confirmation by post. For another provider, confirm the process and timing rather than assuming they are the same.
Confirm release before handover
Agree on a date that allows time to obtain confirmations. Check with the organisation concerned that the vehicle can actually change registered keeper. Your cantonal vehicle authority can then explain the registration procedure.
You can prepare the sale documents, photos and vehicle details while these discussions take place. However, avoid promising immediate collection while termination or permission is still pending. A well-prepared handover starts with written confirmation.
What if someone takes over the lease?
Transferring the agreement to another person is different from selling the vehicle after settlement. It depends on the lessor’s approval and criteria. Ask about the conditions before presenting this option to a prospective buyer as a certainty.