Archive for February, 2020
Is it cheaper to buy or lease a car?
In most cases, leasing is cheaper than buying in the short term. That is, lease payments are usually lower than loan payments. However, you can usually save more money in the long run by buying because you will own the vehicle and can resell it. We don’t recommend leasing forever but leasing is a good way to drive a new, warrantied vehicle for a few years without paying a lot each month.It is better to lease or buy a car?
This question is difficult to answer. It depends on your lifestyle. You shouldn’t lease if your life is unpredictable. You’ll have to agree to a maximum mileage per year, which means you need a fairly stable lifestyle or you could exceed the limit. There are also things to consider about buying. You may not be able to afford the loan payments for the car you need, for example. You might run into loan problems (qualifying for a lease is often easier than qualifying for a loan). You’ll be able to decide which options is better once you know how they both work. Read on to learn more about leasing.Do I own the car when I lease?
No. You don’t own the vehicle while its under a lease contract. It belongs to the lessor. You can decide to purchase the car when the lease ends, however.Can I negotiate the lease rate like I would negotiate the purchase price?
The lease rate isn’t set in stone. It is based on the vehicle’s purchase price. You should negotiate as if you are buying the vehicle before you let the dealership calculate the lease rate. When they calculate it, double check it to make sure it’s correct. Here’s how the calculation works.What is “amount due at signing”?
The amount due at signing is the total amount you will have to pay on the first day of the lease term, which includes down payment, first month’s payment, taxes and fees. When advertised, the amount due at signing is based on a strong credit score. It will vary if your credit score is on the weak side.Can I end the lease early?
Usually, you can’t end a lease before end term. Some lessors allow lease transfers or “lease assumptions,” which means letting someone else take over the payments and drive the vehicle. Your lessor might keep you on the contract and hold you liable for payments anyway, though. These conditions are something worth asking about before you sign any agreements.How do you calculate a lease rate?
The basic formula is this: (purchase price – residual value at end term) / months in lease term For details, see this article from WikiHow.What happens if I damage my leased vehicle?
Your lessor probably won’t mind a few scratches (they will have a policy for you to review), but expensive damage will be recouped by fees. You can buy excess wear and tear coverage, which will protect you from most minor damages. If you want full protection, think about GAP insurance, which covers the full value of the car. If the car is totalled, GAP insurance shields you from paying that loss to the lessor. Of course, it’s a good idea to read the policy carefully anyway. Ready to get behind the wheel? Your local dealers offer their most competitive prices to online shoppers. Click here for free, no-obligation quotes.Archives
- May 2020
- April 2020
- February 2020
- March 2019
- March 2018
- January 2018
- December 2017
- November 2017
- October 2017
- August 2017
- July 2017
- June 2017
- April 2017
- March 2017
- February 2017
- January 2017
- December 2016
- November 2016
- October 2016
- September 2016
- August 2016
- July 2016
- June 2016
- May 2016
- April 2016
- October 2014
- July 2014
- June 2014
- May 2014
- April 2014
- March 2014
- February 2014
- January 2014
- December 2013
- November 2013
- September 2013
- November 2012
- October 2012
- September 2012
- August 2012
- July 2012
- June 2012
- May 2012
- April 2012
- March 2012
- February 2012
- January 2012
- December 2011
- November 2011
- October 2011
- September 2011
- August 2011
- July 2011
- January 2011
- December 2010
- November 2010
- August 2010
- July 2010
- June 2010
- May 2009
- April 2009
- March 2009
- February 2009
- January 2009
- December 2008
- November 2008
- October 2008
- September 2008
- August 2008
- July 2008
- June 2008
- April 2008
- March 2008
- February 2008
- January 2008
- December 2007
- November 2007
- September 2007
- August 2007
Recent Posts
- May 2020
- April 2020
- February 2020
- March 2019
- March 2018
- January 2018
- December 2017
- November 2017
- October 2017
- August 2017
- July 2017
- June 2017
- April 2017
- March 2017
- February 2017
- January 2017
- December 2016
- November 2016
- October 2016
- September 2016
- August 2016
- July 2016
- June 2016
- May 2016
- April 2016
- October 2014
- July 2014
- June 2014
- May 2014
- April 2014
- March 2014
- February 2014
- January 2014
- December 2013
- November 2013
- September 2013
- November 2012
- October 2012
- September 2012
- August 2012
- July 2012
- June 2012
- May 2012
- April 2012
- March 2012
- February 2012
- January 2012
- December 2011
- November 2011
- October 2011
- September 2011
- August 2011
- July 2011
- January 2011
- December 2010
- November 2010
- August 2010
- July 2010
- June 2010
- May 2009
- April 2009
- March 2009
- February 2009
- January 2009
- December 2008
- November 2008
- October 2008
- September 2008
- August 2008
- July 2008
- June 2008
- April 2008
- March 2008
- February 2008
- January 2008
- December 2007
- November 2007
- September 2007
- August 2007