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Ways in which dealers can deceive customers when leasing a car Car dealers often resort to common tricks and deception to entice consumers to lease when it may not be in the consumer’s best interest. This is why it is so important to understand how leasing works and to be able to make your own decisions, without a dealer’s “help.” Here is a list of the top leasing tricks used by dealers: 1. “We will … Read More

Left-Over Cars for Great Deals Buy last year’s left-over new cars for the best bargains Every year, as new car models arrive, car manufacturers and dealers are frequently stuck with many previous-year’s vehicles. These must be sold to make room for the newer vehicles. This leads to some of the best deals of the year — cash-back rebates, lease deals, and other incentives — on “left-over” new cars. Dealers hold “clearance sales” to promote these deals. All the cars … Read More

How does car financing work? How do car loans and leases work? One of the most misunderstood concepts about buying or leasing a new car is how auto financing really works. Dealer financing, specifically, is often misunderstood. We’ll explain it later, but the key concept to understand is that car dealers do not finance car loans and leases. However, dealers can most certainly affect how you finance and the interest rate you pay for financing. … Read More

Choosing the Best GPS Navigation System for Your Car Automobile GPS navigation systems provide drivers with dynamic street and highway maps, driving directions, and directories of restaurants, hospitals, car services, and other points of interest (POI). Voice prompts and alerts let the driver keep his attention on the road. The newest and best GPS systems have full-color 3-D street maps, traffic alerts and rerouting, integrated hands-free cell-phone use, and easy touch-screen controls. Some of the … Read More

Does It Matter Where You Buy Car Insurance? Who sells auto insurance? You can buy car insurance in different ways, from a variety of sources, depending on the insurance company. Does it make a difference how or where you buy? It might. Let’s take a look. There are essentially four ways to purchase auto insurance. They are: From a company agent (employed representative) of an insurance provider From an independent agent (not employed by an insurance … Read More

How To Evaluate a Car Lease Deal After the Fact Did I Get a Good Deal or Bad Deal? Even if you are familiar with leasing a car and have experience, it can get confusing when actually conducting a deal in a dealer’s office where there are numbers flying around left and right, adjustments being made, papers being signed, and fatigue setting in. You think you got a good deal on your lease, but did … Read More

Is it smart to buy your leased car and pay off your lease? Most auto leases provide the leasing customer with the option to buy their car at the end of the lease, or buy prior to the end of the lease. This is called a “lease buyout.” To buy out your lease at lease-end simply means you purchase your vehicle from the lease company – either with cash or a loan — for the guaranteed … Read More

Find Car Lease Payments on HP Business Calculator Set up your HP 17BII financial calculator for car lease formula You might ask why we’re offering instructions on setting up a business calculator, such as the popular HP 17B, 17BII, or 17BII+, to perform car lease calculations when there is already a built-in TVM (Time Value of Money) function that appears to do the same thing. The answer is that car leases are not calculated using … Read More

What auto insurance is required to lease a car? Most car lease companies require you to maintain full-coverage auto insurance to protect both you and themselves. This means both liability and collision/comprehensive coverage. The details of exactly what and how much is required is specified in the small print of your lease contract. Specifics can vary by lease company. The amount of coverage specified in your lease contract is a minimum required amount, and is often … Read More

What is my car lease interest rate? Lease rate is not in my contract. How do I find it? It’s true. Unlike a loan contract, a car lease contract is not required to show the interest rate used in computing the monthly payment. And it isn’t shown. Actually, lease finance rate is expressed as money factor, not interest rate. And that isn’t shown in a car lease contract either. Money factor is a very small number. … Read More

Car Lease Taxes and Fees in Florida Leasing a car involves various taxes and fees, and these can vary by state. In Florida, as of September 2021, here are some general aspects regarding taxes and fees when leasing a car: ### Taxes: 1. **Sales Tax:** – Florida imposes a state sales tax on car leases, which, as of the last data, is 6%. However, local jurisdictions (counties) can impose additional sales taxes, which can make … Read More

Monthly Payments –  Not Best Way to Negotiate a Car Lease Many automotive consumers who decide to lease do so only because the payments are more affordable than purchase loan payments. In fact, dealers often encourage the comparison of leasing versus buying on this basis. But it doesn’t necessarily mean leasing is a better deal. However, getting a great car lease deal is more than comparing lease payments and loan payments. What’s a payment buyer? Automobile buyers and … Read More

Where are Car Leasing Companies? Do I have a choice in what company finances my car lease? The world of car leasing in the U.S. has changed dramatically since before the Great Recession. Before, there were many independent car leasing companies, banks, credit unions, and others who were in the business of financing and leasing cars. Most have now disappeared. Now, nearly all car leasing is done through new-car dealers who use their “captive” finance … Read More

Money Factor in Car Leasing How to Use a Car Lease Calculator Car Lease Payment Formula Pre-Paid Car Lease Explained How to Get the Best Car Lease Deals How to Use a Car Lease Calculator New-Car Depreciation Explained

Frequently Asked Questions About Car Lease Calculations Car leasing involves more math than buying a car, or buying with a loan. We frequently see common questions about the math of leasing that we’ll answer here. 1. How do I calculate car lease payments? To calculate monthly payments for a car lease, you must know the amount being financed in the lease (Capitalized Cost), the lease-end Residual Value, finance rate (Money Factor), and number of lease … Read More

What are some common myths about leasing a car? Car leasing is often misunderstood primarily because it’s a bit more complicated than buying with a loan. Furthermore, these misunderstandings are frequently propagated through casual conversations among friends and family, and through the Internet via forums, answer boards, and “expert” advice web sites. Let’s take a look at the most common of the myths about car leasing: 1. Leasing is like renting, which means no down payment, … Read More

Advantages and disadvantages of car leasing Car leasing provides worthwhile benefits to many people looking for a new car. Although leasing offers lower costs than buying with a loan, which is the primary attraction, it is not right for everyone, especially those who drive an unusually high amount of miles. Leasing is designed to provide the greatest benefits to those who drive an average number of miles, take good care of their cars, like having … Read More