Leasing a car should not be intimidating, overwhelming, or stressful. How about we start with how auto leasing works by understanding the auto leasing process.
Approach car leasing as just that. Separate any preconceived notions you have about car leasing from apartment leasing, apartment renting, car renting, or rent to own. Rid yourself of comparisons or ignore those who say car leasing is similar to the above.
It is easy to get ripped off in auto leasing so be sure you arm yourself with as much knowledge about the auto leasing process, terminology, and calculations.
Auto leasing is simply another form of financing a new car.
You negotiate a new car as if you were normally financing a car.
You want to make sure you understand where you stand in terms of your credit score, which will determine your interest rate otherwise known as the money factor.
You do not shop around your auto loan as if you were financing a new car. Rather you typically go through the car manufacturer’s financing, but the money factor (interest rate) is set based on which credit tier you are.
Typical car lease period is 36 months, but there are wide ranges available.
Typical car lease mileage allowance is 12,000 miles per year. Overages in mileage at the end of the car lease results in paying a per-mileage penalty.
At the end of the lease, return the vehicle or purchase the vehicle at which point you will need to get financing.
More details will be shared throughout the Auto Lease Help Guide.