Should I Lease My Car From The Car Dealership Or A Bank?
July 31st, 2008
Reader Question
I want to lease a new Toyota Prius…..damn gas prices are out of sight! The dealership wants to charge me a bunch of smaller “Fees” in addition to the lease fee, what should I do….go to a bank for a lease?
Tom,
Detroit, MI
Dealerships value your business and are ready to negotiate. Mention important options before you seal the deal. Dealers know that some people like to swap cars often and want the flexibility to get out of a particular car when they choose.
What the dealer doesn’t tell you is that leasing is designed in a way that makes it both difficult and expensive to terminate before the normal end date. Dealers also try to sell you on leases by doing a comparison between the payments for a lease and the payments for the same car on a conventional loan. Invariably, the comparisons show the lease payment to be the winner. Most banks will not offer a car lease, but there are a few aftermarket companies that will…so shop around.
Entry Filed under: Car lease explained