Auto Insurance And Leasing
When leasing a car, it’s easier to stick with the same company for your
auto insurance. What you don’t know, however, is that you may end up
paying too much for your coverage and it’s better to look elsewhere for
lower rates.
When you lease, the vehicle that you will drive belongs to the leasing
company. They want to make sure that their investment is covered in the
event the vehicle gets damaged, totalled or stolen. They typically want
to get covered for the difference between what your auto-insurer pays and
your outstanding leasing obligations at the time of the accident or
damage. This is called GAP, short for Guaranteed Auto Protection, and is
usually included in the leasing contract.
If your leasing company is called BMW Financial Services, Chrysler
Financial or any other finance division of an automaker, then chances are
your GAP insurance will be offered by the same lease company.
You are under no obligation to accept GAP insurance included as part of
your lease agreement. Why pay an insurance premium if you could get the
same coverage for a lower price?
Invest some time shopping by comparing quotes from other insurance
companies, including your existing one. Ask for discounts that you already
qualify for and adjust your coverage accordingly.
Auto Leasing
How To Calculate Your Lease Payment
Auto Leasing
... look-out for factory subsidized lease deals. Car manufacturers realise that consumers who lease vehicles from them are more likely to be repeat customers than those who simply purchase vehicles. Through their leasing companies, they adjust the residual value and offer low financing charge. Other auto-manufacturers ...
... your lease. The idea behind a pre-paid lease is to eliminate the finance charges for depreciation and only account for residual value charges in a single, pre-paid payment at the beginning of the lease. Single-payment leases are devised with spendthrifts in mind: no cycle of monthly payments, a new car ...
... leasing scam. You ask your dealer how much you will pay if you want to terminate your lease and he tells you: You want to get out early? Sure thing, you only pay an early termination fee of $300 . What he is quoting is only the small administrative penalty of early termination, there is a much stiffer ...
... perception of the brand, not its reliability ratings in quality surveys. Take the Jaguar for example: it is consistently rated as a quality car, but because of questionable reliability perception among the public, it takes a sharp dip in value at the end of its lease-term Higher-tech options and other ...
... of detailed payments, taxes and total lease costs. Figures you need to get from your dealer about a specific lease you re interested in include: capitalized cost, estimated residual value at the end of the lease, the number of months in your lease and the money factor. Make assumptions and change some ...