Rearrange Subsidize Lease Gratis

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Negotiate the interest rate (money factor) on the lease to a level appropriate to current market interest rates. Also, when the lease ends you typically have the right to buy the car at the residual value.
A lease deal with a money factor of less than. 0017 is a good deal. Anything higher, means less of a good deal. Of course, the best lease deals are made with a combination of low lease PRICE, high RESIDUAL value, and low MONEY FACTOR.
Generally, a good deal is when your monthly payment is equal to one percent of the retail price of the car, with only drive-off fees due upfront (first month's payment, document fees, and vehicle registration). On a 36-month lease, every $1,000 down is equivalent to adding approximately $30 to your monthly payment.
Just like interest on a loan, the lower your money factor, the lower your monthly lease payments. To determine your annual interest rate, just multiply the money factor by 2,400. So our money factor of 0.00247 translates into an annual interest rate of 5.928%.
Example. Assume you lease a car for 36 months, with an adjusted cap cost of $35,000. They give you a residual of 54% after 36 months ($18,900).
Low Money Factor But like their APR cousins, the lower the number, the lower interest you pay. To convert interest rates to money factors, divide the interest rate by 2,400. To convert money factors to interest rates, multiply by 2,400.
It is not possible to change the terms of the lease in any way that might reduce the monthly payment amount. Unlike a car loan, which can be refinanced, leases cannot be refinanced. However, if you want to continue your lease but simply want to lower your payments, there is no way.
A lease deal with a money factor of less than. 0017 is a good deal. Anything higher, means less of a good deal. Of course, the best lease deals are made with a combination of low lease PRICE, high RESIDUAL value, and low MONEY FACTOR.

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