02-25-2013 04:13 PM
02-26-2013 12:24 PM
>Yes you can trade the net equity value of a used car to reduce the monthly lease payments on a new lease
Reminds me of the other thing I like about leasing with no money down, "Gap Insurance". What is gap insurance? Imagine you roll off the lot with your new $40k car and someone runs a red light and T-bones you at the first intersection, totaling it. Insurace will pay you the value of a "used" same model year car with low milage, say $36,000. You just lost $4k. Now lets say you put $2k down, and had gap insurance, now the gap insurance pays $2k and you are only out $2k. But wait, say you are clever like me and didn't put anything down? I am out $0, and my down payment is still working for me in the stock market, money market account, retirement savings, wherever. Likel
USAA includes gap insuance with all their leases, you can get it for a non-leased car, but its hard to find.
02-26-2013 12:29 PM
Sorry, to be more clear, gap insurance pays the gap between what you owe on the car and what the car is worth. People have found themselves in financial trouble when their cars were totaled and they owe more than the car is worth, with no car as colateral, you have to pay the bank the difference immediately. This can be a significant burden given its unexpected nature and the fact you no longer have a car to get to work.
03-08-2013 07:46 AM
03-28-2013 12:54 PM
Couple questions, If one leases a car and 6 months later decides they hate it are there any options to get out of the lease or are you stuck with the car until the end of the lease?
Can you get pre-approved for a lease and find out the terms before you even go into a dealership, Like you can a car loan?
t the end of the lease, if one wants to buy the car, Is the price negotiable?
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