Leasing questions

Anonymous · ‎04-20-2015

So i'm planning on leasing a '15 Infiniti Q50 3.7 Premium sometime next month. Since I read on myfico that it's best to not put any down for a lease, I asked for a quote with $0 down only first month's payment and then a quote with $5000 down. $0 down is $429 a month for 39 months with 12k miles a year, it could be $20 cheaper with 2k miles less but an extra 2k miles for only an additional $20 a month isn't bad in my opinion. And with $5000 down would be $320 a month with the 12k miles a year. I was told I'd be approved for 2nd top tier with my scores how they are now (in my signature).

Now my question is, realistically what are my chances of getting approved with an income of $20-$30k a year and short credit history? I first started credit in August of 2014. Living with my parents by the way. And I also read that you have an Auto Enhanced FICO Score which, for the most part, I saw it's higher than your normal FICO scores, am I right there or completely wrong?

Thanks.

Anonymous · ‎04-21-2015

Depending on the lender, limited credit score my require a cosigner on an auto lease/loan. Then again dealer financing likes to hand out to young people.

Anonymous · ‎04-21-2015

Before doing anything with leasing go to www.leaseguide.com and educate yourself properly if you have not done so already. With a short credit history, you may need a co-signer for the lease..

StartingOver10 · ‎04-21-2015

Make sure to get insurance quotes for this vehicle if you go down this road (leasing an expensive sporty vehicle). Insurance will be a real eye opener.

I just think it is a mistake to lease this type of vehicle when you don't have the income to really support it, You are living at home so you have a false idea of what $20k to $30k per year buys since your parents are picking up your living expenses. I suppose an argument could be made that this is the time to get the sporty expensive vehicle because you don't have any responsibilities Just make sure you weigh all your expenses and go in with your eyes wide open.

Anonymous · ‎04-21-2015

@StartingOver10 wrote:

Make sure to get insurance quotes for this vehicle if you go down this road (leasing an expensive sporty vehicle). Insurance will be a real eye opener.

I just think it is a mistake to lease this type of vehicle when you don't have the income to really support it, You are living at home so you have a false idea of what $20k to $30k per year buys since your parents are picking up your living expenses. I suppose an argument could be made that this is the time to get the sporty expensive vehicle because you don't have any responsibilities Just make sure you weigh all your expenses and go in with your eyes wide open.

Agreed. Leasing is all about your situation and how you intend to use the car not forgetting the cost factor also.

CreditDrama85 · ‎04-21-2015

you've been given some great advice already. I would think twice about this unless you are 110% sure you can afford this and wont be late. Your credit file isnt established enough so one late on a lease will tank your score IMO. If you want a car now why not consider buying pre-owned (especially if you have money down) then trading to something more expensive once your file is established. Also, you have a lot of credit cards with low limits. Maybe think about deciding which ones will grow and cut the rest. If you do decide to proceed there are first time buyer/college grad programs that will likely approve you.

Forte747 · ‎04-21-2015

@Anonymous wrote:
So i'm planning on leasing a '15 Infiniti Q50 3.7 Premium sometime next month. Since I read on myfico that it's best to not put any down for a lease, I asked for a quote with $0 down only first month's payment and then a quote with $5000 down. $0 down is $429 a month for 39 months with 12k miles a year, it could be $20 cheaper with 2k miles less but an extra 2k miles for only an additional $20 a month isn't bad in my opinion. And with $5000 down would be $320 a month with the 12k miles a year. I was told I'd be approved for 2nd top tier with my scores how they are now (in my signature).

Now my question is, realistically what are my chances of getting approved with an income of $20-$30k a year and short credit history? I first started credit in August of 2014. Living with my parents by the way. And I also read that you have an Auto Enhanced FICO Score which, for the most part, I saw it's higher than your normal FICO scores, am I right there or completely wrong?

Thanks.

As per Infiniti Finance guidelines, your score puts you in a Tier 3. Any strong Finance Manager can get you bumped to Tier One or Super Preferred Leasee.

You shouldn't have a problem qualifying for a lease by yourself.

MSRP of the Q50 is ~$44900, Current special Residual is 58%. Therefore your obligation is only approx $18,858 or 42%.

With your income and down payment, you have a deal all day long. Remember with a Lease every $1000 Down is equivalent to $28 - $30 a month.

Also being a first time buyer, Infiniti may require a down payment. The other good thing is that you can always get out of your lease after 2 - 2.5years. The Q50 so far holds a decent value.

Just my 2c