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Lexus, Mercedes, and BMW FS lease odds?

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Anonymous
Not applicable

Lexus, Mercedes, and BMW FS lease odds?

Hello all, I'm new around here. I'm looking to lease a midsize luxury car (E300, 5-Series, ES/GS) in December. I've used the FICO simulator, and it looks like my credit score will be 690-704 6 months out with all credit card debt paid off (I'm doing that this month, $2500 total limit and balance). I have three years of credit history. I have five credit cards (500-750 limit each). Limit never increased due to my limited income previously. I've had three car loans. One via Santander on my own, my first loan for 18 months (all on time. Refinanced the same car via a credit union for three months, then got a new car loan via my credit union in January with a $430 payment for a pre-owned Lexus. It'll be a year's worth of history for this loan in December/January. I just got a new job a couple of months ago with an 84k salary, and I like the idea of leasing. Putting about 5k down if that helps. I have Zero missed payments on anything, 10k student loans, and 1k rent, and that's about it. I'm 21. I have one collection back from an apartment due to same made-up damage charges and that's it. Which company that would likely give me the best MF and easy approval? Thank you for your help.  

5 REPLIES 5
Brian_Earl_Spilner
Credit Mentor

Re: Lexus, Mercedes, and BMW FS lease odds?

All 3 can finance whomever they want, at whatever score they want. Don't rely on the simulator tool. You'll need to be at 705 minimum to get tier 1, depending on who you choose 

    
Message 2 of 6
Anonymous
Not applicable

Re: Lexus, Mercedes, and BMW FS lease odds?

I understand, but which lender is more likely to approve me for the lease, and give me a good interest rate? I'm currently at 656 with 99% util, so I imagine I'll go up by quite a bit after I pay them next week. Thanks 

Message 3 of 6
Anonymous
Not applicable

Re: Lexus, Mercedes, and BMW FS lease odds?

I would suggest researching all of the aspects of leasing, leasehacker.com is a great source.  You can get yourself tripped up by not knowing all of the factors involved.  For example it is not a great idea to put anything down on a lease because in the event of a total loss you lose whatever you have put down.  You want to know your credit scores and the money factor for each car your considering because dealers will play with them.  The better way to use that 5 k is through a MSD which is a refundable security deposit which helps to reduce your payment by reducing the money factor (interest) on the lease so you get the benefit of a lower payment and you get the money back in full at the end of the lease or in the event of a total loss.

 

Lots of factors on leases.  They can be a very good way to go but can be a bit of a nightmare also.  Just read a post of someone who's girlfriend turned in her car and because of mileage and damage she owed over 6k that she is still paying even though she has no car.

Message 4 of 6
Anonymous
Not applicable

Re: Lexus, Mercedes, and BMW FS lease odds?

All of the lease information you need is on Edmunds and leasehacker for various makes and models.  They vary by region.  You may want to consider using a broker, very easy way to get a good deal and not have to do any negotiations.   

Message 5 of 6
Brian_Earl_Spilner
Credit Mentor

Re: Lexus, Mercedes, and BMW FS lease odds?


@Anonymous wrote:

I understand, but which lender is more likely to approve me for the lease, and give me a good interest rate? I'm currently at 656 with 99% util, so I imagine I'll go up by quite a bit after I pay them next week. Thanks 


They'll all approve you and your apr is dependent on the tier you qualify for, which is dependent on your score. Just saw you included BMW. I think their tier 1 starts at 675 and I don't remember, but I think they pull EX.

    
Message 6 of 6
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