Lease Options
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I'm hoping that we will get some soon but there is no telling... :thumbs: 
Of course, dealer is guaranteed in 4 years to have the customer come back to the dealer and most likely lease another vehicle. Also the dealer makes more money on a lease. Saturn's website also stated that the Sky would be avaialble for lease. I was just trying to find out if anyone has actually heard about lease options.
How does leasing screw the buyer??? Please explain that to me because I don't think you have a firm grip of vehicle financing.ggccg said:
To answer the question though I was told by the DSM that the residual on the Sky will be very high as they feel it will hold its value very well...the good news is that it means the lease payment will be very low.
I am excited to lease mine and write off the payment.
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Rather than type my fingers to the bone here, I will refer you to several websites that detail the ways in which dealers can and often do take advantage of buyers on automobile leases.CdnSkyGuy said:
Even though you may have lower monthly payments with a lease, that is not the same as being a "good deal." You can still pay way too much. What you need to understand is that leasing a car is nothing more than renting. You have absolutely no equity stake in the vehicle, but lots of downside opportunities if it doesn't hold its value as well as anticipated by the lease. One way or another, you pay for the car. There are no free rides.
Unscrupulous Finance Managers can manipulate the Cap Price on the contract and conceal other important information from buyers and often DOUBLE the profit to the dealer on a lease compared to a sale. Groups of dealers in various areas of the country have been forced to return millions of dollars of overcharges to people who leased cars thinking they were getting great deals.
For the best deal on a car, you have to keep the number of financial variables to a minimum. Leases add a number of new financial variables that the typical buyer does not understand but the dealer does, oh so well.
See:
http://www.consumeraffairs.com/automotive/auto_leasing.html
http://www.carinfo.com/autoleasing.html
http://www.leaseguide.com/lease12.htm
http://www.neighborhoodlaw.org/page/78&cat_id=81
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Yep... your "down payment" is nothing but rent paid in advance. You probably also got caught in the "gap" between the lease cap and the depreciation that occured when you drove the car off the lot. Dealers will sell you Gap Insurance to cover this unhappy event, but that's yet another dealer profit center.MOMDRAE said:
ggccg said:
Gap insurance is free through GMAC. If you put a large down payment on a lease then you should buy replacement cost insurance.
Sure there are bad finance managers out there but they can screw people over on a finance contract as well. The great thing about Saturn is that that should never ever happen. For people who change vehicles regularly then a lease is a great thing. There is very seldom a situation where a person financing a new vehicle has any equity. It would take you 2 years to pay down the amount it depreciated when you drove it off the lot.
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