Is credit more important when trying to lease a car then financing a new car to buy??? i would like to get a 12-18 month lease but dont have much credit any ideas or anyone know which company is the best to goto for this?
2006-07-02 10:46:17 · 6 answers · asked by breexanna 2 in Business & Finance ➔ Credit
my credit score was like 680 the last time i checked... its not that i have really bad credit its more lack of really good credit
2006-07-02 11:01:22 · update #1
Leasing is for idiots! You are only paying for the part of the car you're using, right? Well, the most expensive time to own a car is the first year, when it depreciates most quickly. Let's say it's a $20,000 car and it depreciates 20% the first year (that's $4000, right?). That's how much YOU'LL be paying and with NO CAR at the end of the year! Now, the dealer will sell the one-year-old car to a wise person for $17,000-18,000 - after you've paid the depreciation on it!
$4000 in one year works out to about $333/month. Put that money into savings every month at 1.5% interest, and in one year you'll have almost $4100 to buy a used car with NO PAYMENTS! Save it for two years and you'll have $8400 (you get to keep the interest!) Plus, if you have an emergency, you'll have money in the bank to handle it and won't have to turn to credit cards!
Never borrow to by a depreciating asset (like a car). The only thing you should borrow money to buy is a house. And never, EVER buy a new car (depreciation!)
2006-07-02 11:43:57 · answer #1 · answered by homeschoolmom 5 · 2⤊ 0⤋
Either way, if your credit is no good, you got problems. Even if you lease, how can the concern leasing the car to you, be sure that you are going to make the monthly leasing fee, and not skip out of town with the car, if you are NOT credit and trustworthy?
2006-07-02 17:52:30 · answer #2 · answered by WC 7 · 0⤊ 0⤋
Lease is bad.....NEVER DO IT
If you do finance a car at a high rate, make sure to get a car that will hold its value, like Nissan, Honda. After you pay on it a while and credit gets better look at refinancing if rates lower.
A 680 will get you a competitive rate, call dealerships, banks C.U.s etc prior
2006-07-09 13:27:54 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Definitely FINANCE. If you lease, you'll get a lower payment per month but you'll probably end up going over your miles and have to pay for other wear and tear when you go to turn the car in. By the time it's all said and done, you'll wish you would have just bought it outright.
2006-07-03 00:28:22 · answer #4 · answered by Christi 1 · 0⤊ 0⤋
I agree strongly with homeschoolmom. The only time you should buy a new car is if you have a million dollars just laying around. Save the money and buy a reliable used car. Never ever Fl-ease a car.
2006-07-02 22:52:02 · answer #5 · answered by firemom04 1 · 0⤊ 0⤋
It is ALOT harder to lease so I say FINANCE FINANCE FINANCE!!!!!!!!!!!!!!!!!
2006-07-02 17:52:25 · answer #6 · answered by monkeyman_1441 1 · 0⤊ 0⤋