I leased a Honda 3 yrs ago and my lease is up but, I would like to lease again and do the financing with a company who can probably offer me a better rate? How do I go about that? Can you even do that?
2006-12-08 06:35:35 · 6 answers · asked by ME 3 in Cars & Transportation ➔ Buying & Selling
Like do I go to a company and tell them that I need to get pre approved? So , then when I purchase the vehicle I tell the dealer that I have someone who is fianancing? I ve always thought you can ONLY do this when your going to buy a vehicle?
2006-12-08 06:36:44 · update #1
Sorry, it's against the law in almost every state(including the one you live in)...this is totally different than refinancing your home for a little extra spending money...
Either buy the Civic or turn it in and lease another Civic(but it has to be a different model than the one you had, like you leased a Civic DX sedan, but now you have to lease a Civic Hybrid)...
2006-12-08 06:47:44 · answer #1 · answered by bigmonty91010 5 · 0⤊ 1⤋
Banks, etc do not lease cars and they won't give you a loan to do so. because when a car is leased you are not the sole owner of the car. the dealership still has ownership until your lease is finished. You are RENTING it actually. rent to own. therefore the banks cannot put another lien on the car in case you don't pay.!!!!!!!
You have two options. 1) you can go to ANY Honda dealer and trade your car in. you don't have to use the same dealer you bought it from. Sometimes you can negotiate for a lower rate. and since you already leased once they may give you a better rate this time.
2) there are lots of private small auto leasing companies that act as brokers for all makes. they can get you any car you want. and arrange financing.
Apart from those options you are quite restricted as far as leasing goes. Also consider other lease terms 48 months vs 36 etc. or 24 months the interest rates may be different.
2006-12-09 00:22:20 · answer #2 · answered by ? 6 · 0⤊ 0⤋
Yes, leasing arrangements have to be made through the dealership. It isn't like purchasing a vehicle where you can obtain financing on your own.
You cannot lease the same vehicle again...that is true, but if you really want to keep the same vehicle you can buyout your lease at the end of it and then finance that amount. You can finance the amount through a pre-approved credit union or any other financial institution of your choice. You do have to go to a dealer to buyout your lease...make sure that you contact your leinholder prior to going in to the dealership to find out what the buyout price is.
If you want to continue leasing, turn your Honda in and lease another. Was your original loan through American Honda Finance? If you had a good payment history they will often give you a better rate the second time around. Even if you didn't go through American Honda if you had a good payment history your credit rating should be better this time and your rate should be a little better. Contact them to see if they offer any specials for returning customers...often, finance companies will send out mailers with incentives to entice customers to lease with them again.
2006-12-08 18:31:48 · answer #3 · answered by skittle 3 · 1⤊ 0⤋
Some dealers use a couple of leasing companies to sell the car. Most use the factory bank or chase. Don't use one of those off the wall lease companies that have a payment much lower than anyone else, trust me, they'll get you somewhere. If you are currently in a lease and made payment on time, i wouldn't even worry about your credit. don't bother with pre approval BS.
Leases are dictated by the company providing them. For example: honda credit may have a 36 month deal that is 55% residual with a money factor of .00100. Chase may offer, on the same car, 50% and .00125 respectively, know this stuff will only confuse you and ruin your shopping experience. Best advice is to just go to the dealer of your choice and ask them what the lease programs work out to. You can shop monthly lease payment rather than price or rate. Your monthly payment and down payment are the only two concerns if you plan on leasing a car and giving it back at the end. Other than the lease end disposition fee. good luck.
2006-12-08 14:57:13 · answer #4 · answered by jay 7 · 1⤊ 0⤋
If you do not want to use the dealers banks to finance or lease the car you can do this. If you find a bank that will lease or finance a car for you that is not affiliated with the dealer, the dealer then sells the car to that bank and the bank then leases or finances the car for you. What needs to happen is that your rep at the bank and your salesperson at the dealership will need to workout the details. You will have to ask the bank rep how they work a deal like this and they can usually tell you the steps involved.
As for your Honda that you need to turn in, that is a totally seperate matter and has nothing to do with the new car deal. You have to follow the lease turn in procedure spelled out on the back of your lease contract or you can call your lease bank, not the dealer, and ask them their lease turn in procedure. Each bank is different in how a lease turn in works and there may be fees involved. It's always best to find out the lease turn in procedure first then to just get hit as you go.
2006-12-08 16:31:37 · answer #5 · answered by Opinions are just like... 2 · 1⤊ 0⤋
go to your bank or credit union, and ask, the car dealers always mark up a lease . Sometimes up to 2k, go to the dealership and negoiate as if you were buying it and bring the best deal to your bank and let them lease it for you
2006-12-08 16:20:18 · answer #6 · answered by bayareart1 6 · 0⤊ 1⤋