Figure out how much your auto lease will be using this calculator:
Why do people lease cars? In general, people will lease automobiles to drive newer or better model styles while paying slightly less than outright purchasing costs. That said, most people need to focus on the fine print of a lease contract before signing on the dotted line. People are prone to making common mistakes when leasing a car.
1. Although dealers will often advertise low rates, they often require hefty down payments in the thousands that you won’t be seeing again after driving the car off the lot.
2. If for some reason there is an accident that totals the car and the dealer is unable to recover their investment amount, you may be responsible for the difference.
3. Underestimating your annual mileage can add up. If you go over the pre-determined amount of miles that you negotiate in the car leasing process, you will be stuck with the bill for all those overage miles which can add up at a scarily fast rate.
The main thing is to do your homework and understand exactly what the car lease is and what it isn’t. Talk to your dealer, then talk to your accountant.
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