How to Avoid the Potholes of a New Car Lease
Pothole #1 - Full Sticker Prices
Most lease advertisements are based on the full sticker price of the car. You wouldn’t pay sticker price if you were buying a new car and you shouldn’t if you’re leasing.
The CarBargains service makes dealers in your area bid for your business. Each dealer gets one opportunity to put its best price forward or it knows it will lose you to a competitor. All bids are confirmed in writing by dealership management.
Pothole #2 - Manufacturer's Plans
Lease advertisements and car dealers are usually promoting the car manufacturer’s lease plans. These are frequently not the lowest cost lease plans that are available to you.
The CarBargains service maintains a database of lease plans from over 50 different leasing companies. If Chase Manhattan Bank, Bank of America, or Wells Fargo offer lower cost plans than the manufacturer’s plan, we will know and check to see if they are available to you.
Pothole #3 - Dealer Raised Rates
Most lease customers don’t know that the dealership can raise the interest rate, assignment fee, gap coverage charge, and other key terms of many lease plans above those specified by the lender. You could pay more at one dealer than another, even if the price of the car and the lease plan chosen were the same.
CarBargains details the key financial terms of each dealership’s bid. You can see what each dealer will charge for such important elements as money factor, assignment fee, disposition fee, gap coverage, and more.
Pothole #4 - Choosing the Wrong Term
Many lease plans are highly discounted at a certain lease term, e.g. 24 months, 30 months, 36 months. If you choose the wrong term, you could pay too much.
CarBargains looks for discounted terms and will let you know if there is a lower cost option available to you.
Pothole #5 - Complicated Calculations
Leasing involves a lot of numbers, and each number affects the other. There is no simple calculation that shows the best deal. It’s just too complicated.
CarBargains has developed a cost comparison index that will show you how each bidding dealership ranks. You can tell at a glance which dealer’s bid provides the lowest cost to you.
Pothole #6 - Plenty of Options
Car Buying and Leasing services are everywhere. Why should you trust them and what makes CarBargains special?
Most car buying and leasing services are paid by the dealer, marketing vehicles for dealers, or have some other type of financial relationship with one or more dealerships. Some may get you a great deal, most won’t, and in any event, how can you know? CarBargains is a service of the nonprofit Center for the Study of Services, a consumer information publisher with over 30 years of service. The customer, and only the customer, pays CarBargains for their work. CarBargains will solicit a bid from any dealer you specify, or exclude a dealer you choose to avoid, but will always guarantee a bidding pool of at least five dealerships. There are no exclusive dealer arrangements. Plus, CarBargains provides you with a report that shows all the work that was done on your behalf. Every bidding dealer’s quote is detailed for you to see. You’ll know what the numbers really mean and be confident that you got a great, honest, deal.
Pothole #7 - You paid too much.
The CarBargains service has produced savings of thousands of dollars for the typical customer. In one case involving a very high-end luxury car, the customer reported that CarBargains lowest quote was nearly $10,000 less than the deal offered to him when he visited the dealership on his own. The competitive bidding techniques of CarBargains truly make dealers fight for your business.