Money Factor?

[Ken Corsun]

Originally Posted by djomlas

i just dont like the fact that i'd be driving a borrowed car :

This is exactly the way I feel. I want the car to be mine. I also don't want to be concerned about modifications, minor damage or excessive mileage.

Ken

[RandallNeighbour]

Great opinions on leasing, but "seventythree" wanted to know a good money factor rate and I want to know what a money factor rate is in the first place! Any takers?

[JFERR]

The money factor is a number used to calculate the interest rate. This is a number supplied by the finance company. The interest rate is what's important.

Leasing is good for cash flow.

Example: I leased a $34K car for three years, but will only pay $15K and I don't have to worry about selling the car later. This is a secondary car for bad weather.

J. Paul Getty once said "I don't buy things that depreciate."

[seventythree]

This is for use in a business with significant revenue generation; so, no advice needed on the buy vs. lease topic.

FICO score is 800+, BTW.

Thanks again.

[Ronzi]

Good explanation of money factor, and leasing in general, is contained here:

http://www.leaseguide.com/lease07.htm

Leasing seems to me to be a good way to get screwed more than usual by a car dealer.

[racer_d]

Originally Posted by seventythree

This is for use in a business with significant revenue generation; so, no advice needed on the buy vs. lease topic.

FICO score is 800+, BTW.

Thanks again.

If this is true, who cares what the money factor is

[RandallNeighbour]

Nick, please tell me that the monthly rate you negotiated for the 36 month lease wasn't what you were roped into paying for *63 months*... it would have been well more than double the monthly payments if I am doing my math right.