yu@uiucdcsb.CS.UIUC.EDU (12/08/85)
Does anyone in the netland have the experience of leasing a car?
I was thinking about buying a new car or a "new" used car for commuting
to work after I graduate (Should be within a couple months.) However, being
a poor student now, I really can not afford the kind of cars I like to have.
A friend suggested me leasing a car so that I would not need to worry about
tradein when I could afford a better car in the future. Without having
much idea about leasing a car, I have the following questions :
1. What are the pros and cons of leasing a car as compared with
buying one?
2. What are the hidden costs involved behind the ads? I noticed
that the prices could differ more than 100% even in the same area.
I can't believe that there is such a nice dealer gives a 50%
discount. So what are the tricks?
3. What is a reasonable price for a medium size car, say an Olds
Ciera or a Buick Century?
4. What are open end and closed end contracts?
Any answer or information will be greatly appreciated.
M.L. Yu
...!{pur_ee,ihnp4,convex}!uiucdcs!yucb@hlwpc.UUCP (Carl Blesch) (12/11/85)
> Does anyone in the netland have the experience of leasing a car? > > 1. What are the pros and cons of leasing a car as compared with > buying one? > > 2. What are the hidden costs involved behind the ads? I noticed > that the prices could differ more than 100% even in the same area. > 4. What are open end and closed end contracts? > > Any answer or information will be greatly appreciated. > > M.L. Yu No, I don't have any experience with leasing, but Business Week magazine had a good "Personal Business Supplement" article on leasing a week or two ago (try the Dec. 2 issue for starters). One point I remember is that you have to be more wary of the terms, because when you lease, the lessor is not bound by the same truth in lending disclosure requirements that a dealer or financer is when you buy a car on credit. Another point is to check the buy-out options carefully. Depending on the terms, you may be able to buy the car for less than it's blue-book value at the end of the lease. Carl Blesch