Financing
- Financing includes a person taking a loan out with the car lot or their bank in order to pay their car over time.
- Customers own the vehicle at the end of the term.
- The cash value of the vehicle is for the customer to use as they like.
- Customers are free to drive as many miles as they want.
- There is no worry about wear and tear, but it could lower the vehicles trade-in or resale value.
- The vehicle is for the customer to modify as they would like.
- At the end of the loan term, no further payments are needed.
- Customers have built equity to help pay for their next vehicle.
Leasing
- Offers customers the ability to drive the car of their choice through payments directly paid to the manufacturer.
- Customers need to pay a percentage down on the vehicle.
- Customers must return the vehicle at the end of the lease, unless they decide to buy it.
- Customers are only paying for the vehicles depreciation during the lease term, plus interest charges.
- The future value of the vehicle doesn’t affect customers financially.
- Customers must pay any overages in mileage on the vehicle.
- Leases last between 2 and 4 years.
- At the end of the lease, customers have the option of financing the purchase of the car, or leasing/buying another vehicle.
