Leasing Frequently Asked Questions

Here Are the Answers to Your Leasing Questions

The prospect of getting a new Chrysler, Dodge, Ram, or Jeep is quite exciting. If you are in the process of narrowing down your choices, your attention might be shifting to how you will pay for the new vehicle. Leasing is becoming an increasingly popular option amongst our Tonawanda drivers, and for many good reasons. At the same time, you might have some questions related to whether or not a lease in Buffalo will work for you. Here are the answers to some of the more frequently asked questions related to leasing a new vehicle.

What's the difference between a new car lease and a loan?

A loan is financed through the bank. As soon as you finish making the payments, the car is yours to keep. The dealership will retain ownership of the car during a lease. At the end of the lease, you will need to turn the car or buy it.

How do new car leases work?

You work out a car lease with the dealership. You will typically pay a deposit and then make monthly payments for the duration of the lease. In the end, you will turn the car back in unless you choose to purchase it.

 

How are leases calculated?

Leases are calculated by monthly payments. There will be a residual value of the car that you can use to pay off the vehicle at the end of the lease. There is no depreciation with a lease unless you decide to buy it.

 

What are my options when the lease ends?

If you love the car, you can pay the residual value of the car at the end of the lease and it is yours to keep. Otherwise, you will turn it back into the dealership near North Tonawanda. At that point, your obligation will end.

What is lease equity?

This refers to a situation where your leased car is actually worth more at the end of the lease than what was established when you entered into the agreement. This typically happens if you drive the car a lot less than was anticipated.

What are lease termination charges?

A termination charge is assessed if you want to get out of your lease before the term expires. This will be spelled out in your contract. You can also ask Northtown Chrysler Jeep Dodge Fiat for more specific information.

What are lease mileage charges?

A lease does not typically come with unlimited mileage attached. You will be allotted so many miles that you can drive in and around Niagra Falls for the duration of the lease. You will be charged a per mileage rate for any excess miles that you drive before you turn the car back in.

Do I need to turn my lease in at the store I leased it through?

No. You can turn it back into any authorized Chrysler, Dodge, Ram, or Jeep dealership.

How is mileage calculated on a lease?

The contract will stipulate a total number of miles you can drive for the duration of the lease. If you turn the car in early, that number will be prorated. A per-mile charge is assessed for any miles you go over the limit.

Do I need to replace tires before turning my lease in?

Yes. Typically, you will need to replace the tires at least once during the term of the lease. The general rule is that you cannot return a leased car with tires that have less than an eighth of an inch of tread on them.

Where does my leased car go after I return it?

That depends on the dealership, but it will be typically be resold either on the same lot or sent to another one.

What is my lease buy out?

A lease buy out is possible. You will look for the residual value of the lease in your contract. Pay that amount and you will be able to keep the car.

Can I extend my lease?

In many cases, a lease can be extended up to six months. You will need to contact Northtown Chrysler Jeep Dodge Fiat prior to the expiration of the lease to inquire further.

Learn More About Leasing at Northtown Chrysler Jeep Dodge Fiat

Now that you have the answers to your leasing questions, it is time to look at the latest specials that may be offered. Stop by Northtown Chrysler Jeep Dodge Fiat near Lockport, NY to look at the new inventory and go over the lease options the might work for you.

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