Lease Payments - JUST the Basics

ddisch said:

2018 Touring AWD with Preferred Equipment Package
$1,000 Down
36 months
10k a year
$370 (included 1st payment and all fees) Negotiated $350, but my credit score just missed Tier 1
I was willing to lose a few options if I could go down to $330, but also willing to pay up to $400 for a GT. I'm happy with the deal.
Anyone return their lease before the 36 months?

Click to expand...

finch204 said:

The majority of people who need to listen to Dave Ramsey, are those people that are really broke, living paycheck to paycheck and are buying more car than they can afford. For those people, leasing should not even be an option. Even buying new cars are not an option. Their goal first and foremost is to get out of debt. Leasing keeps them in debt so that is not an option, buying a new car costs more than buying a used car with cash.

The benefit of paying cash for a car or paying off car, is not having monthly payments. What if you lose your job? Having no monthly payments is a big boon since you don't have to worry about it. As a last resort, if you really need extra money, you can even sell your paid off car for cash. If someone who was broke, leased a car, then lost their job, they are pretty much screwed.

That said, while Dave Ramsey's advice/rules can be a bit extreme, they are generally good advice to follow if you want to get out of debt, stay out of debt and achieve financial independence. I for one want to retire at 50. I want to spend my day riding my bikes, playing video games and spending time with family. I don't want to work forever. This is another reason why leasing cars is a no go for me. My Speed3 is already 5 years old and while I am thinking of replacing it with something else, if I really think about it, there's nothing wrong with it. While it might not be the newest or faster car out on the road, it is the car that will drive me fastest to retirement.

This is not to say leasing is bad. As I have said before, there are pros and cons for each option. If you can afford it, and I mean really "afford" it, then you should be allowed to lease. I don't think anyone can deny that being able to drive a new car every 3 years is fun.

Click to expand...