Recession car deals

[Buster]

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Examples?

That's just advice for other people. Not me.

#taggedsafefromCRA

[roopi]

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Uh, no... both are reported to your credit in the same way... if the financing companies report that is

Both are reported but the amount of debt would be different. If you finance then the total finance amount is on your credit report. If you lease it would be the total of the lease payments over the term.

[ercchry]

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Both are reported but the amount of debt would be different. If you finance then the total finance amount is on your credit report. If you lease it would be the total of the lease payments over the term.

So? TDS/GDS is based of monthly obligations, not the balances

[killramos]

“Ratios” “affordability”

You guys sound like my bank

[roopi]

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So? TDS/GDS is based of monthly obligations, not the balances

I dont know what those mean. I'm saying from personal experience with Toyota financial. I have leased and financed with them and seen what they reported on my credit report. When I financed with zero down payment it showed I owed 50k. When I leased a 50k vehicle it showed I owed 27k.

[ercchry]

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I dont know what those mean. I'm saying from personal experience with Toyota financial. I have leased and financed with them and seen what they reported on my credit report. When I financed with zero down payment it showed I owed 50k. When I leased a 50k vehicle it showed I owed 27k.

Yeah that’s not what the conversation was about

[Prelude_dude]

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Where do you see the lease rate at 0.9%? I don't see it on Lexus of Calgary or Royal Oak website. I am interested at this offer as well.

It's specifically on the NX model. For up to 40 month lease. I think it's pretty slim pickings at this point for the NX tho.

[killramos]

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It's specifically on the NX model. For up to 40 month lease. I think it's pretty slim pickings at this point for the NX tho.

If it’s a Lexus Corporate rate just order one.

[Xtrema]

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Where do you see the lease rate at 0.9%? I don't see it on Lexus of Calgary or Royal Oak website. I am interested at this offer as well.

Official rate for 2019 NX300 left overs.

$3250 lease rebate +

0.9 up to 40 mths

1.9 for 48/52 mths

2.9 for 60/64 mths

1.5% discount on top for loyalty. Residual is on the low side as expect being end of model year around ~40% for 48 months.

[94boosted]

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Examples?

x2

[revelations]

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Yeah you do have to bare careful about using a exotic car as a work vehicle. I was basically told if I wanted something baller then to buy it personally and expense mileage to the company whereas if it was something more typical (run of the mill SUV but can still be higher trim) then it's more justifiable to be a work vehicle.

I've heard this from my corporate accountant as well.

- - - Updated - - -

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Exactly. Better to go big on things that are harder to spot by the CRA than small things that are easy.

As is typically the case, the big, legal, tax loopholes can and have been, closed at any time.

[rage2]

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Insurance does work a bit different in a lease. They don't pay you, they pay the leasing company. So if you put $20G down on a lease, how much you really get back is at the mercy of leasing company.

Leasing without tax write off is about not tying up your money in a depreciating asset.

You put $20G in cash or finance, $10K is bascially gone the second you drive it off the lot.

You put $20G in lease, you may have lower payments, but in the event of total loss (theft/accident), you will have a tough time getting that $20G or portion of it back.

That is not how it works at all. Every point in the duration of the lease, there's a specific buyout value. If your car gets written off, you are liable for that buyout value. I'd love to see a contract where extra money just disappears haha.

If insurance pays more than the buyout value, you get the difference back. They don't just pocket your money above and beyond the buyout value lol. If you have the limited waiver of depreciation aka new car replacement insurance, you get the new car value - payout back in your pocket.

If insurance pays less than the buyout value, you're liable for the difference. For auto leases through manufacturers, some even require you to get gap insurance, so that insurance pays out for that difference. Example 1 year into lease your $50k car gets written off, it's worth $40k from front heavy depreciation, and your buyout price at the time is $45k. You now owe $5k difference. Gap insurance covers that or you pay it through. If you paid a downpayment, this $5k that you lost through depreciation you wouldn't get back. I'm assuming this is the portion you're talking about, and is literally covered by gap insurance which everyone with a lease should get anyways.

The real reason why you shouldn't put money down on the lease is because it's just not financially favourable. Many leases are structured so that the downpayment is a security deposit, or pre-payment and not a downpayment, so it does fuck all to reduce the interest rate. You're lending the lease company money to lend you money at their interest rate, basically. If it was that easy, everyone would just pay the depreciation portion only up front and enjoy a 0% interest rate. Leases are written so that never happens.

[Aleks]

Toyota and Honda include Gap protection in their leases. You can then add replacement insurance yourself on top up to max of 5 years.

[killramos]

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That is not how it works at all. Every point in the duration of the lease, there's a specific buyout value. If your car gets written off, you are liable for that buyout value. I'd love to see a contract where extra money just disappears haha.

If insurance pays more than the buyout value, you get the difference back. They don't just pocket your money above and beyond the buyout value lol. If you have the limited waiver of depreciation aka new car replacement insurance, you get the new car value - payout back in your pocket.

If insurance pays less than the buyout value, you're liable for the difference. For auto leases through manufacturers, some even require you to get gap insurance, so that insurance pays out for that difference. Example 1 year into lease your $50k car gets written off, it's worth $40k from front heavy depreciation, and your buyout price at the time is $45k. You now owe $5k difference. Gap insurance covers that or you pay it through. If you paid a downpayment, this $5k that you lost through depreciation you wouldn't get back. I'm assuming this is the portion you're talking about, and is literally covered by gap insurance which everyone with a lease should get anyways.

The real reason why you shouldn't put money down on the lease is because it's just not financially favourable. Many leases are structured so that the downpayment is a security deposit, or pre-payment and not a downpayment, so it does fuck all to reduce the interest rate. You're lending the lease company money to lend you money at their interest rate, basically. If it was that easy, everyone would just pay the depreciation portion only up front and enjoy a 0% interest rate. Leases are written so that never happens.

The facts right here.

[you&me]

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...

The real reason why you shouldn't put money down on the lease is because it's just not financially favourable. Many leases are structured so that the downpayment is a security deposit, or pre-payment and not a downpayment, so it does fuck all to reduce the interest rate. You're lending the lease company money to lend you money at their interest rate, basically. If it was that easy, everyone would just pay the depreciation portion only up front and enjoy a 0% interest rate. Leases are written so that never happens.

Technically the lessor is carrying the value of the buyout through the term, so there would still need to be an interest charge based on that amount in your example (unless it's a 0% lease).

I've seen leases where the interest rate was reduced by the same % of downpayment (i.e. put 20% down and your 3% lease rate become 2.40%)...

[Disoblige]

What a STEAL
https://www.eastsidedodge.com/vehicl...y/ab/45643145/

[4WARNED]

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What a STEAL
https://www.eastsidedodge.com/vehicl...y/ab/45643145/

wonder how many quarter mile passes are on that?

[94boosted]

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What a STEAL
https://www.eastsidedodge.com/vehicl...y/ab/45643145/

"aside from the wear and tear of a previously enjoyed vehicle, it is a very nice Challenger!!"



What kind of wear and tear can there be on a car with 150km's

[killramos]

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What kind of wear and tear can there be on a car with 150km's

[4WARNED]

https://kulumotorcar.com/cars/mclare...-mclaren-senna

Recession deal