Being on a tight budget can affect how often you are able to purchase the things you really want. This also has an effect on the type of car that you drive, or would like to drive. In this article we are going to discuss the affordable leasing solutions for people that are on a tight budget.
Why Choose Leasing?
Leasing serves as a quicker option to reach the goals you have in mind such as driving a luxury car. It can save you money as you aren’t responsible for extra costs such as maintenance as these packages are included in the lease contract. You are also the first driver of new model cars and do not have to worry about having to find a buyer when your lease contract ends as you simply have to return the car and you get to choose another one to drive for another three years.
You also have the option of leasing a car for a shorter period if you want or you can choose to purchase the car you have leased if you feel that you want to own it instead of exchanging it for something else. Whatever you decide, in most cases you’re still responsible for your car insurance and may want to gather some tips to save on car insurance to be better informed.
Affordable Leasing Options
Leasing an apartment or car can help cut out making a purchase that can end up being a big expense if you are not financially ready for it. You can save on your car lease by using comparison websites to find options that are within your budget yet still gives you the opportunity to drive the car of your dreams.
Zero Down Car Lease
A zero down car lease is the option of leasing a car with no upfront payments or deposits. All leases work in the same way, you sign the papers and a down payment is required or not, you then have to pay sales on tax on the down payment and then you make your first months payment
There are four types of zero down car leases that you can choose from.
- You can add the first month’s payment into the lease which makes the rest of the instalments a little higher however you still pay the initial fees when signing the lease.
- Depending on the company you decide from, some of them make the first payment on your behalf while you only pay the official fees with no down payment before signing the lease. These types of zero down car leases are done by companies such as Honda.
- Some zero down car leases require no down payment but still need a first month payment and the official payment fees.
- Choosing to add the official fees into the lease payments so that you do not have to pay anything upfront to secure the lease.
It is important to note that these zero down car lease options are normally offered to people who qualify for these deals which is usually referring to people who have a good credit score.
No Deposit Leasing Deals
Since car leasing has become a common practice among drivers, the initial payment is an upfront fee that is usually a percentage which brings down the monthly instalments. This is an easier option if you do not have any money to pay upfront.
Promotional Lease Deals
To find a low payment means to consider taking a promotional lease deal. This deal includes a combination of three different prices to make up the lease payment.
This is the boosted residual value, reduced money factor and a discounted price. Although a promotional lease deal is a limited offer and they require a down payment of the first months instalment when you sign the contract, there is an option of not paying the down payment and adding it into the monthly payments which can be a little high but you are still getting a huge discount on a high residual value car.
Special offers on Company Websites
These special offers include people paying no deposits, no tax, no security fees, and no first month payment when signing the lease contract agreement.
Conclusion
To be able to qualify for no down payments on your lease you need to have a good credit score rating.
These listed above are the options listed for customers who are looking for affordable car lease options without having to settle for a second-hand vehicle.
Do thorough research on the type of lease that you want and the place that you are planning to lease from. Visit comparison websites and check out www.moneymagpie.com/ to find more information on how to manage your money and find affordable ways to save on big expenses.
Disclaimer: MoneyMagpie is not a licensed financial advisor and therefore information found here including opinions, commentary, suggestions or strategies are for informational, entertainment or educational purposes only. This should not be considered as financial advice. Anyone thinking of investing should conduct their own due diligence.
