Www credit report Phoenix

So, as before, you have to ask to get the actual value that will be used for your intended car.

Again, if the dealer refuses to give you this information, they shouldn't be trusted with www credit report Phoenix any other part of the deal. Another dealer gave me a 7.2 money factor for the same model car. I thought money factors were expressed as very small numbers such as .00275 or .003. Dealers, in an ongoing effort to keep consumers confused, often quote the money factor in different ways: .003 money factor is often stated as 3% (I know, it doesn't make sense), which is really .003 x 2400 = 7.2% interest.

Then, they sometimes www credit report Phoenix quote an interest rate like 7.2%, and call it money factor. Sometimes this is intentional confusion and sometimes it's just plain ignorance.

Remember, dealer salespeople are not financial wizards and often don't understand leasing. What is the importance of the 2400 figure used in converting money factor to interest rate, and is it always 2400 regardless of the length of my lease?

To convert money factor to annual interest rate, multiply money factor by 2400. three credit reports To convert www credit report Phoenix annual interest rate to money factor, divide interest rate by 2400. Yes, www credit report Phoenix it's always 2400, regardless of www credit report Phoenix the length of your lease.

The 2400 is just a method of consolidating three other figures to simplify the lease payment formula. It is made up of the number 12 (divisor www credit report Phoenix to convert annual interest to monthly interest), 2 (divisor to calculate the average amount financed), and 100 (divisor to convert a percentage to a decimal) 12 x 2 x 100 = www credit report Phoenix 2400 (for more details, click here). In the lease payment formula, why does it look like I'm paying interest on Cap Cost PLUS Residual? credit report online free

The part of the formula that determines the finance portion of your monthly payment is (Cap Cost + Residual) x Money Factor. It looks like www credit report Phoenix we're multiplying the sum of www credit report Phoenix Cap Cost and Residual by interest rate, but Money Factor is not interest rate, although it can be converted to interest rate (see previous question above). The reason Cap Cost and Residual are added is to facilitate the calculation of average amount financed: (Cap Cost + Residual) / 2 (the divisor 2 is part of Money Factor). It's used throughout the leasing industry and is perfectly legit.

How is the lease acquisition fee and security deposit determined? These are fees established by the leasing company www credit report Phoenix or bank, not the dealer.

Money factor, disposition fees, and mileage fees are also set by the leasing company. You normally can't negotiate these fees with the dealer but you can shop around at other dealers, at your bank, your credit union for better terms. By the way, you typically won't see the acquisition fee (bank fee) specified anywhere in your contract but it's there hidden in your cap cost. check credit history Why don't I get my down payment back at the end of the lease? You do not get your down payment back because it is an up-front prepayment of part of your capitalized cost — to help reduce your monthly payments. Some people confuse down payment with security deposit, which is refundable to you at the end of your lease.

Some leases require a security deposit, many do not. Does the lease company actually inspect my car each year for mileage? All this means is that you have 36,000 miles (3 times 12,000) as a total limit for the entire lease. It doesn't matter when you drive those miles., as long as you don't exceed the 36,000 mile total.