Hint: In the future . . . Choose a car, which you plan to keep for awhile and pay CASH.

 

I beg the differ, if you sold your lease or purchase, do you still have to pay the interest for next months?...call up your leasing company and see what is your "pay-off" amount and is the amount inculds interest or just the principal?

 

I beg the differ, if you sold your lease or purchase, do you still have to pay the interest for next months? no because its amortizationed ...call up your leasing company and see what is your "pay-off" amount and is the amount inculds interest or just the principal?

His pay off amount wont be too much more than that!

 

I paid in full... not a cent given to those bastard bankers! But ... good luck ... =\

 

wow, that is alot.

 

Although this may be an expensive lesson it's probably better than it happens early. Assuming you're able to make the payments on time for the duration of the lease. The worst thing you can do is have them repo the vehicle. Try to avoid messing up your (or your grandma's) credit rating.

Look on the bright side, it's an excellent car and you can be proud you're paying for it. Not many 18 year olds can afford a vehicle like that.

I consider myself lucky at age 25 (first year out of school) to be driving an 03 Sedan. It's still virtually brand new and in the end, assuming I pay the car off well in advance, the most I'll end up paying is around $1000 interest (Canadian). I could have bought new but I saved so much by buying used.

Best advice I can offer is to be mature about it. You're driving a grown up's vehicle. Don't street race, drive drunk/high (no offense intended), talk on the cel phone, cut people off. Make every effort to keep the vehicle in mint condition. That way if you don't buy it out, it won't cost you as much when you return it.

Have fun, but don't have too much fun.

 

That's horrible advice from a wealth management perspective.

I am just repeating what I was told. I inquired about this specifically and there is no real "buy-out", you can just pay your payments up front if you so desire. It is different from buying because the interest is coined as a rental agreement. But if you find out differently I'd like to hear about it.

 

I have sold two leased car before the term was up, some say "buy-out" some say "sell the lease" but its same, and it work just like purchase, the rent charge is same as interest on the purchase... like I said, just call up your leasing company and ask what is the "payoff" amount and you can see if it inculds the entire "rent" change or not.

 

Interesting! The Infiniti dealer is full of it then. It certainly wouldn't be the first time.

In that case, go get a loan for the car and buy it out NOW!

 

I've been extremely busy lately but I'm going to call my lease company today and see if they'll let me BUY the car instead and see what they tell me and how much...

 

Again, try to get pre-approved on your own, that way you can better judge what kind of interest rate you could get, thats if you are approved, if you cant get it approved? try ask your Grandmom to help you again, would be easlier to do over the net, like E-loan/Lendingtree...good luck either way.

 

Okay so if I told the lease company I wanted to buy out now instead of lease, my grandma would have to get pre-approved and see what kind of interest rate we could get, BUT is that even an option??? Also what would happen to my 3gs?

 

Well, when you have multi income streams and dislike owning $$$ to others . . . You pay cash . . . Simple as that. However, it was a bunch of HARD work getting there. Leveraging your $$$ is a wonderful way to build wealth. Property, property, property . . . . What are talking about here? . . . A $35k car?

 

If your "dislike" for owing to others outweights the added cashflow streams from investing the cash for the car at higher rates than Infiniti is offering you, then pay cash. But it's arbitrage, take advantage of it!

 

Does the the 1.95% only apply to those than finanace their cars? Because on my deal, I put down $20k and finance the rest, due to a good credit score I got 1.95% interest...Just wondering because he said his gradma has a perfect score...