You found your dream car! Now here's another way to pay for it.
If you like to drive a new car every few years and put on less than 15,000 miles per year, then leasing may be a great car-buying option for you. Many car shoppers choose leasing to be able to afford the latest and greatest models without a big cash down payment while keeping the monthly payments on the lower side.
TEG Federal Credit Union is happy to offer our members friendly, affordable lease programs through many of our dealerships in our preferred dealer network. Some of our dealers who have leasing options available, even offer special incentives to make leasing more affordable. These specially selected dealers will assist you from start to finish.
- No or low down payment
- Lower monthly payments
- Drive a better car for less money
- Get a new car every few years
- Lower repair costs (mainly maintenance like oil changes)
- Lower sales tax (paid only on amount of car value used)
- Manufacturer’s warranty usually covers lease term
Is Car Leasing For You?
Here are a few points to consider when deciding if leasing is a good car buying option for you:
How much do you drive?
- If you put extra miles on your car because of a long daily commute to work, a lease may not be right for you. Lease agreements typically allow for a range from 12,000-15,000 miles per year. If you go over it, you’ll pay an excess mileage fee when the lease period ends.
What’s more important, monthly outlay or the total cost over the life of the car?
- Leasing a car can be much cheaper than buying it outright, because you’re only paying a percentage of the total price. With leasing you only “own” the car temporarily so you only pay the portion of the total cost for the duration of the lease, not the entire thing. Although leasing can be a more affordable option, it does mean that you’ll always have a monthly car payment. Once you buy a car and pay it off, you eliminate that monthly expense. You’ll pay more in the long run for a leased car than you will if you buy a car and keep it for years.
How long would you like to have the car?
- Unlike a purchase, most leases allow you to drive a new car every two to three years for a lower monthly payment. But keep in mind, if you decide to turn in your car before the agreement ends, you may have to pay an early termination fee.
Do you mind the hassle of selling a car?
- With a lease, you don’t have to bother with selling or trading-in your car. You won’t have to worry about negotiating a good price or finding a buyer for it when you’re done, as the dealership will take it back from you. You may even have the option to buy the car at the end of the lease if you decide that would like to keep it.
Find out if Auto Leasing is the right choice for you by speaking with one of our participating preferred dealerships today. First they will help you find an Auto Lease that is affordable and fits your needs. Next they will submit your lease application electronically to TEG and we will complete your documents. Once your lease application is quickly approved, you can start enjoying your new car!