BMW Leasing 101 / FAQ (BMW emphasis)

[Haris]

Originally Posted by OneRib

Thank you! Thank you! Thank you!

Will download today. It's perfect timing because I go to sign paperwork on my car next week.

That's great!! Congrats in advance. Feel free to PM me if you have any questions or app doesn't behave well on your device.

[OneRib]

Originally Posted by Haris

That's great!! Congrats in advance. Feel free to PM me if you have any questions or app doesn't behave well on your device.

Added a recommendation for your app in my original post.

[Haris]

Originally Posted by OneRib

Added a recommendation for your app in my original post.

Thanks!

[MRCUR]

Originally Posted by Haris

Hi guys / OneRib

Leasematic is finally available for Android on Google Play store!

https://play.google.com/store/apps/d...com.leasematic

PS: Thanks everyone here for the recommendations and support!!

Congrats on the Android launch! Your app has been a tremendous help. If you need any iOS 9 testing, hit me up.

[frisky]

Originally Posted by Haris

Hi guys / OneRib

Leasematic is finally available for Android on Google Play store!

https://play.google.com/store/apps/d...com.leasematic

PS: Thanks everyone here for the recommendations and support!!

awesome stuff man. Rated it 5 stars in the app store. Very helpful!

f.

[mephiska]

Originally Posted by Haris

Hi guys / OneRib PS: Thanks everyone here for the recommendations and support!!

Dude thanks for this app. I love it, totally worth the $2. I've been toying around with the loan feature with various down payment options and adding/removing features from my order to see what effect it would have on my monthly payments.

Great tool!

[Mav007]

Originally Posted by Haris

Hi guys / OneRib

Leasematic is finally available for Android on Google Play store!

https://play.google.com/store/apps/d...com.leasematic

PS: Thanks everyone here for the recommendations and support!!

Many Congrats & Thank you.

[JAC23]

Could someone explain how the credit check works with leasing. I am 25 yrs old with a credit score of 793 and i was told i could not qualify for the lease without a co signer. Thought this was ridiculous because i can certainly afford the payments. Does having a cosigner mean i won't build any credit on this lease?

Thanks for any help

[MRCUR]

Originally Posted by JAC23

Could someone explain how the credit check works with leasing. I am 25 yrs old with a credit score of 793 and i was told i could not qualify for the lease without a co signer. Thought this was ridiculous because i can certainly afford the payments. Does having a cosigner mean i won't build any credit on this lease?

Thanks for any help

You absolutely qualify for BMW's best lease rates with a score like that. Whatever dealer told you that is full of crap. Find a new dealer IMO.

[OneRib]

Originally Posted by JAC23

Could someone explain how the credit check works with leasing. I am 25 yrs old with a credit score of 793 and i was told i could not qualify for the lease without a co signer. Thought this was ridiculous because i can certainly afford the payments. Does having a cosigner mean i won't build any credit on this lease?

Thanks for any help

Beyond nonsense. If the CA told you that silliness, ask to speak to the Sales manager or write the GM a letter explaining what happened. I bet they come running after you to make the sale.

[M_Dave]

Originally Posted by JAC23

Could someone explain how the credit check works with leasing. I am 25 yrs old with a credit score of 793 and i was told i could not qualify for the lease without a co signer. Thought this was ridiculous because i can certainly afford the payments. Does having a cosigner mean i won't build any credit on this lease?

Thanks for any help

What is the extent of your credit history??? You could have 2 credit cards with low limits and always paid on time to get such a high score. Auto loans, major credit cards, mortgage or even student loan all help a lot. If it was BMWFS then they have a reason for sure

[V3rbatim]

Originally Posted by JAC23

Could someone explain how the credit check works with leasing. I am 25 yrs old with a credit score of 793 and i was told i could not qualify for the lease without a co signer. Thought this was ridiculous because i can certainly afford the payments. Does having a cosigner mean i won't build any credit on this lease?

Thanks for any help

Bmw looks at more than just your credit score. They check if you had a previous car loan before and if you are able to handle the payments. You are talking about a $70k vehicle so if you never had a car loan before then they will ask for a cosigner. Combined creditcard balance also plays into credit check. It also depends on your monthly expenses and how much you make a year. Good luck!

[louchitown]

Originally Posted by OneRib

This is 100% accurate. Leasing and buying have different nuances. When you buy, it can make a lot of sense to put significant capital in a car. When you lease it makes no sense unless its an MSD.
A lease is all about paying for the amount of car you use. You have no capital in it.

MRCUR is right about dealers mostly using cap cost reduction because people are used to putting money down on a car. Also some have no interest in taking the time to explain MSDs because it exposes the money factor they may be trying to jack up. No one understands 0.0013 but everyone knows 3.12%.

“When you buy, it can make a lot of sense to put significant capital in a car.” －－ Can you explain it a little bit? Thanks.

[JAC23]

Originally Posted by V3rbatim

Bmw looks at more than just your credit score. They check if you had a previous car loan before and if you are able to handle the payments. You are talking about a $70k vehicle so if you never had a car loan before then they will ask for a cosigner. Combined creditcard balance also plays into credit check. It also depends on your monthly expenses and how much you make a year. Good luck!

This is what i was guessing since i've never had a car loan. Will adding a cosigner still help me build credit?

[OneRib]

Originally Posted by JAC23

This is what i was guessing since i've never had a car loan. Will adding a cosigner still help me build credit?

The best way to find out for sure is to apply for financing directly through BMWFS. There is a link on the BMW website. If you are denied, then the dealer is correct.

I would still think your credit will be helped, even with a cosigner.

[smajin]

Originally Posted by JAC23

This is what i was guessing since i've never had a car loan. Will adding a cosigner still help me build credit?

You'll still build credit with a co-signer.

They may have also check your "Auto Enhanced FICO score" which is basically a credit score based on your auto payment history, since you don't have any auto loan history it would not have looked as good as your regular FICO score.

[salukutinaveen]

Thanks a lot for this Posting !! Amazing information !

one question regarding MSD's: Lets say the dealer offered me the base money factor, will putting in MSD's decrease the base factor further down ?

[s4play]

Awesome post! I learned so much from the post

Kudos

[s4play]

here's one topic I did not see covered so I'll post the questions here:

Assuming all things equal, same car, same price, etc, if I know I'm going to OWN the car eventually (buy it out at end of lease) is it better to just finance the car or lease it first and do the lease buyout at the end of lease?

I've always owned my cars free / clear however I also take impeccable care of my cars. I do like to modify the cars too (reversible in most cases) so all things identical would I save more money just financing it for say 36 months at PenFed's 2.49% rate or lease it first through my business and buy out the lease in the end?

[mephiska]

Originally Posted by s4play

Assuming all things equal, same car, same price, etc, if I know I'm going to OWN the car eventually (buy it out at end of lease) is it better to just finance the car or lease it first and do the lease buyout at the end of lease?

Give this lease vs buy calculator a try.

[Demxsr]

Originally Posted by salukutinaveen

Thanks a lot for this Posting !! Amazing information !

one question regarding MSD's: Lets say the dealer offered me the base money factor, will putting in MSD's decrease the base factor further down ?

Yes, it will lower base MF.

[OneRib]

Originally Posted by s4play

here's one topic I did not see covered so I'll post the questions here:

Assuming all things equal, same car, same price, etc, if I know I'm going to OWN the car eventually (buy it out at end of lease) is it better to just finance the car or lease it first and do the lease buyout at the end of lease?

I've always owned my cars free / clear however I also take impeccable care of my cars. I do like to modify the cars too (reversible in most cases) so all things identical would I save more money just financing it for say 36 months at PenFed's 2.49% rate or lease it first through my business and buy out the lease in the end?

You would be better off buying. Leasing is best when you don't expect to keep the car at the end. This is especially true with the lease numbers for the F80 right now. 65% residual is a tough nut to swallow after three years. Throw in your desire to mod and it's a no brainer to buy.