Comments on: Which is better: Car Financing or Car Leasing

By: Kayleen

Kayleen — Sat, 24 Sep 2011 12:08:43 +0000

I could read a book about this without finding such real-world aprpohcaes!

By: Mike

Mike — Tue, 17 Aug 2010 23:31:39 +0000

I usually tell people to base it off the offer. Sometimes you can get the most amazing lease deals, but other times it makes no sense. If you drive a lot or like to make mods to your car, buy it, don’t lease it.

By: beil

beil — Mon, 22 Sep 2008 05:43:56 +0000

Just to add to Jonathan’s comments above, getting a new vehicle every few years is also ecologically irresponsible because of all the resources that go into making that new car. It takes materials, energy, etc to make that vehicle and the more people just get new ones on a whim, the more resources get used. Plus, the vehicle you’re getting rid of is likely going to get junked sooner (because the original owner isn’t taking careful care of it anymore) which means more garbage in the landfill, or even more resources used to recycle the vehicle. All in all, considering the entire lifecycle of a vehicle, it’s far cheaper, and better for the environment, to buy and take good care of it for its lifetime.

By: Robin Bal

Robin Bal — Tue, 15 May 2007 09:57:36 +0000

Hi Shane,

Leasing sure is great with cheap financing.

I used to be a big fan of just buy it too, but no more, leasing I feel is a better option. Also as you mentioned if you are getting a higher interest on your investments, keep it invested and pay the lease. Good point mate.

Take care and cheers.

By: Shane

Shane — Tue, 15 May 2007 08:03:31 +0000

Leasing is great with cheap financing.

If you get higher interest on your investments than you’re paying in financing then it’s better to keep the cash invested and make payments on a lease.

Leasing is also good for businesses that would rather funnel their capital into growth and expansion.

I used to be a big fan of “just buy it”. Not so much any more.

By: Jonathan-C. Phillips

Jonathan-C. Phillips — Tue, 15 May 2007 03:38:07 +0000

I’m thinking of something, i just watched the movie “An Inconveinient Truth” that talks about global warming and all, and i’m very ecoo-minded. I’m wondering if whatever the price we pay for a vehicle, be it leasing or buying. Does the price meet up with the fact that driving a “gas” will increase global warming. i think this is priceless. So my next car will definitely be a hybrid, or something like that (though i loved my Jeep, if they could come up with a hybrid model that would be awesome)

By: Robin Bal

Robin Bal — Mon, 14 May 2007 22:59:26 +0000

Hi Anna,

I have found lease to be a better deal, and I am allowed 25,000 km each year and over the years has become more popular than a Bank finance. I drive about 20,000km each year so I need a hassle free car and a new car kinda remains hassle free for four years.

Take care and cheers.

By: Anna

Anna — Mon, 14 May 2007 22:51:32 +0000

I’m on my second lease, which is perfect for me. 4 year term, take back and get a new one at the end of 4 years, at no additional cost because I don’t drive enough to incur the extra mileage (only 6,000 km so far and its a year and a half old) I’m allowed 10,000 km a year. Also, under warranty which means very little out of pocket expenses to keep it up.

I could purchase it outright at the end of the term, but the expense of a new 4 yr lease turned out to be the same as what I would have to borrow to buy it out plus all the maintenance for the next 4 years.

I think I’ll get a truck next!

By: Robin Bal

Robin Bal — Mon, 14 May 2007 18:58:44 +0000

Hey Jon,

Good to see you back mate. Didn’t know you had a Jeep, I drive a Jeep Wrangler and its on a lease. 3 years lease, servicing, car repair, insurance, registration and a back up car in case of a breakdown, all on them. At the end of 3 years I have to option to return the car, extend the lease or pay an x amount and keep the car. I got a good deal. Compared to a finance this was actually a better deal for me. GAS is cheap in this part of the world too, but I guess lease deals are different in other parts of the world.

Take care and Cheers mate.

By: Jonathan-C. Phillips

Jonathan-C. Phillips — Mon, 14 May 2007 06:46:05 +0000

I personally wouldn’t lease a car, i prefer buying it, reason is because you can sell it afterwards! Of course a car is not an investment, it’s worth half as soon as you hit the road, but i’m happy i did buy my Jeep TJ, because i did, i was able to quit my job, sell the Jeep, and have a little money buffer to survive while working on my stuff at home. If i’ve had a loan, i would’ve been stuck at that job till the end of the term, so i’m quite happy i decided to buy it in the first place. However you have to always look at your needs and wants, i obviously didn’t “need” a jeep living in Montreal, but i wanted it, and was able to get a nice amount when i sold it.

You’re right about the monthly payments thing, they were astronomical (+ gas) ! hehe glad i sold it!