[MDXON]

Hi,

I am a leasing newbie. The dealership offered to lower interest rate if I put security deposit which works out to about 7% return on deposit - is this a commonly used option? Anything to watch out for?

Thanks.

 

[theXman]

Will you get the full deposit back at lease end? I personally would not put any money upfront except for 1st month. Thats because if the car is stolen or totaled, the upfront money is gone. Insurance pays the leaser/leasing company for the loss and not leasee/you.

 

[kareshi]

I remember seeing the same math trick and it is not completely true. I would only go for it if it does save a lot, and you don't mind leaving the money upfront.