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Auto Leasing
By Donna Allison on March 2, 2010

Is it too difficult for you to afford the purchase of a car? Auto leasing may be the answer for you. When leasing a car, you pay a certain amount of money to use the car for a given period of time.

Leasing seems the same as renting, but the two are not the same. While you can rent a car for as little as a day, leasing an automobile usually starts at 24 months. You cannot easily end the lease in a shorter amount of time, or trade your leased vehicle for another, as you can when renting.
A good online resource is www.leaseguide.com. A car's price is the most important factor in receiving low monthly payments, whether you buy or lease the car. But negotiating prices with dealers can be unpleasant and stressful.

There are already online pricing services which you can access through LeaseGuide.com. These services have already worked out reasonable prices with dealers in your geographic area. You can indicate the vehicle you are interested in, and you’ll get a fast, free car quote, without strings attached.

You can negotiate a purchase price with the dealer when leasing. This important fact is not well known, because dealers have told customers that because it's a lease, the cost is always full sticker price. This is untrue.

First you and the dealer agree on a price and you sign the lease contract. Then the dealer actually sells the car to the leasing company at that price. The leasing company then leases the car to you at the same price.

The car dealer acts as an agent for the leasing company. You don't deal directly with the leasing company until you start to make monthly payments. The dealer works out the terms of the leasing agreement with you on behalf of the leasing company. For this service, the leasing company usually pays the dealer a commission, which adds to his profit on the deal. Once the contract is signed, your relationship is with the leasing company, not the dealer, unless there’s a problem with the vehicle itself.

So if you need temporary transportation at a reasonable cost, auto leasing
may be the solution for you!
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