Leasing a Car: What Is It, and What Does It Mean?

Toy Car with Calculator and Cash Finance

As you shop around for your next vehicle, you may be debating the merits of leasing vs. buying a new car. However, at Bowman Chevy, we strive to make the car buying process as quick and easy as possible. If you’re considering leasing a vehicle around Waterford, dive into our leasing guide to learn more about the process and whether it is a good option for you. Then get in touch with our financing department to set up a personalized payment plan that meets your needs and budget.

What is a Lease?

Leasing is an affordable short-term version of financing. Leasing is often compared to a long-term car rental, but it’s different from renting. When leasing a vehicle, the lessee actually finances the vehicle for the value of the car over predetermined amount time, as opposed to the total value itself.

What are the Benefits of Leasing?

There are many benefits to leasing a vehicle, but perhaps the biggest draw is the prospect of driving a new car every three-or-more years. Another benefit is the cost of monthly payments. Lease payments are generally lower than financing payments, since lease payments cover the cost of a lessee’s designated time with the vehicle, rather than paying for the overall cost in the case of financing. Additionally, maintenance costs on a lease are often under warranty, so there are no added service charges should you need a tune-up.

Should I Lease my Vehicle?

This is often the toughest question to ask yourself when car shopping, but it really depends on your needs and preferences. Should you need assistance with calculating possible monthly payments, or have any other questions about leasing, you can always contact our financing department and speak to one of our experts.

Lease Your Vehicle at Bowman Chevy

If you’ve decided to lease, or are in search of your next new vehicle, choose Bowman Chevy in Clarkston! Enjoy an amazing new Chevy vehicle at an affordable price. We look forward to helping you find the perfect car for the perfect price.

How to Lease With Bad Credit

Key from car and the calculator on money.If you’re struggling with your credit situation, leasing instead of buying a car may be an appealing solution. But are you wondering how to lease with bad credit? It’s not going to be easy, but it’s often worth the effort because of leasing’s short terms and low monthly payments. Here’s how to begin:

Your Leasing Game Plan

Forget the idea of a luxury car and start looking at more affordable options, no matter what you think you can handle. Less expensive cars will have lower monthly payments and will be easier to finance. If you can be flexible with your timing, look for your new car at the end of the year when dealers are trying to move out their inventory. Go into the dealership prepared with a copy of your credit report. That way you avoid running multiple credit checks, which can ding your credit. Also, take proof of income that shows you can afford the new lease – several months of pay stubs that prove that you’ll be able to make payments.

Get Creative

If you’re having trouble getting approved for a lease, consider taking over an existing unfinished lease. You’ll still have to meet the original financing company’s credit requirements, but it will often be easier to qualify in this type of situation. You can also look at putting down a larger down payment or pre-paying several months of the lease in order to have an easier time qualifying for the loan. Or, if a family member with good credit is willing to co-sign your loan, you’ll easily get approved for financing. Just remember, that person is on the hook for the loan if you can’t make your payments.

Your Leasing Expert

If you have bad credit and want to lease a new or pre-owned vehicle, Bowman Chevy is your ultimate destination. We’re truly experts in coming up with the best financing solutions for each individual situation. Spend some time looking at our inventory and see what might work for you, and then contact us for a test drive. Our leasing team will spend all the time we need reviewing your credit and getting you into the right vehicle. Don’t wait to make this important decision! Contact us today!

Buying a Car Should Be Fun!

Approved car loan application formRyan Hotchkiss, Business Manager, fears that many people don’t look to finance a vehicle because they are afraid of embarrassment or rejection. “Buying a car should be fun,” he says, and “anyone can qualify.” Most dealerships advertise that they can finance anyone, or that everyone is approved, but most people are unsure of what this means or do not think that they will meet the correct qualifications. The truth – Ryan says, is that “anyone can qualify; however, this may come with stipulations.” This means that a buyer may have to put money down on the vehicle, go for a longer-term loan, higher interest rate or finance a less expensive vehicle. There are many great options available and we work with a variety of banks and credit unions in order to make financing work for each individual and situation.

Shop your car – not your credit. Each time you take a test drive – you should not be filling out a credit application. Each time your credit is run it shows as an inquiry on your credit report. While this does not necessarily hurt your score, too many inquiries can cause your score to drop and will also raise red flags when trying to apply for credit. Vehicles are an investment, not just a purchase.  Ryan says to “drive as many cars as possible, educate yourself and know what you are looking for. We can find you exactly what you are looking for, so shop around and compare.” Many dealerships advertise that they can offer you guaranteed financing and will urge you to fill out a credit application for your test drive. Ryan advises against this. Shop around – but buy from someone you trust. The financing process is the same anywhere you go, new or used, so find the car you want and then search for a dealer that you trust. Ryan hopes that we can be that dealership for you, and with an inventory of 400+ new and 150+ used cars with plenty of variety, we hope to help you find exactly what you need  – and finance it at the price you want!

Connect with Ryan on LinkedIn!

See Ryan’s Interview on Independence Television