Why Leasing Cars Eats Cash - Dave Ramsey

Uncover the hidden truths behind car leasing with Dave Ramsey. Dive deep into financing, borrowing rates, and the overlooked costs that can drain your wallet. Discover why savvy money managers avoid the leasing trap and how you can make smarter vehicle choices. Whether you're contemplating leasing or just curious about car finance, this is your must-watch guide. #CarLeasingFacts #SmartMoneyChoices #DaveRamseyTip

[ericpeltz]

Another downside to leasing is the restrictions on how many miles you can put on the vehicle.

[shawnkelly]

Bought my car cash for 19k in 2010. Still runs like a champ (knock on wood). That's $121.79 a month to date.

[SN-flqy]

I leased a car for 99/month, just 1800 Out the door. The depreciation on the car at the 3rd year far out stripped the total payments. Not to mention, god forbid you get into an accident and it hits your CARFAX, no matter how minor the accident is, you are eating that accelerated depreciation. Rich people also don’t buy liabilities, they rent them.

[mrgetoutside]

I always followed the traditional advice about buying used cars with cash. Reliable Toyotas and Hondas. Every year I calculated the cost of ownership with maintenance and repairs. It was cheaper to buy a new one and I didn’t have to worry about braking down or missing work because my car was in the shop.

[garysarnowski]

Leased a 99 grand Cherokee for three years, putting I think a few thousand down on it back then. After the lease expired, I bought it and financed it thru Chrysler credit. After all the payments were made, paid well over MSRP. Should have bought it and financed for 60 months, would have been better off.

[marcel]

I like leasing. You know upfront what the monthly amount is and you don’t have to worry about maintenance and stuff

[walterpearlman]

They got me on 0% financing - sounds great !!
Did not process it was :
0% ( with no prepayment penalty) or $ 2000 cash back .

Did you catch it ?
How generous the term of no prepayment penalty- when I paid all the interest UP FRONT ?!?

[Hi-qhzt]

Happen to look at the window sticker of a new Cadillac Escalade today. It was right at 115, 000. I remember when I was younger they were half that cost. The guy that I talk to said they cannot keep them in stock at the dealership that this one was at. And no I was not there car shopping I deliver to the dealership it's part of my daily route.

[zinmintun]

When you lease, you can deduct as business expense if you have LLC. At the end of ther lease, I buy the car cash. That saved about 5000 on 45k car.

[garrettallain]

I leased my 2018 corolla and bought it at the end of the lease with cash. Worked out great. Leasing was my only option at the time cuz i was broke, put $0 down and paid $300 a month.

[lah]

Its worth it if there is $0 down and you get a cheaper, gas saving car. Leasing avoids maintenance. It might be nice not to be committed to a car long term. I have 20 year old car, nice to have no car payments, but the constant worry of the final break down may not be worth it. Debating all the options.

[dzabageo]

I bought my 91' Chrysler New Yorker 5th Ave with full leather interior and running like a gem for $2000. That was 10 years ago as my daily driver. Handful of small extra repairs incl a belt for $50, and $100 here and there. I put maybe $400 total in 10 years incl labor. That's $2400 divided by 10 years (120 months)... $20/ month cost of ownership so far.

[victorrand]

Leasing makes sense in certain scenarios where the lease is a small fraction of your income, and you want a nicer luxury car.

[beckycrump]

I leased then bought it. We negotiated the buyout. When added up I paid less in total than if I had financed up the whole thing. I didn't have cash to buy. At that point the monthly payment was important at that time. I was broke. I still own that car 19 yrs later. As the original owner I know how it's been driven and what maintenance was done.

[zurn]

I leased a car when I was on temporary duty in Sputh Carliona. I should have just paid to ship my Jeep or bought the car. I would have saved a ton more money in the long run. Huge mistake!
I got caught up in the rush of having to relocate to the other side of the country on short notice.

[promig]

The other part of the equation is the very high interest rates on purchasing a used vehicle. If u purchases a used vehicle that's five years old you always end up needing brakes and tires and other repairs to pay for plus the monthly payment.

[danny]

Here’s the thing I have been leasing for the passed 20yrs I don’t care I don’t want the headache of depreciation value and stuck with out warranty. New car no headache and just pray for me to all was have a job.

[cantgetright]

That’s what I hate. You see an ad for a car and they say only $2500 down. Ok well how much is the car. How about a little transparency. Could you imagine going to a grocery store and there being no price tags. They just make it up at checkout.

Ridiculous

[bruceelniski]

Tent before rent! Drive a beater! Pay cash.

[snubbii]

Leasing is just cheap car rentals. No one buys the car at the end of the agreement. Just exchange for a new vehicle, new leasing agreement. If you want to buy then we have PCP for ok ish monthly with a final payment if you want to buy the car outright. PCP Monthly is always higher than leasing.