Our Top Finance FAQs at Yonkers Automall
Financing a vehicle can be overwhelming, but it doesn’t have to be. Don’t get overwhelmed with budgeting, working with banks, and figuring out complicated financing lingo. Instead, finance your next vehicle with Yonkers Automall! Our professional finance team will work with you to get the best possible deal on a vehicle in our inventory. Our team works with individuals off all budgets, credit scores, and so on, and we receive a lot of questions while on the job. Check out the most frequently asked finance questions we receive, and the answers to these questions, by reading on.
Are monthly payments necessary?
Unless you can pay cash for a pre-owned vehicle, you will have to either take out a loan or lease a vehicle. If you take out a loan for your vehicle purchase, you will need to make payments on that loan (likely on a monthly basis). If you chose to lease your vehicle, you will have a monthly fee that must be paid to drive the vehicle.
When is ownership transferred?
When taking a loan out on a vehicle, the ownership will transfer to your name once the loan is paid in full. When leasing a vehicle, the ownership is never in your name. Once the lease ends, the vehicle will return to the lessor.
How are monthly lease rates determined?
A lot goes into determining the rate of a monthly lease. First, a vehicle’s adjusted capitalized cost is determined. This number is figured out by taking the real purchase price and subtracting the down payment, the incentive discount, the trade-in credit, and so on. This number also adds in any fees or charges that may relate to the vehicle purchase. The second step is estimating the vehicle’s value at the end of the lease and subtracting this number from the adjusted capitalized cost to create a depreciation figure. The final step in determining a monthly lease rate is figuring out how much it will cost the lessor to borrow money during the lease period. Once these steps are taken, a specific monthly lease rate is created.
Did this blog post answer your finance FAQs? If you still have additional questions, feel free to visit our website or give us a call at 855-700-9198. You can also pay us a visit at Yonkers Automall, located at 1716 Central Park Avenue in Yonkers!