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Chevrolet Commercial Cargo Van Ontario lease

 

NewRoads National Leasing Frequently Asked Questions (FAQ)

 

Can I lease any type of vehicle?

Absolutely. We provide leases on all makes, all models, both new and pre-owned. We lease everything from used Lada’s to brand new Ferrari’s, and everything in between.

 

Can I buyout the lease or trade in early without a penalty?

Yes. Our leases have no penalty clauses. You can buy it out at any time. To trade in early is no different than if you financed it with a bank. If the vehicle is worth as much or more than you owe on the loan or lease, no problem. If it happens to be worth less than you owe, you can still do it, but you would be responsible for the short fall.

 

I drive more than the typical 20-24,000 KM a year.  What should I do?

There are 2 things you can do.

If you want the “option” to just return the vehicle at the end of the lease (closed end lease), it will have a KM restriction, typically 24,000 KM free per year, plus $0.10/KM if you go over. You can buy more KM up front at $0.06 to $0.08/KM to a maximum of about 50,000 free KM/year. That lowers the buyback and therefore raises your monthly payments accordingly.

The other type of lease has a guaranteed residual (open end lease) and gives you unlimited KM.  At the end of the lease it doesn’t matter how many KM are on the vehicle, or the condition of the vehicle.  There is a catch however.  You are responsible for the amount of the buyback.  You can either a) buy it back; b) Sell it yourself; c) return it as long as it is worth the amount of the buyback. If it’s worth less, you would be responsible for the shortfall, if it’s worth more we give you the extra. (we offer both types of lease)

 

Isn’t leasing more expensive than purchasing?

No, but that is a common misconception. Assuming the interest rates are similar on both, there is very little difference. If you took all your monthly payments on the finance and compared that to all your lease payments plus the buyback, they would work out to within a few hundred dollars of each other. Remember, if you purchase a vehicle, you pay all the taxes up front, and then pay interest on them. If you lease it and decide not to buy it back, you never pay the taxes on the buyback amount.

 

How much cash will I need up front?

Typically you will need to come up with 1st month and last month (security deposit) plus $200 to $300 worth of administration fees, license fees and assorted taxes. On average, for a vehicle between $15,000 to $20,000, that usually amounts to about $1,000 (on approved credit). You may need, or want, to put more money down to reduce your monthly payments.

 

What are the benefits of getting a vehicle from a private individual vs. a registered dealer/lease company?

“Buyer Beware”. You have little or no recourse with a private individual if something turns out wrong with the transaction. We hear stories all the time about vehicles that people have paid for that still have liens on them, have had the odometer turned back, or have been rebuilt after a major accident. Private sellers have no obligation to disclose that to you. By law, dealers do. Dealers also have an obligation to either take the vehicle back and return your money or compensate you accordingly if you want to keep the vehicle. You may pay a few hundred less for a vehicle from a private individual, but is it worth the risk?

 

I have had some credit problems in the past. Can you help me?

Yes. We have leasing programs for all types of credit situations. There may be some restrictions on the type or price of vehicle or monthly payment that we think you can afford. Depending on your credit history, you may need to give a down payment or a few extra months security deposit.

 

For more information, please contact our Newmarket Vehicle Leasing professionals toll free at 1.877.267.4855.