Have you ever gotten 0% interest leasing a car? Ever in your whole entire life?

[midnightmoon05]

I heard 0% interest rate in commercials all the time since I was little. But I never like debts and always paid cash with the other cars I bought.
At one point in my life time, I had to lease a car due to emergency situation. I have perfect 800 credit score. My mortgage rate was 3 1/2 %. Dealer said they are giving me a good offer. I asked why when I have perfect score, a good job, can pay in cash if I want to and a mortgage rate of 3 1/2 %, they gave me some lame excuses. Then I had to sit there for over 3 hours signing papers and listened to them trying to sell me other special offers.

By the end of the day, my payment was $250. a month. I found it annoying and paid it off after 3 months of payments because I got annoyed and didn’t want to pay more than what the car is worth.

[CrazyGirl2]

I’ve never leased a car. Heck, I’ve never even rented one! But, I ma sorry you had such a negative experience. I’ve always believed that buying is better because when you are done paying for it, at least you own the car. It’s likely something my parents taught me, but honestly I can’t remember, but I just doubt I came to that conclusion all on my own.

[midnightmoon05]

Your parents taught you well. I am doing the same for my kids. No Debts ;)
That was the only time I leased a car otherwise cash!

[CrazyGirl2]

I absolutely agree! That is probably one of the best lessons you could teach your kids! Obviously it’s different with something like a house, and I did have to take out a mortgage to buy my house, but that’s to be expected. My trust fund was required to not only pay for my college, including housing and meal-plan, but it was also required to buy me a “sensible” car to attend college. So I figured that since I didn’t want to risk damaging the Jeep that my father and I hand built, and he threw me off the deep end by making me build the engine, of which I am VERY proud, and since my trust fund was gonna buy me a sensible car anyway, I figured why not get a newer Jeep, so I don’t worry driving it around a city where the average driving experience is less than 3.5yrs!
My yellow Zombie Apocalypse Jeep is irreplaceable, so I have temporarily stored it in my father’s air conditioned, humidity controlled warehouse, where he keeps his collection of new and classic Ferraris, Lamborghinis, and assorted super-cars, including an original Ford GT40 (my favorite of the older cars). But if I did not have my trust fund, I would absolutely save-up to buy something like a car, in cash! I recommend that everyone do the same. It makes absolutely no sense to finance something that will depreciate by at least 10% the second you drive it off the lot, and another 30% w/in the first year! It’s one of the reasons that I decided on a two year old low mileage (9.000 miles) Jeep! Why not let someone else pay for the depreciation? Seriously, that is a very important lesson you’re teaching your kids, I only hope they listen to you. Congratulations on excellence in parenting. The world needs a lot more parents like you! Far too many people try so hard to keep-up with the Jones’s, or their neighbors that they end up teaching their children terrible lessons by example. Good for you!

[matchrestore]

Introductory APRs are so misleading, and they don't save you that much money in the long term (that's not to say it doesn't save you any). I haven't bought a car with 0% interest, but i did buy all of my kitchen appliances with 0% interest for 18 months, and paid them off in those 18 months.

[Guardian45]

Listen, there are junk mortgage bonds with negative interest rates!

https://www. theguardian. com/money/2019/aug/13/danish-bank-launches-worlds-first-negative-interest-rate-mortgage
negative interest rates

[midnightmoon05]

Still the paperwork is annoying. I’m just buying with cash.

[Guardian45]

Cash is KING!

[Guardian45]

Thank you for MHG!

[Soldieronamission]

Perhaps your confused on what a lease is vs loan. Yes dealers have offered 0% interest loans in the past though not much post COVID. A lease has the interest built into the payment and unless it's written into the lease you can't pay it off early, usually.

You're paying for the amount the vehicle will depreciate over the time you will use the vehicle during a lease which is why they tend to be lower payments compared to a loan. And the percentage of leases never been the majority of how Americans buy they're cars.

[midnightmoon05]

It was definitely a frustrating process. Was worse than buying a property.
It was a loan just because I kinda needed to have some extra cash at that time of my life…even though I was able to paid it off.
After the ordeal, I started to pay off monthly, it was so tedious that I paid off the whole thing after about 6 months.
Other times I always paid cash for my other cars.

[Avicenna]

Zero percent financing to buy is generally a good idea (except in deflationary times when an interest rate of zero is positive real interest rate).

[midnightmoon05]

I am curious if anyone has ever gotten “0%” interest…
That was my only time I lease… otherwise all cash.

[midnightmoon05]

Therefore… regardless of interest rate it doesn’t affect me.

[Fireguy17]

I've never leased a car, financially it is a bad plan.
During good deals I've had 0% on a new vehicle.

[midnightmoon05]

That was my only time. Quite the experience! To me it’s a scam… somehow … majority of the US lease.

What do you mean - 0% on a new vehicle?

[Fireguy17]

No interest on the loan.
I bought a new truck during covid, got a good deal, the Costco discount and 0% interest on the loan from Ford.
They weren't selling much of anything so they were trying to get people back into the dealerships.
I found pretty much the truck of my dreams with more equipment on it than I would have ordered in the colors I wanted.
Sometimes they have those deals at the end of the year to clear out the old inventory.
Probably not so much now because of the shortages, but I've seen 3% interest on loans.

[KrakenAttackin]

Your approach is fine, but proper debt can be very useful. If you took 0% loan paying $250 month, and put more cash toward an investment (say the general market at an average of 7% annually), you come out ahead nicely. This is a positive use of debt where compounding interest is working FOR you.

[Jamie05rhs]

$250 a month for a lease? That was more than mine. What kind of car?

Also, what interest rate did they end up giving you?

[midnightmoon05]

That was a long time ago. Prob. around 5%….
I just paid off after a few months. I didn’t want to spend my money while in the middle of a divorce.
Good experience to know how awesome people get them into these systems.

[Jamie05rhs]

@midnightmoon05 Did you have to pay a lot of money to the lawyer?

[midnightmoon05]

I think between him and I, it was like $50k…so I just wanted to have extra cash around.
But was annoying dealing with monthly payments with a crappy car. I paid… then got rid of that car

[Jamie05rhs]

@midnightmoon05 Oh; okay.

[Guy13]

Yes I have as I never leased...

[midnightmoon05]

That was my only time. And I learned to never again since we have the money.

[exitseven]

They give you 0% interest and expect you to pay sticker price.