Anyone who has ever rented an automobile will tell you that car dealers oftentimes seem to speak another language.  It’s hard to negotiate a good deal when you simply don’t understand the expressions.

The following glossary will help you to break the language barrier, and speak with leasing agents on their own  jargons:

Acquisition Fee

This cost is charged by the leasing company to start the leasing process.  Not all leasing companies will charge an acquisition fee, but those that do will  demand for no less than $300.  Acquisition fees are rarely negotiable. Read more . . .

Leasing a car can be a great way to enjoy all of the new car benefits without having to deal with the high payments associated with new car ownership.  At the end of the lease, you’ll have the option to buy the vehicle to own it outright.  The amount owing will be determined by a number of factors, including the residual value.

Before you meet with a car dealer, it is vital that you arm yourself with a good knowledge of the basic details of leasing.  Understanding the industry and business terms will put you in a better position for strong negotiations.  One of the expressions you’ll hear quite frequently while discussing a car lease is “residual value”.

Residual value involves more than your monthly payments, and the buyout amount at the end of your lease.  Leasing companies also use the vehicle’s residual value to establish any penalties owing should you break your lease early.  It is an important word and you need to know precisely what it means, and how to estimate it. Read more . . .

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People lease cars for various reasons.  Some drivers are capable of writing off their transportation costs at tax time.  There are those who lease to provide themselves with a regular supply of new cars.  Others still simply favour leasing to the hassles of car ownership.

Whatever your rationale for leasing a car, you need to know how to spot a good deal,  and save money on your lease. Read more . . .