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Why pre pay?... Posted by Mike Lynch [Email] ![]() ![]() In Reply to: Re: Yea, a little too cheap on used quote,, BenV, Thu, 26 Aug 2004 12:29:09 Members do not see ads below this line. - Help Keep This Site Online - Signup |
The discount for a prepay is an equivalent 3%ish knocked off the rate, but the rate for 30 or 36 is already a low 1%ish and can't go negative so the most you can save is a 1% apr lease charge equivalent, not worth it IMO, pay 'em by the month. For 24 months the rate is practically zero so it makes even less sense.
If the Saab lease had a normal lease rate, 5-7%ish equivalent, than the pre-pay makes sense, but for super low subvented rate like with Saab, there's little benefit at 30-36 months and no benefit for 24.
And why 30 months? 36 months is always cheaper on a current 9-5 Arc lease, same rate, and not enough residual improvement to overcome the shorter term.
posted by 63.197.222...
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