can buy (or lease) a new car every few years if they choose to do so. Most people can't (or shouldn't) do that. Leasing makes it appear that they can afford something they cannot. If it was such a good deal, people would lease everything and own nothing. It is really the same as renting or buying a house, with the major difference that tax laws give you an incentive to borrow the money to buy a house by making the payments tax deductible.

Probably some of the worst deals going are leasing of furniture, stereos, televisions (aka "renting"), etc. The consumers are the poorest people who can't even scrape together $400 for a TV - but everyone can pay $30 a month, right? To paraphrase - why pay to own a TV when all I want to do is use one?

Remember too that the "value" of a car is what someone is actually willing to pay for it - only fools (perhaps rich ones) pay the MSRP upon which the lease is based. The factory gives incentives in the form of lower interest rates (for buyers) or lease payments (for lessors) because, in reality, the car is not worth what they claim it is worth.

Usually a business can deduct the lease from taxable income when the car is used for business purposes. That can be a significant incentive to lease, which I think works for you, Richard, and probably validates your opinion in your case. It would have no bearing on a private individual unable to claim the deduction. Larry here is clearly in a bad situation which would not be helped by leasing IMHO.

posted by 64.94....

• is it possible to trade in a car..., larry, Thu, 27 Dec 2001 14:18:23
  • Here are some options..., pmr, Fri, 28 Dec 2001 07:28:17
    • Good advice from pmr, or to put it another way, Texron, Fri, 28 Dec 2001 10:36:46
  • If you can't afford the payments, don't lease >, ChipJ, Thu, 27 Dec 2001 15:14:47
    • Leasing is for Rich people???, Richard P., Thu, 27 Dec 2001 15:58:55
      • Keep an open mind & run the numbers, Marc, Sat, 29 Dec 2001 15:25:24
        • Interesting worksheet but >, ChipJ, Sat, 29 Dec 2001 17:10:38
      • Flawed analysis, Richard (Long), pursang, Thu, 27 Dec 2001 18:59:24
        • Flaw in your logic...compare apples to apples..., Richard P., Fri, 28 Dec 2001 08:37:03
          • Re: Flaw in your logic...compare apples to apples..., NewYorkCitySaab, Fri, 28 Dec 2001 12:42:25
            • You need to look around..., Richard P., Fri, 28 Dec 2001 14:04:29
        • Pursang is correct >, ChipJ, Thu, 27 Dec 2001 20:52:59
      • Define "rich" as someone who >, ChipJ, Thu, 27 Dec 2001 16:41:57 <-- Viewing This Message
        • hey chip and richard, larry, Thu, 27 Dec 2001 17:05:50
          • so far you have lost $6000 on paper >, ChipJ, Thu, 27 Dec 2001 20:39:07
  • Money is never "lost" when you trade in...., Richard P., Thu, 27 Dec 2001 14:33:37

No Site Registration is Required to Post - Site Membership is optional (Member Features List), but helps to keep the site online
for all Saabers. If the site helps you, please consider helping the site by becoming a member.

• Prev by Date: gentle west wind-----zephyr, DougM, Thu, 27 Dec 2001 16:16:10
• Next by Date: Big Cat: Opel Tigra, Camm, Thu, 27 Dec 2001 16:43:06
• Main General Bulletin Board

StateOfNine.com

SaabClub.com

Jak Stoll Performance

M Car Covers

Ad Available

The content on this site may not be republished without permission. Copyright © 1988-2024 - The Saab Network - saabnet.com.
For usage guidelines, see the Mission & Privacy Notice.
[Contact | Site Map | Saabnet.com on Facebook | Saabnet.com on Twitter | Shop Amazon via TSN | Site Donations]

Random Saabnet.com Member Gallery Photos (Click Image)