Financing & Leasing

 

Buying Vs Leasing

PROS OF BUYING

grn.gifYou can choose between a new or used vehicle and sell the car whenever you choose.

grn.gifThe car is yours when the loan is paid off, and you can use the car as security for another loan.

grn.gifYou may put as many miles on the vehicle as you like and have more choice in maintenance and repair.

CONS OF BUYING

red.gifThe kilometres, condition, and popularity of your car will determine its final value.

red.gifIf you don't make your car payments on time and in full, your lender can repossess the car and resell it.

red.gifIf the resale price of the car is lower than the amount you owe on your loan, you could end up paying the difference to the finance company.

PROS OF LEASING

grn.gifThe vehicle will most likely be new.

grn.gifWhen the lease ends, you can return the car, or buy it for a previously determined price (the residual value).

grn.gifYour monthly lease payments will be lower than monthly loan payments on a comparable car.

CONS OF LEASING

red.gifYou'll probably have to pay a penalty if you: break the lease early, exceed annual kilometre limits, don't meet a specific maintenance schedule, or fail to make the required monthly lease payments on time.

red.gifYou won't be able to pledge it as security for a loan because you don't own the vehicle.

red.gifYou'll have to pay for any repairs needed at the end of the lease period to make the car re-sellable.