8 Ways You’re Protected When Leasing a Vehicle
Leasing your next vehicle?Know what you’re getting yourself into before you sign your John Hancock.You want to go into any major purchase with all the knowledge you need to make informed decisions.The Consumer Leasing Act was designed to protect you, as the consumer. You need to be familiar with what it says and how it affects you. Here’s what you need to know.1. How much you’re payingLeasing companies are required to give you a detailed, written statement that shows exactly how much money you’ll have to pay, or even possibly pay. This includes security deposit, registration, and down payment.2. Length of the leaseYou must be told the amount you’ll be paying each month, how many payments you’ll be making, and the date each payment is due.You should be given a statement that clearly shows all the payments adding up to the total cost you agreed upon.3. StipulationsThe Consumer Leasing Act says that you must be advised of anything required of you, like needing a certain type of car insurance, for example.4. Warranty informationDoes the lease include a warranty?If so, you have to be advised about what it covers, how long it will be in effect, and who is responsible for handling the necessary maintenance. 5. Wear and tear assessmentYou have to be told that wear and tear will be assessed at the end of your lease.The law says that wear and tear standards have to be reasonable and that you’re entitled to a detailed description of how it will be assessed. 6. Lease terminationThe leasing company will have certain reasons that allow them to terminate your lease. These reasons must be clearly defined, in writing. You must also be told under any circumstances the leasing company could change their terms or demand to have the car returned during the lease period.7. Option to purchaseIf the option to purchase the vehicle at the end of the lease is available, the leasing company must tell you in writing how much it will cost and under what circumstances you’re allowed to buy it.8. Balloon paymentIf your lease includes a balloon payment, the Consumer Leasing Act states that it can be no more than the total of three regular payments. The exceptions would be if you put more miles or wear and tear than was agreed upon OR you agreed to pay more when you signed the lease.Talk to the expertsLeasing a vehicle can be confusing.At Serra Auto Park, our sales associates have the knowledge and expertise to talk you through your leasing options, as well as find the perfect vehicle for you.Stop and see us today!