If you’re looking for a Dodge vehicle, you may want to consider leasing instead of buying. This guide goes over the most important Dodge lease terms you should know, so you can better understand how everything works when you start the leasing process.
Leasing
You can think of leasing kind of like a long-term rental. You will drive the car for a while, but eventually it will need to come back to the dealership.
Term
The term is the duration of the lease. Many people opt for a short-term lease of just a year or two, while others go for one that may be as long as five years.
Money Factor
Your lease will come with a monthly charge, and on top of that will be interest. This is the money factor.
Cap Cost
Whatever the final amount of the lease ends up being, this is called the cap cost.
Cap Cost Reduction
There are things you can do to lower the cap cost, such as by supplying a down payment. You may also want to think about trading in a car to reduce your expenses.
Residual
The residual will be calculated when you sign your lease, and this is what the car will be worth when the lease is over.
Depreciation
The depreciation is the loss in value of your vehicle.
GAP Insurance
This type of insurance is vital for leasing, as it offers a financial safeguard in the event that the car gets stolen or totaled in an accident.
At Gengras Chrysler Jeep® Dodge RAM, we aim to make leasing as easy and uncomplicated as possible for our customers. If you have any questions, feel free to get in touch with us.
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Dodge Hornet, Dodge Challenger, 2024, 2023, Dodge Ram 3500, Ram 3500, Dodge Ram 1500, Ram 2500, Dodge Ram 2500, Dodge Ram, Ram 1500, Dodge, Dodge Charger