Expats beware - not all car leases are created equal. Protect yourself and learn the difference before you sign!

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• Publié par: international-autosource
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• Langue: English

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Expats beware - not all car leases are created

equal. Protect yourself and learn the difference

before you sign!

PR Newswire

WOODBURY, New York, July 6, 2012

WOODBURY, New York

,

July 6, 2012

/PRNewswire/ -- Expatriates moving to

the

United States

encounter many challenges when leasing a vehicle due to a lack

of a U.S. credit history. There are two types of automobile leases that exist in

the United States

, open-end and closed-end leases, for both new and used

vehicles. Expats need to protect themselves and learn the difference before

they sign to ensure they are getting a good deal.

Closed-End Leasing –

Often called "walk-away leases," are based on the

number of miles a customer will typically drive in a year (12,000), that it will be

driven in normal driving conditions and the residual value of the vehicle is

known upfront. For Expats this is a good option as it is a no-risk lease

agreement with all costs known prior to going into the lease. Choosing a

manufacturer direct leasing program protects the expat with a higher residual

value, low monthly payments and low interest rates not found anywhere else.

At the end of the leasing term, the customer simply returns the vehicle and

they are not responsible for anything other than possible excessive damage or

additional mileage charges.

Open-End Leasing –

Typically used in business leases, the lessee takes all of

the financial risks. The monthly payments on open-end leases are much higher

and the total cost of the lease is unknown until the end of the lease agreement.

Therefore if an expat were to enter into this type of lease they would be

responsible for paying the difference between the estimated lease-end value

and the market value of their vehicle at the end of the lease. Expats beware as

open-end leases are often promoted as a good option since customers are not

locked into a long-term agreement. However, expats often end up paying more

for this flexibility as the higher monthly payments usually exceed those of

closed-end leases and the expat would also be responsible for the difference in

the residual value and market price, resulting in one large lump-sum payment

due upon return of the vehicle!

International AutoSource has been assisting expats without a U.S. credit history

lease vehicles for decades. Through manufacturer direct leasing programs,

expats have access to safe, low rate, close-end lease programs. To read more

about International AutoSource, please visit http://www.intlauto.com.

Contact: James Krulder

International AutoSource

[phone], [e-mail]