G35Tuning

So I decided that while my car was at the dealership I'd take a quick spin in the G37 coupe...Love the interior, love the gear box in comparison to my G...It was a bit difficult as the clutch engages differently then on my coupe...Thought I would feel more of a power increase but I really didn't feel much...Ride was smoother and seemed to handle really well...Anyways some help on this lease deal...

Car was a 6MT with Nav...Sticker total of $42,300...My price was $39,500

Anyways...They introduced a multiple principal type lease? I'd never heard of it before but it was interesting...Thoughts...

39 month lease
15k miles per year

I put $4,500 in principal payments (essentially a security deposit) at the end of my 39 month lease I get the FULL $4,500 back to me in check form...

This multiple principal thing would make my monthly payments $465 per month...Down from $530 per month if I were to lease with inceptions down only...

Thoughts on all this? How many people have used this? Seems like a great way to lower payments and get your down payment back...

go4gr8

I've never heard of multiple principles, though I have heard of security deposits/MSD's.

$4500 is quite large for a security deposit.

G35Tuning

bump...anyone? I'm new to leasing...

G35Tuning

That may be the same thing...Is it really a large amount? Do you end up getting that back at lease end? Or do they usually try to screw people with extra charges that they withdraw from that large refundable security deposit? Thanks

go4gr8

According to other sources, you get the deposit back, minus any costs on possible damage to the car.

prutkows

That is a large amount, think about it, you'd be giving them more than 10% of the cost of the car. The "security deposit" is pretty simple. You give a $ amount to the dealer, then when your lease is up they evaluate the car and take give you back your deposit assuming you honored all the limitations of your lease.. i.e. mileage, damages, any type of mods, etc.

IMO if you are able to stay under the mileage limit on your particular lease, as well as plan on having a pretty steady or increasing income, leasing is the way to go. You essentially get a brand new car every 36ish months and you dont have to worry so much about minor aesthetic problems like you would if you bought the car and planned on having it for a while.

G35Tuning

True...But I guess my though process is that if I dont "NEED" that 10% at the moment...Then why not have Infiniti hold it and have my payments drop from a no deposit monthly of $543 per month to a $449 payment per month? Save me $100 over 39 months which is $3900 and then in turn get my original deposit back "unless there are major defects to the car" which aren't likely to happen...Nor should I go over in mileage since my deal is with 15k per year...Maybe I'm missing something...

I flat out purchased my first G35 coupe so I'm not familiar with leasing...

CHI-TOWN G37

So in theory, this "principal" could be raised to say 50% of the car's cost and save you even more monthly dough. I guess it just depends on a level of trust and reading the very fine print to make sure you get your money back and it really is treated as a large security deposit and not a cap cost reduction. On a cost side it appears that the "return" is actually not bad, unless you can make a lot more money investing this cash in some more creative way.

Once again, I think the devil is in the details on this one and I would have an attorney friend or banker take a quick look at the language for you. I am familiar with MSD's, but not this.

prutkows

Agreed. Definitely if you don't need the $4500 now go ahead and put it down to reduce your payments. CHI-TOWN is right too, you should definitely have someone take a lookk at the contract. I'm sure the dealer isnt trying to trick you or anything of that sort, but maybe theres something in it that you arent seeing that could possibly make you decide not to go ahead with the lease.