To Lease or Buy?
Is it better to lease or buy a car? Does one effect your credit score worse than the other?
- 1 decade agoFavorite Answer
I don't think either way will affect your score.I do know that unless you can write off your lease that you should not go that way. A lease is the worst way to get into a new car. Your down payment and monthly notes will be less but you will never build any equity and you may wind up with mileage and wear&tear charges when you turn the car in. As for as buying the car at the end of the lease goes I garauntee it will be higher than one you could purchase somewhere else. A lease only benefits the lessor. Never the lessee
- Shaddup LibsLv 51 decade ago
It depends. If you are planning on keeping the car for more than 5 years, buying would cost you less in the long run. You can lease a car with slightly less credit than buying.
You can also lease a car, with lower payments, then purchase the vehicle after the lease with a negotiated purchase price. You can save quite a bit of money, but will need full insurance for the term of the lease, and the term of the loan, like around 7 or 8 years.