Financing FAQs To Know



Here at Presidential Auto Leasing & Sales, we understand that the process of financing can sometimes be confusing. As such, this list of frequently asked questions is available to help provide clarity on certain aspects of financing before you select your next vehicle.    

How is leasing different from loaning a vehicle?

When you take out a loan, you are borrowing money to help pay for your new vehicle. You then make monthly payments until the loan is paid off and can own the vehicle for however long you wish. Meanwhile, when leasing a vehicle, you will also make monthly payments, but these are usually lower than loan payments. At the end of your lease, you don’t have ownership of the vehicle and must return it unless you choose to purchase it.

 

What is a down payment?

To loan or lease a vehicle, you may need to pay a certain amount of money upfront, and this is known as the down payment. There is likely a minimum down payment you will have to make, though you can make a larger down payment if you want to. The greater your down payment is, the lower your monthly payments and your interest rate may be.

 

How does your credit score affect financing?

If you have a good credit score, you may have access to more attractive loan and lease options for vehicles. For example, having a high credit score may help you get a lower interest rate for your loan. You may also not be required to make as large of a down payment as you would with a low credit score.

If you have any other questions about financing your next vehicle, feel free to ask our team of experts here at Presidential Auto Leasing & Sales. We can help you find the right vehicle for you and then guide you through the financing process with ease.