Leasing or Financing a Car in Wichita, KS

At Parks Chrysler Dodge Jeep RAM, we often help customers figure out whether the car lease or financing is a better option in Wichita, KS. Let’s look at the key differences before you get behind the wheel of a new car.

Advantages of Leasing a Car

A lease is basically a long-term rental agreement. You don’t own the vehicle and have to turn it back in after a few years. Here are some of the leasing benefits.

• Low monthly payment
• Smaller down payment
• Warranty covers repairs
• Don’t have to sell the car

Advantages of Financing a Car

When you finance a car, it will eventually become yours. Just pay off the loan and then you can do what you wish with the vehicle. Here are some more benefits to financing.

• Can modify vehicle
• No mileage limits or fees
• Sell the car any time it is paid off

Lease vs. Finance: Which is Best?

To determine whether you should sign up for a lease or financing agreements, consider a few factors.

• Flexibility: If you like the idea of having a new car every few years, the lease is best for you.
• Down payment: A lease requires a smaller down payment.
• Monthly payments: The lease also requires the lowest monthly payments.
• Car Insurance: Either option might require you to have full coverage.
• Depreciation: As you drive the vehicle, the car loses value. When you lease a car, you must agree to keep the mileage down or you will pay fees.
• Repairs: Leased cars are covered under warranty, but the financed car might not be for the entire term, leaving you to cover repairs on your own.
• Leasing fees: Look for additional fees when you lease, including the disposition fees, early termination fee, security deposit and acquisition fee.

We can help you find the agreement that fits your needs the best. Talk to our finance department at Parks Chrysler Dodge Jeep RAM.