Mercedes-Benz Lease Terms to Know

11 months ago 23

Are you shopping for a new vehicle and considering a Mercedes-Benz lease for the first time? We see many buyers who are excited about leasing but concerned about the unfamiliar process. We’re outlining common lease terms at Mercedes-Benz of...

leasing-keyboard.jpg

Are you shopping for a new vehicle and considering a Mercedes-Benz lease for the first time? We see many buyers who are excited about leasing but concerned about the unfamiliar process. We’re outlining common lease terms at Mercedes-Benz of Asheville to help you shop with confidence. 

Acquisition Fee

An acquisition fee is an initial charge to cover the cost of obtaining your credit report, verifying your insurance info, and other administrative musts.

Capitalized Cost Reduction

Similar to a down payment, capitalized cost reduction is the money you pay upfront to lower the cost of your lease.

Closed-End Lease

With a closed-end lease, which is the most common type of lease, you don’t owe the difference between the actual value of your vehicle at the end of your lease and its predetermined residual value.

Early Termination

If you decide to end your lease before your previously agreed-upon terms, it’s known as early termination and will result in costly fees.

GAP Insurance

Guaranteed Asset Protection (GAP) insurance protects you if you’re involved in an accident that totals your vehicle, or if it is stolen, and you owe more on your vehicle than it’s worth.

Open-End Lease

With an open-end lease, you’ll be responsible for paying the difference between your vehicle’s actual value and residual value at the end of your lease. If the value ends up being over the residual value, you have the option of buying the vehicle and collecting the difference when you resale it.

Residual Value

Residual value is the estimated value of your vehicle at the end of your lease, which is predetermined when you first sign your contract.

Get More Mercedes-Benz Lease Information in Asheville, NC

Do you still have questions about the leasing process? Our team is happy to help! Stop by Mercedes-Benz of Asheville to chat with our team and take a test drive today!


View Entire Post

Read Entire Article