Quote:
Originally Posted by A//// Guy
A loan would actually be more debt though. If you keep up with payments on a lease, you have no debt.
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Initially, yes, but as time goes on the loan gets paid off but a lease is still a lease and the car is not yours. As Kracka stated, if you kept up on the loan or preferably got ahead in loan payments and sold the car you could come out ahead overall. With leases there is no such thing as getting ahead, you are still spending cash to rent a car.
When you lease a car there is no saying that you will pay for the exact portion of the car that you "use up" because in fact the bank is does not have to disclose the interest rate of the lease. When the lease is up there is no guarantee that the buyout price of the car will be anywhere close to the actual value of the car on top of what you've already paid for.
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