Single Payment Lease
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It has got nothing to do with the dealer, its up to the lender / lessor. The dealer makes the exact same $$ if you have one payment or 35 for the 3 year lease. There is minor savings for the lessee in that your not paying interest with the one payment lease and sales tax on the monthly payments ( varies by state )
They are very rare. When I did mine with Ally on the 2012 Volt, the electronic online system could not handle it, they had to use a typewriter and triplicate form and call Ally to agree to the lease.
They are very rare. When I did mine with Ally on the 2012 Volt, the electronic online system could not handle it, they had to use a typewriter and triplicate form and call Ally to agree to the lease.
I did this with GM Financial for an Equinox. Didn't seem like a rare thing when I did it because I asked the salesperson what were the numbers if I make payments or if I paid upfront. It was just a push of a couple of keys on the computer.
Maybe try a different dealer?
Maybe try a different dealer?
Ya, I wouldn't suggest a single pay lease. The above is correct, the money factor is so low that you're under 1% interest rate. Maybe pay your fees up front so you're not paying interest on that BS, but don't pay any capital down or anything, as close to zero out of pocket when you pickup the keys as possible. (Again, basic dealer doc fees and stuff I wouldn't pay interest on and instead pay upfront).
I was explained (here actually) that the reason is this. You have to have the total value of the car insured, but GMF or whoever the lender was is the one that gets paid by the insurance company. Say you literally drive off the lot and a semi slams into you and totals the car. From my understanding any down payment can stay with the lease company AND they'll collect whatever they can from the insurance agency. Now realistically in this case I'm sure they would work with you to collect insurance and allow you out of the lease or into that of another Volt, but say half way into the lease that happens, it might be a fight to get back what you prepaid and didn't get to use.
Pay monthly, that way your liability is minimized. Let the lender fight with the insurance company on the value of the car to be paid out. You did everything legally, minimized your exposure by putting as little down as possible, paid monthly on time, and was fully insured. If they came after you for anything, tell them to speak to your lawyer and hang up.
I was explained (here actually) that the reason is this. You have to have the total value of the car insured, but GMF or whoever the lender was is the one that gets paid by the insurance company. Say you literally drive off the lot and a semi slams into you and totals the car. From my understanding any down payment can stay with the lease company AND they'll collect whatever they can from the insurance agency. Now realistically in this case I'm sure they would work with you to collect insurance and allow you out of the lease or into that of another Volt, but say half way into the lease that happens, it might be a fight to get back what you prepaid and didn't get to use.
Pay monthly, that way your liability is minimized. Let the lender fight with the insurance company on the value of the car to be paid out. You did everything legally, minimized your exposure by putting as little down as possible, paid monthly on time, and was fully insured. If they came after you for anything, tell them to speak to your lawyer and hang up.
Nope, your insurer pays you out and it's up to you to settle with GMF.
How do I know this? I got worried when I was given the above advice by other members in this forum so I rang my insurance agent and the dealer who sold me the lease and asked them. I also read the lease agreement from start to end. I didn't base this post on hearsay or word of mouth like so many others have done. If anyone disagrees feel free to post up your real life experience with losing your prepaid lease amount.
Last but not least the likelihood of getting into an accident so bad that your car is totaled is minimal. If you have a tendency of getting into a major accident once every 3 years you probably shouldn't be driving.
Hmmm, I'll have to check into that, I know GMF or whoever actually holds my lease (Wells Fargo?) is listed on my insurance policy... at least I'm pretty sure I saw them on there...
The insurance only pays out current market value...KBB says a MY16 pure base LT volt in excellent condition with average miles is worth $19,880...While insurance using their own guide vs KBB, it's probably within KBBs ballpark and whatever number they come up with is the final insurance payout...Then as stated it's up to you to "settle" with your lender...
GMF includes GAP insurance on leases and it's extremely high odds that will need to be utilized in a $0 down situation whether it's totaled the first day of the lease or the last day of the lease...You have zero money tied up and simply can just walk away vs trying to "settle" with your lender over the current market value insurance payout which is already fairly low on the Volt....
GMF includes GAP insurance on leases and it's extremely high odds that will need to be utilized in a $0 down situation whether it's totaled the first day of the lease or the last day of the lease...You have zero money tied up and simply can just walk away vs trying to "settle" with your lender over the current market value insurance payout which is already fairly low on the Volt....
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