Hummer Interest rates

[jmsspratlin]

Do you think that Hummer is just trying to compensate for the possiblibity of decreased sales due to recent gas prices where they are?

Originally Posted by jmsspratlin

Do you think that Hummer is just trying to compensate for the possiblibity of decreased sales due to recent gas prices where they are?

Possibility is a reality already this year.

[Agriv8r]

or maybe like the end of every model year they are cleaning out the old inventory to make for for new....

[pteam]

Why is it that 0% financing still works out to be more money per month than a lease?

Originally Posted by pteam

Why is it that 0% financing still works out to be more money per month than a lease?

The lease payment only covers the depreciation and sales tax for the period of the lease term (3 years is a common lease term). And the come-on leases often have low mileage limits (like 10,000 miles per year). If you exceed that mileage expect to pay 20-25 cents per mile at the end of the lease. Or if you want realistic mileage limits, you can add it to your monthly payment (at the rate of 15-20 cent per mile typically). Lastly lease programs are often heavily subsidized by manafacturer to move vehicles. Just some of the reasons for the lower lease payment (vs. purchase loan payment).

[pteam]

Originally Posted by Steve - SanJose

The lease payment only covers the depreciation and sales tax for the period of the lease term (3 years is a common lease term). And the come-on leases often have low mileage limits (like 10,000 miles per year). If you exceed that mileage expect to pay 20-25 cents per mile at the end of the lease. Or if you want realistic mileage limits, you can add it to your monthly payment (at the rate of 15-20 cent per mile typically). Lastly lease programs are often heavily subsidized by manafacturer to move vehicles. Just some of the reasons for the lower lease payment (vs. purchase loan payment).

As I see this more and more now, I've bought 5 or 6 hummers in the past, most were cut in half and stretched to limos so ovbiously you can't do a lease there. But I'm gonna get an 08 h2 soon , and I cant find any advantage to buying it over leasing it. Even paying for extra miles at 20 cents per mile its a big advantage over buying and then having to trade it in and get taken to the cleaners by the dealer on trade in. Lease and get a new truck every 3 years. I'm taking all the mods off my 03 h2 and putting them on the 08.

Originally Posted by pteam

As I see this more and more now, I've bought 5 or 6 hummers in the past, most were cut in half and stretched to limos so ovbiously you can't do a lease there. But I'm gonna get an 08 h2 soon , and I cant find any advantage to buying it over leasing it. Even paying for extra miles at 20 cents per mile its a big advantage over buying and then having to trade it in and get taken to the cleaners by the dealer on trade in. Lease and get a new truck every 3 years. I'm taking all the mods off my 03 h2 and putting them on the 08.

You know a lot of people do that (lease), when they know (and admit) they want a new car every 3 years. So many people talk about keeping a vehicle for 5-10 years but usually end up trading it in 3-4 years anyway.

• often self-employed (like realtors), making it easier for their tax accountant to calculate/deduct vehicle expense.
• have predictable annual mileage.
• take reasonable care of the car, so that when they turn the car in there are no additional charges for damage beyond normal wear and tear.
• Will not end the lease early, otherwise you will pay through the nose.

Just some thoughts on subject....