"APPROVED" for a lease through Honda :-)

[mikemike]

So i finally got a brand new 2011 Honda Crosstour Ex-L fully loaded.

Since jan i been applying for the Capone blank check and got denied 3times.
I went to Honda on Mon and tried to finance the car in which cost $34k and putting $5k down. after waiting and waiting they came back and said Honda denied me bcause is to close to Bk. They went with capone and they approved me. The loan for capone was:
34k car with 5k down and monthly payments were going to be $647 per month for 72months with the interest rate at 12.3%. My insurance was more than the car payments at around $600 per month with a 900.00 down payment. To much money so i decided not to take the offer and walked out.
The next day i get a call and they say he can get me in the car i want and asked just in case if i can get a co-signer in which i had one just in case. I go in and always wanted to lease but figured bcause of the bk i would get denied so i didnt even mention it at all. The sales man tells me he can get me a lease so i said ok try it than. He comes back and i was approved by Honda for a 48month lease with 5k down and monthly payments at $500. I took the offer and loving the car. I guess there is life after bk. Btw not sure of my Credit score and will come back later and tell you guys..but more less is around 600-650

[juju4242]

Congrats,

Can I ask if your insurance is still $600. And is that because of the car itself or does the bankruptcy play a part in that high rate?

[IBroke]

What? $600/month for insurance? Are you serious?

Congrats on getting approved - but I have to say that $500/month for a lease on such a car with $5K down seems a lot to me...

[disconapper]

I literally fell out of my chair when I read $600 a month for car insurance! Please tell me something else is affecting that other than the bankruptcy.

[mikemike]

Thanx guys...Yea $600 is ridiculous. But its because i have a lapse in my license. But i am switching to another one that will be $384. Is high bcause i do live in NY and not the best neighborhood. Also the car is 35k and i did come out of bk so im sure a lease at 350 for a car at that price will be possible. I dont think is that high considering is a brand new car and out of bk...

[mikemike]

What? $600/month for insurance? Are you serious?

Congrats on getting approved - but I have to say that $500/month for a lease on such a car with $5K down seems a lot to me...

Actually is not that bad. My friend has a 700+ credit score and pays 5 and change per month for a new Acura TL...And another who pays in the high 400's for a 2009 or 2010 Mercedes C300.For a lease u always need to put down atleast 3000 sometimes more even with good credit..

[majorbk]

Wow, that's high.

[PHXDWTN]

For a lease u always need to put down atleast 3000 sometimes more even with good credit..

Not always. I just leased a $41k 2011 Audi A4 for $511/month with $0 out of pocket (they paid registration and 1st months payment). 15 months out of Ch. 7.

[IBroke]

Actually is not that bad. My friend has a 700+ credit score and pays 5 and change per month for a new Acura TL...And another who pays in the high 400's for a 2009 or 2010 Mercedes C300.For a lease u always need to put down atleast 3000 sometimes more even with good credit..

I have to correct you on that one. High downpayments on leases are the exemption, not the rule. When I still had my high paying job and everything was going well, I leased a 2006 BMW 760LI with only $1K down and that "downpayment" was actually the deposit for the order.

The point is that you are paying for the depreciation of the vehicle when leasing. A higher downpayment like $5K should have a drastic effect on lowering your monthly payment - especially on a car in the price-category you bought.

[HHM]

A lease...really...hey, can you just mail me the money you are throwing away.

Just out of the gate of Bk and already making poor financial decisions. Sorry.

[IBroke]

Not always. I just leased a $41k 2011 Audi A4 for $511/month with $0 out of pocket (they paid registration and 1st months payment). 15 months out of Ch. 7.

That's exactly what I mean. The car itself is even more expensive than the Honda. Now imagine you would have put down $5K. Your monthly payment would probably be in the $300s...

[IBroke]

A lease...really...hey, can you just mail me the money you are throwing away.

Just out of the gate of Bk and already making poor financial decisions. Sorry.

Leasing is not a bad thing per se. You just have to have a plan. Also, you can use it for tax-purposes. You also have the option of buying the car after the lease expired. Especially after a BK - when you are looking for reliable transportation - the lower monthly payments can come in handy.

[Cgriswold]

Leasing is not a bad thing per se. You just have to have a plan. Also, you can use it for tax-purposes. You also have the option of buying the car after the lease expired. Especially after a BK - when you are looking for reliable transportation - the lower monthly payments can come in handy.

Everyone has a different situation but...expect to get crucified around here...just sayin'

LSU whatever guy is probably choking on a Po' Boy rights about now...

[IBroke]

Everyone has a different situation but...expect to get crucified around here...just sayin'

LSU whatever guy is probably choking on a Po' Boy rights about now...

Hahaha...

[HHM]

Leasing is not a bad thing per se. You just have to have a plan. Also, you can use it for tax-purposes. You also have the option of buying the car after the lease expired. Especially after a BK - when you are looking for reliable transportation - the lower monthly payments can come in handy.

The MATH never works out in your favor over paying cash for a car, PERIOD.