Vans, Cars and Leasing

To lease, you have two possible choices: either lease through a dealer’s finance source or through an independent lease company. A conventional dealer has a captive finance source, which can be the car manufacturer’s financial company, such as BMW Financial Services, Honda Motor Credit or General Motors Acceptance Corporation (GMAC), or a major national bank such as Chase Manhattan.

Independent lease companies are no financial obligation to any single one manufacturer financing source, but work with dealers anywhere in the country.

So which one is better?

Conventional dealers provide better lease-deals on limited-time promotions. Factory-subsidized cars that have subvented money factors and residuals are very attractive lease deals and can be very hard to beat anywhere else.

Independent lease companies can offer you unbiased and professional advice on vehicle selection regardless of make and model. This is because they are not tied to a single manufacturer or financing source, unlike conventional dealers who have to sell specific models.

They can also be more flexible regarding negotiating lease terms like residual value and mileage. Ultimately, if you prefer a more personal and customer-oriented relationship with your leasing agent, then you will do well with an independent leasing company.

Whether you lease a car to get into the latest models or have better purchasing flexibility, getting a good deal is always bound to give you a lift. Use these guidelines to help you spot one:

Check incentives: be on the look-out for factory –subsidized lease deals. Car manufacturers realise that consumers who lease vehicles from them are more likely to be repeat customers than those who simply purchase vehicles. Through their leasing companies, they adjust the residual value and offer low financing charge.

Other auto-manufacturers are also starting to give incentives on leasing, called leasing subventions. They offer these subsidies to put slow-selling models on the street, saving you even more money.

Set up a competitive: bidding environment to get the lowest price. If you already have an idea in mind of the make, model and trim level of your desired car, attempt to calculate your own lease payment before you go shopping to avoid paying through the roof.

Check online comparison tools or use a lease calculator to check your lease payment based on purchase price. This gives you greater negotiation leverage as you solicit quotes from various leasing companies.

Make sure you know all the fees involved at the beginning of your lease: you may have to pay fees for licenses, registration and title. Other fees include acquisition fees, freight fees and local or state taxes. At lease-end, you may have to pay a disposition fee and charges for extra mileage and any excess wear. Be aware that some of these fees – like acquisition and disposition fees – are negotiable.

Know your mileage needs: almost all leases limit the number of miles per year by imposing typically 10 to 20 cents per excess mile over 15,000 miles a year. If you are the kind of high-commuter who puts 40,000 miles a year on his car, then you might end up running thousands of dollars in hefty penalties at the end of your lease. Be smart and negotiate a higher-mileage limit or pad you excess miles at the beginning of your lease to avoid robber tax rates for excess miles.

Almost all leases limit the number of miles per year by imposing fees typically 10 to 20 cents per mile over 15,000 miles per year. If you are the kind of high-commuter who puts a lot miles on his car, then these costs can add up quickly.
Negotiate: Include GAP coverage: make sure your lease includes GAP coverage. This covers you in the event of the vehicle getting wrecked, stolen or totalled. Without GAP insurance, you leave yourself wide open to thousands of dollars in leased obligations. Check if the GAP coverage is included so you don’t pay it twice.

Volvo continues its reputation as the king of sports wagons manufacturers with the Volvo V50, an S40 reincarnated as an upscale wagon. The wagons of day are a far cry from Volvo wagons of the past which may be remembered with disdain. Today’s sporty wagons feature lots of interior space and plenty of top of the line safety features. The 2008 Volvo V50 is one of these new-era wagons.

The V50 has not undergone any huge changes, the front and rear body has been slightly reshaped, looking a little less boxy. The grill and rear bumper have been tweaked just a little as well to produce a more refined look. The center console in the interior now accepts an audio jack and provides more storage space which was greatly lacking before. The handbrake in the console has also been redesigned. The trademark Swedish minimalist design still remains, but an optional trim called Nordic Light Oak, is available for the interior. Cargo capacity is 27.4 cubic ft. When the rear 60/40 seat is folded down the capacity increases to 62.9 cubic feet.

The T5 model engine is more powerful than previous models due to a nine horsepower upgrade. The engine also achieves 30 mpg highway fuel efficiency. The 2.4i gets an estimated 22 mpg in the city, 31 mpg on the highway. The T5 AWD gets 20 mpg in the city and 28 mpg on the highway. Enthusiatic drivers may want to choose the turbocharged engine of the T5, it gets almost the same fuel economy as the 2.4i. The handling is smart and fun with either the sport tuned or standard suspensions.

The Volvo V50 gets better gas mileage than its rivals such as the Acura RDX or Mazda CX-7 small SUVs. The V50 has more cargo space than its compact wagons competitor, the Audi A4 Avant, but it has a little less than the Saab 9-3 SportCombi.
There are three different trim levels in the 2008 Volvo V50, the 2.4i, the T5, and the T5 AWD. Features of the 2.4i V50 include a 168 hp 2.4-litre, 5 cylinder engine. The T5, also front wheel drive, has a 227hp 2.5-litre turbocharged 5 cylinder engine. Both of these engines come standard as five speed automatic, adaptive Geartronic transmissions.

The T5 also is available as all-wheel drive. The well known Volvo safety features include all-disc antilock brakes with electronic brake force distribution, electronic stability control, side curtain and side impact airbags. The 2.4i comes with standard 16” alloy wheels, tilt-telescoping leather-wrapped steering wheel, T-Tec cloth upholstery, eight-way manually adustable driver’s seat, full power accessories, manual climate control, and a 6 speaker Dolby audio system with CD player and aux. audio jack. The T5 features more fog lamps, automatic climate control, 8-way power driver seat, aluminum trim, trip computer, 8 speaker sound system with in-dasy CD changer and a satellite radio. Of course the T5 AWD features all wheel drive as well.

The T5 can be upgraded with a navigation system, active bi-xenon headlamps, and keyless ignition. Extra options for the V50 come in different packages. The Select Package for the 2.4i consists of power driver seat, sunroof, 17” wheels, fog lights, Nordic Light Oak wood or aluminum trim, upgraded sound system, and leather gearshift knob. Leather upholstery is also available for the 2.4i. The Premium Package adds the 17” wheels, leaher upholstery, sunroof, driver seat mermory, and powered passenger seat, auto-dimming mirror with a compass and Homelink.

Written on behalf of Total Fleet Services Van & Car Leasing
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