Ray Beck

$319*/month
FOR 48 MONTHS

Plus final payment.
1.8% APR
$1,500 down payment
Excludes taxes, title and registration fees.

*Payment based on 2004 Audi A4 1.8 T with multitronic Continuously Variable
Transmission, Premium pkg., 17" alloy wheels, destination charge. and dealer
prep., with selling price of $29,100. 48 monthly payments at $319/month
based on 1.8% APR total $15,312 plus a final Balloon Payment of $13,749.40.

I'm a college student with just 2 semesters left. I saw this ad and wondered
if it was a good deal. I know that lease deals aren't for everyone, but I
figured that while in my last year of school that I could afford the low
monthly payments then after graduation i could either re-finance the balloon
payment or if i'm making the money I hope to make maybe i'll trade her in
for a new S4. I just don't know if the residual value (balloon payment) is a
fair value or not. Any suggestions/comments are appreciated. Thanks


--
Ray Beck
ray.beck@earthlink.net
281.370.0420

Scott

On Tue, 17 Feb 2004 07:00:31 GMT, "Ray Beck" <raybeck@houston.rr.com>
wrote:

>$319*/month
>FOR 48 MONTHS
>
>Plus final payment.
>1.8% APR
>$1,500 down payment
>Excludes taxes, title and registration fees.
>
>*Payment based on 2004 Audi A4 1.8 T with multitronic Continuously Variable
>Transmission, Premium pkg., 17" alloy wheels, destination charge. and dealer
>prep., with selling price of $29,100. 48 monthly payments at $319/month
>based on 1.8% APR total $15,312 plus a final Balloon Payment of $13,749.40.

1) To get an advantage from leasing over buying you want your cash up
front to be as close to $0 as possible, $1500 is a bad idea

2) Taxes, titles and registration fees could be quite steep if payed
up front. The normal for taxes would be paid over the course of the
lease, each payment having a bit of tax. During the period of the
lease you would only pay tax on the part you 'used', and would never
pay the tax on the remaining portion unless you chose to purchase the
vehicle at the ned of the lease.

3) "Balloon Payment" does NOT sound like a leasing term. A lease has a
residual value which you do not pay unless you choose to buy the car
at the end of the lease.

4) I do not see a mileage/year limit, all leases have these. The
typical lease is 12,000mi/yr, and you can pay extra to bump it higher.

5) 48 months is a long time for a lease

6) This really sounds like a purchase with deffered terms, not
something I would advise getting in to.

Given that you are still in college you would be far better off buying
a late model used Jetta or Golf, or if you need a larger vehicle, a
Passat.

Just my opinion,
Scott

Richard Potato

On Tue, 17 Feb 2004 00:40:28 -0800, Scott <spam784@spam.spam> wrote:

>On Tue, 17 Feb 2004 07:00:31 GMT, "Ray Beck" <raybeck@houston.rr.com>
>wrote:
>
>>$319*/month
>>FOR 48 MONTHS
>>
>>Plus final payment.
>>1.8% APR
>>$1,500 down payment
>>Excludes taxes, title and registration fees.
>>
>>*Payment based on 2004 Audi A4 1.8 T with multitronic Continuously Variable
>>Transmission, Premium pkg., 17" alloy wheels, destination charge. and dealer
>>prep., with selling price of $29,100. 48 monthly payments at $319/month
>>based on 1.8% APR total $15,312 plus a final Balloon Payment of $13,749.40.
>
>1) To get an advantage from leasing over buying you want your cash up
>front to be as close to $0 as possible, $1500 is a bad idea
>
>2) Taxes, titles and registration fees could be quite steep if payed
>up front. The normal for taxes would be paid over the course of the
>lease, each payment having a bit of tax. During the period of the
>lease you would only pay tax on the part you 'used', and would never
>pay the tax on the remaining portion unless you chose to purchase the
>vehicle at the ned of the lease.
>
>3) "Balloon Payment" does NOT sound like a leasing term. A lease has a
>residual value which you do not pay unless you choose to buy the car
>at the end of the lease.
>
>4) I do not see a mileage/year limit, all leases have these. The
>typical lease is 12,000mi/yr, and you can pay extra to bump it higher.
>
>5) 48 months is a long time for a lease
>
>6) This really sounds like a purchase with deffered terms, not
>something I would advise getting in to.
>
>Given that you are still in college you would be far better off buying
>a late model used Jetta or Golf, or if you need a larger vehicle, a
>Passat.
>
>Just my opinion,
>Scott
>

The lease is not to your advantage at all. Buy a used vehicle with a
standard bank loan with as much cash as you can afford. Suze Orman
would tell you this but she is out of the room at the moment.