lease car bad credit wilmington de
Leasing is a hugely popular way to get the brand-new vehicle you want without the commitment of long-term ownership. Because you only pay for the depreciation of the model during the time you’re driving it, leasing also typically results in lower monthly payments as well. However, the first thing dealerships and leasing companies look at when crafting your contract is your credit score.
This may lead you to ask the common question, “can you lease a car with bad credit?”. The team at Winner Chevrolet of Wilmington is here to help all drivers in New Castle, WILMINGTON, and Newark, Delaware, find the right leasing plan for you, no matter your background. We hope our guide to leasing may shine some light on the situation.
Leasing a Vehicle
Before credit plays any part in your journey, you must decide if leasing is right for you. Leasing is very different from purchasing a model since you don’t actually own the vehicle. Think of it as a long-term rental since leasing contracts typically last between two to four years.
During this time, you’re responsible for covering the monthly payments, insurance rates, and keeping up with maintenance. Monthly payments tend to be lower than if you were to buy because you don’t pay off the whole value of the model, just the depreciation. Maintenance is usually easy to handle as well since it’s a brand-new car and leases are backed by manufacturer warranties. Leases also have mileage limitations, but they are well within the range that the average person drives yearly.
When your lease is over, you will turn in the vehicle and pay any final fees. Buy-out options are also available for leases, or you can choose to lease another brand-new model.
How Your Credit Affects Leasing a Vehicle
When you choose to lease a model, the finance specialists at the dealership and the partnering leasing company will look at your credit report. If you have a credit score that is on the lower side, they may think it’s a risk to lease you a vehicle. To safeguard their decision, down payments and interest rates may be higher.
However, there are things you can do to prepare for this process, no matter what your credit score is.
- Improve Your Credit: Before you fill out your leasing paperwork, it’s important to know where your credit stands. This also gives you time to elevate your score. Start by disputing any erroneous items. Then, take steps to heighten your score further—always pay your bills on your time, keep your credit balances low, and pay off any debts.
- Down Payments: Making a larger down payment is a sign of good faith and can save you money in the long run as well. The more you pay upfront, no matter your credit score, the better your monthly payments and interest rates will be.
- Budget: Finding out how much you can spend and sticking with it is never a bad idea. Speak to the leasing experts at your dealership about your needs and restrictions, and they’ll be able to find you a lease that works well with your lifestyle.
Find Great Lease Deals at Winner Chevrolet of Wilmington
If you want to learn more about leasing with bad credit, no credit, or great credit, turn to the team at our authorized Chevrolet dealership. We’re happy to work with all our New Castle, WILMINGTON, and Newark, DE, customers to find a perfect financing plan and get you on the road in a vehicle you love. Schedule an appointment or stop by today!