The decision to buy or lease depends on a number of factors, including how long you intend to keep the
car. Before you sign the deal, weigh the pros and cons of both options and consider your top priorities when
shopping for a car.
Leasing - Drive a new car every few years
Pros
- Lower monthly payments compared to an
auto loan.
- Convenience of driving new cars with the
latest features.
- Leased vehicles are protected by a warranty.
Cons
- Restrictions on mileage, customization and
wear-and-tear.
- Unexpected lease-end fees can be costly.
- Pay more in the long run compared to
buying a car.
Leasing tip: Be sure to check the fine print of a leasing contract for fees and restrictions.
Buying - Get the most value
Pros
- Lower cost of ownership in the long term
compared to leasing.
- Build resale or trade-in value.
- No restrictions on the number of miles
you drive.
Cons
- Higher monthly payments compared to a lease.
- Repairs are your responsibility (if out of
warranty).
- You’re responsible for selling or trading in
the car.
Buying tip: A low-rate auto loan helps make buying even more affordable. When you
pay off the loan in the future, you’ll free up money to focus on other goals.