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      01-05-2019, 06:20 PM   #30
peakjunkie
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Drives: BMW X5 + 230i vert
Join Date: Aug 2018
Location: So. Cal.

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Quote:
Originally Posted by 4DRS55 View Post
(Net Capitalized Cost + Residual Value) x Money Factor is the formula used to get monthly finance charge.
With all due respect, this is far too simplistic of an explanation and not accurate. The Leasehackr Calculator is the best one I know since shows how payments vary by state.

But essentially: Your Negotiated Price - (MSRP x Residual Value) = the amount you must pay over the length of the lease.

Then: (The amount you must pay / # of months) * Money Factor (interest rate) = monthly lease payments before tax, license, fees, etc.

Hope this helps - there are some super sophisticated people on this forum but also some inexperienced people that I would hate to see confused.
Appreciate 1
M2COMP494.50