I am trying to calculate the monthly payment on my own, have done it a few years back and remember it being straightforward but want to double check. Can you check my math or point out what I am missing?

Cap cost - $31423
RV - $17501
Down - $1000
Terms - 48 months
Money factor - .00197

I take cap cost minus RV and divide by 48. To this I take cap cost plus RV and divide by 48. Add these two together multiply by my tax rate and I should have the monthly payment.

One question I have is where are the 'fees' in this formula? Fees being acquisition cost, doc fees, and security deposit if any. Also in the acquistition fee I see in most of your programs it is 'included'. Does this mean it is factored into the money factor?

Thanks,
Scott

Scott-

The formula our lenders use is:

Cap Cost - Residual Value / Term = Depreciation
Cap Cost + Residual Value X Money Factor = Interest

Depreciation + Interest = Base Monthly Payment (before tax)

We include all fees when quoting payments except for tax, title and license fees. The fees that are included are shown on the disclosure page when you click on a lease program.

-Tarry Shebesta
www.LeaseCompare.com Forum Moderator

Having done the math, and even discounting the tax & title, and including the acquisition fee, there still seems to be some other fees.

Are there any other fees beside the acquisition fee that is added to the cap cost by the Quote generator?

On a used car, there will be an inspection fee included in the figures. It threw me off when I was trying to account for every dollar when I was thinking of a used car lease - checking my math VS the calculator here.

Dennis

As of now, the monthly payment quote DOES NOT include Bank Acquisition Fee, Documentation Fee, and Inspection Fee. Its being listed at the Amount Due at Signing section. Am I correct??

So these fees plus first and last month payments are due at signing? Can I roll them into the monthly payment?

Okay, I figured it out . The monthly payment quote is lender dependent.
For Bank A and B, the monthly payment quote DOES include Bank Acquisition Fee, Documentation Fee, and Inspection Fee.

However, for Bank D (which seems to be the only lender that offers 2 year lease terms)
the Bank Acquisition Fee, Documentation Fee, and Inspection Fee are being listed at the Amount Due at Signing section. So the quote does not include these fees.

Yes, this finance source does not allow the fees to be capitalized into the lease.