I'm finalizing my first lease... learning a lot of details...

This is a BMW lease by BMW Finance. I'm told there's a fee, like a bank origination fee or something... that's tagged onto the Cap Cost. In this case, for a 2010 550i, it's $925 on top of the negotiated cost of the car.

Can someone verify this? Is this correct? Is this normal? Is the amount about right? There are sooo many fees and extras applied that my own calculations are quite different from what the dealer gave.

Appreciate your help in advance.

I just learned this is the bank acquisition fee... like points.

Has anyone successfully negotiated this? Is $925 reasonable for a new model BMW 550i type car? This is all pretty crappy...

Can the BMW dealer waive this since it's a BMW financed vehicle? My near perfect credit score have anything to do with this?

Again.. thanks!

The bank acquisition fee on a lease is charged by the lessor (bank or mfg) that covers a couple of things on the lease.

Residual Value Insurance
GAP Insurance
Contingent Liability Insurance

This is because they own the vehicle and have some exposure.

All leases, no matter from a bank, lease agent, or the car company have a lease acquisition fee.

BMW has a high one at $725 per lease. BMW dealers are allowed (by BMW) to mark up this fee by up to $200 for extra profit. Sounds like that is what your dealer did. You can TRY to get them to come down to "cost" on the fee, but that can be hard to do at a BMW dealership.

Note that they probably also jacked up your lease money factor for additional dealer profit as well. I think EVERY BMW dealer does this to some degree. You can ask here in the "Manufacturer Auto Lease Rates" forum and get the "buy rate" for your model BMW and compare to what the dealer is offering.

Dennis