BMW lease end buy back loan recommendation

[traveller]

Hi,

I have a BMW lease ending in 3 months, and the plan is buy it back. Couple of questions.

1. What’s the best timing financially to buy back? I assume at the very last month.

2. Any recommendations on getting a loan? And how does that work logistically? Do I apply loan and they send a check to bmw, or they send me a check, I deposit, and I send another one to bmw? What about the title? Top credit tier.

3. My alternative is getting a loan from 401. The self interest is about 7%

[forbs]

1, the first month, so you don’t have to pay interest Not the last month

2. See link
   The Best Finance Rates & Hacks! Submit your CU recommendations!

3. 7% sucks, #2 has lower rates.

[jeisensc]

@traveller

What’s the best timing financially to buy back? I assume at the very last month.

That depends on your lease MF: you’re paying a rent charge and tax every month. My guess would be ASAP but depends.

@traveller

Any recommendations on getting a loan? And how does that work logistically?

Worth reading, even if Dave doesn’t process your buyout

How To Buy Out Your BMW Lease

If you leased your BMW in 2018-2019 chances are you’re surfing this forum and wondering how you’re going to afford $150 more per month for the same model you got two and half years ago. Programs have changed (a lot) during that time and with the long term effects of COVID and all the production shortages, the market has completely flipped on its head in the last 4-5 months. Most models are selling at MSRP and many others are getting large addendums of $5-10k over MSRP (Telluride…are you kidding…

I’d personally shop for the best financing rate I could from a lender I could tolerate for the term.

@traveller

My alternative is getting a loan from 401. The self interest is about 7%

Unless your credit is destroyed, this isn’t a good option.