Is down pay all expense a way to go

Hello all,
I went to Kia today and got the deal in the website. However, after run the credit, they got a lower score than I usually get from other website. This way the monthly payment will be more than $65, which totally ruin the deal. But we do not want to miss the deal, so is it a way to go just to downpay the expense of 2year, which is less then $5000. What is the good and bad side of it? Is it a way to go? They said they will check with bank next week but I do not know what will be the outcome. Thank you. It seems no one has discussed about this.

I’ve seen this discussed a few times here.

Yes you will save some finance charges by doing a single pay lease, but if you are in an accident and the car gets totaled, insurance will pay off the lease to the lease company and you will be out your single lease payment. That’s not a risk I would personally be willing to take unless I was paying only a couple thousand dollars or less.

Thank you. So basically you are not recommending this way because the risk of car totaled? Is any other cases that will lose these money? Some minor accident should be OK in this sense, I think. After spending a lot time on it, I just do not want to ruin it for my own reason.

My opinon, I would do a single pay lease if it only cost maybe $3,000 or less. Any more than that, you risk losing your money if somebody plows into you and totals your car.

One of the benefits of leasing is very low risk, and doing a single pay lease introduces risk into the transaction. The minimal cost savings over 2-3 years is not worth the added risk to me, but I’m not a millionaire, so maybe if I had more disposable income it would not matter to me!

Thank you. That is very helpful.

I believe the statement that you’re out all your upfront money might not be accurate.

If you owe a leasing company 12 more payments or they’re holding your payments because you prepaid and you had a total loss accident should not matter. I was told that they would divide the prepayment by the amount of months you leased the car for and if you had for example 12 mo left on the lease give you 12 payments back.
In another case i was told that the residual at the time of the accident would determine how much you’d get back.

What I’m trying to say is that one should do their own homework with a specific leasing company to find the answer in that particular case because the generalization of “being out all your money” might not be accurate.

I was only using this article as a guide:

But you are correct, if you can get unused lease portion returned to you, then there would be no disadvantage. Must read the fine print…

This is the best answer so far. Last time I checked, Mercedes AKA MBFS refunded the prorated portion of your one-pay lease if totaled, stolen, etc.