Mercedes One Pay Lease (discount)

Ask the Hackrs
1

Does anyone know how paying the intire lease cost upfront will affect the pmt? A dealer told me it will not make much of a difference. This confused me since I would think there would be more benefit than MSD. The Leasing company essentially has no risk.

2

I’ve seen there’s not much of a different or worth it enough to drop a large sum at once. Don’t expect like a 5k discount or anything high.

3

Certain manufacturers make one pay worth it, but I do not think any of them are German.

4

It discounts 80 basis points off the money factor for MBFS

5

Thanks coolryans. Would an 80 bps reduction of money factor be = 0.8% \ 24 = .00033?

Thanks

6

No it would be .00080 off the money factory

7

Thanks you very much. I am currently negoating a deal with a Benz that has a money factor of .00081. Just to confirm using the one pay will bring the money factor down to .00001?

Also, did you get this info from MB Financial? I’d like to be able to call the dealer out.

Thanks again, this is extreamly helpful.

8

Yes I used to work for a Mercedes dealer and I just texted my buddy and confirmed it is still 80 basis points off. They will try to bump up the discount rate and pull wool over your eyes, it’s an easy way to make money on the backend.

9

Awesome thanks Ryan. Greatly appreciated

10

Run the numbers through the calculator, but it looks like one pay isn’t worth it on manufacturers who offer msds. You can get a similar impact with much less out of pocket by using msd’s.

11

Yup, def. better to use MSD’s since MB still offers it