# Should I reduce MF by paying MSDs? **URL:** \ **Category:** Off-Ramp\ **Tags:** suv, volvo\ **Created:** [March 9, 2019, 7:31pm UTC](https://forum.leasehackr.com/t/should-i-reduce-mf-by-paying-msds/107856 "2019-03-09T19:31:25Z")\ **Posts on this page:** 7\ **Page:** 1
**Author:** ![1pcnt](https://leasehackr.b-cdn.net/letter_avatar/1pcnt/32/5_5575768a8748004e209b776fc1b2916d.png) [@1pcnt](https://forum.leasehackr.com/u/1pcnt)\ **Post date:** [March 9, 2019, 7:31pm UTC](https://forum.leasehackr.com/t/should-i-reduce-mf-by-paying-msds/107856/1 "2019-03-09T19:31:25Z")
I got a lease quote for an SUV with a money factor of 0.00083 I can pay 10 MSDs worth 5500$ to reduce the money factor to 0.00033 This reduces my monthly payment by 42$ (according to lease hackr calculator). So I’ll be saving roughly 1550$ over 36 months lease if I do MSDs which is like a 27% return on my money. Am I stupid not to do it? I see a lot of posts on here that says MSDs are always good idea and some posts saying that you’ll lose MSDs if you total the car, terminate the lease early or transfer etc. Is this true for Volvo? ---
**Author:** ![Bruce\_Smith](https://leasehackr.b-cdn.net/user_avatar/forum.leasehackr.com/bruce_smith/32/9264_2.png) [@Bruce\_Smith](https://forum.leasehackr.com/u/Bruce_Smith)\ **Post date:** [March 9, 2019, 7:35pm UTC](https://forum.leasehackr.com/t/should-i-reduce-mf-by-paying-msds/107856/2 "2019-03-09T19:35:03Z")
You’ve done the math. You’re correct, do the MSD’s ---
**Author:** ![doug94538](https://leasehackr.b-cdn.net/user_avatar/forum.leasehackr.com/doug94538/32/26168_2.png) [@doug94538](https://forum.leasehackr.com/u/doug94538)\ **Post date:** [March 9, 2019, 7:38pm UTC](https://forum.leasehackr.com/t/should-i-reduce-mf-by-paying-msds/107856/3 "2019-03-09T19:38:49Z")
always MSD’s as much as possible ---
**Author:** ![b1gpapa](https://leasehackr.b-cdn.net/letter_avatar/b1gpapa/32/5_5575768a8748004e209b776fc1b2916d.png) [@b1gpapa](https://forum.leasehackr.com/u/b1gpapa)\ **Post date:** [March 9, 2019, 7:39pm UTC](https://forum.leasehackr.com/t/should-i-reduce-mf-by-paying-msds/107856/4 "2019-03-09T19:39:28Z")
Do you lose MSD’s in the case of a car being totaled, or terminating a lease early? ---
**Author:** ![jrod78](https://leasehackr.b-cdn.net/letter_avatar/jrod78/32/5_5575768a8748004e209b776fc1b2916d.png) [@jrod78](https://forum.leasehackr.com/u/jrod78)\ **Post date:** [March 9, 2019, 7:40pm UTC](https://forum.leasehackr.com/t/should-i-reduce-mf-by-paying-msds/107856/5 "2019-03-09T19:40:23Z")
No you don’t. Good move as long as you have the cash. ---
**Author:** ![1pcnt](https://leasehackr.b-cdn.net/letter_avatar/1pcnt/32/5_5575768a8748004e209b776fc1b2916d.png) [@1pcnt](https://forum.leasehackr.com/u/1pcnt)\ **Post date:** [March 9, 2019, 8:16pm UTC](https://forum.leasehackr.com/t/should-i-reduce-mf-by-paying-msds/107856/6 "2019-03-09T20:16:28Z")
At what point does lowering the MF using MSDs becomes moot? If say you can invest the same amount of money in Index funds or stock market and get more returns than with MSDs, then is that better? I’m thinking the avg in the stock market would be in the 10-20% returns over 3 years which isn’t guaranteed. So putting it as MSDs which guarantees more than 20% return makes sense. The only time when lowering MF using MSDs don’t make sense is that if the MF is already very low that the savings per month isnt that much different w/o MSDs thereby your returns are \< 20%. Am I thinking this right? ---
**Author:** ![Jrouleau426](https://leasehackr.b-cdn.net/user_avatar/forum.leasehackr.com/jrouleau426/32/195763_2.png) [@Jrouleau426](https://forum.leasehackr.com/u/Jrouleau426)\ **Post date:** [March 9, 2019, 10:44pm UTC](https://forum.leasehackr.com/t/should-i-reduce-mf-by-paying-msds/107856/7 "2019-03-09T22:44:24Z")
Guarenteed returns are much safer then playing the stock market roullette wheel. Especially with elections coming up.