Signed: 2019 KIA Optima S Lease Deal

A lot of people lease Kia cars for 24 months and then buy out the lease right away with a low interest loan. That way you get the huge rebate but don’t have to pay the ridiculous interest rate.

The Stinger GT2s have rebates over $10k right now.

1 Like

Do you think this deal is duplicable?
Im in the same region

I don’t think so :frowning:

I think it is. I got a similar deal for my sister last year. In March 2018, she leased a 2018 Optima S for $159.xx/mo with $788 DAS including NJ taxes and fees. It was the cheapest lease deal I’ve ever done, and I’ve struggled to get to those numbers on the class of car below it (Elantra, etc.) Hers was 24 month lease tho, 12k miles/yr.

That’s not how that works. Even if you buy out the car immediately, you still have to pay all of the interest that would normally accrue throughout the lease term, and KFS has very high MF on most cars.

Are you sure about that?


Yes. It’s a very common misconception about leases.

Is it? Multiple members on this forum have bought out their lease and not had to pay remaining rent charges.


Not sure what you mean. Lease payoffs are residual + remaining payments + taxes and fees.

Rent charges are included in the monthly payments which are added back into the payoff.

It means that what you are stating contradicts what many others have reported. So I’m wondering if you have first hand knowledge (and Kia is different) or if you’re just spitballing.


You just proved my point. In the second link, the payoff is $400 more than the negotiated sales price of the car including the loyalty rebate.

I’ve been in the auto industry for 5 years, I can guarantee you that you pay the rent charge no matter what in a lease. It may be difficult to see in situations with cars that have very low MF, but if you look at a lease with a high rent charge, you will see it very clearly.

I just checked my BMW FS account. Payoff is $32,860.94. Residual is $29,430.25. I have 19 payments of $179.42/mo left. If you do the math, the rent charge which is in the payment is included in the payoff.

Folks in this thread report they did not have to pay the rent charge for remaining months when buying car early in the lease.


The rent charge on that car is 0.00225 which works out to $208 per month. Not squabbling over $400, it’s insignificant compared to what the rent charge is.

The link you posted is in regards to paying off a lease, i.e. paying the remaining payments, not buying the car out.

Show us the math…maybe BMW is different. Maybe it’s because no one in their right mind would buy out a BMW lease so they just don’t bother :sweat_smile:

@cruiserchuck I am OP in that post. I did in-fact complete the purchase, and can confirm I saved ~$3200 vs making all of the lease payments + residual. I would assume the difference is the rent charge…


Correct. What I think you misunderstood in my previous post about the MDX is that the payoff includes all the residual + all of the monthly payments left + $400. That number doesn’t include taxes on the residual + MV fees. The rent charge is included in the payments. He is going to pay for the rent charge whether or not he buys the lease out today or tomorrow.

In addition, in the link I posted, this is the quote I am referring to:

“The money factor is built in to the monthly price and isn’t calculated each month like interest is. If you pay early, all you’re doing is paying early - the amount of the lease won’t change.”

I already showed you the math on one of my own cars, take the residual, add my remaining payments and you get my payoff approximately. This number will vary by a few hundred dollars, but it shows that the rent charge is included in the buyout.

It doesn’t matter whether you pay the balance on the lease, or buy the car out, you pay the rent charge regardless. Maybe @chevysalesgirl @ChevyPhil @BMW_Dave or others that work in the industry can comment and confirm.

From a finance perspective, the whole reason banks like doing leases is because the interest (rent charge) is guaranteed.

i dumped off my Audi lease after 9 months (2018 A6 is trash btw. overpriced Jetta). it was a 42 month lease so about 33 remaining payments.

I think the payoff was about 52k that I traded in based on Audi 10day payoff. About 1-2 months later I got a check back for like $2600 from Audi. I assumed rent interest return.

What? Again the rent charge was over $200 per month and he had 35 payments remaining.

also you just tagged a bunch of people who aren’t in F&I or work for a captive so I wouldn’t expect any of them to know for sure…dealer has NOTHING to do with a payoff.

1 Like

Interesting. Thanks for the clarification. It could’ve also been sales tax, but can’t tell for sure without seeing the documents. Maybe certain auto finance companies do it differently, and maybe I’m wrong about my statements - But, at Mazda (which uses chase and not a real auto finance company), the lease payoff included all remaining monthly payments as well, not just the principal. It was the same case at the equipment financing I’ve used in the past to lease trucks. I’ve learned that the hard way when the payoff was basically what I bought the truck for 9 months prior, not taking into account the almost $18k of payments I’ve payed thus far or my down payment.

but i traded mine in. i didn’t do a remaining payment payoff.

in a remaining payment payoff you pay the interest. that’s why i tell people, if you have money to pay it off, don’t put it in the new deal because then you pay tax/ interest/ etc on it twice for no reason. again depends if you have the money to take on a new car payment and payoff the old.

This second discussion may need to be in its own topic as a part of how leases work

1 Like