Most people know that financing a car can help you build your credit score over time, but is the same true for leasing? And what if you decide to lease a used vehicle? Read on to learn whether leasing a used car can help build your credit, as well as some of the other benefits you’ll enjoy when you lease used.
Is Leasing a Used Car Good for Your Credit?
Many people make purchasing decisions based on how it will affect their credit. If you’re concerned about how leasing a car, rather than financing, will impact your credit scores, rest assured. Leasing a car helps build your credit history, just like a typical loan would.
Loans on any leased vehicle, including used cars, are a type of installment loan. In simplest terms, a used car lease is a debt you’ll pay in installments, or monthly payments. Installment loans not only let you pay off your debt over time, but they enhance your credit mix—or the variety of loans you have—in the process. As lenders notice you’ve made on-time payments to your installment loan, they’ll boost your credit score. It’s a win for your financial future, any way you look at it.
The Many Benefits of Leasing a Used Car
Aside from boosting your credit score, there are several benefits to leasing a used car. Here’s why so many people are choosing to lease used:
- Leasing used is affordable. When you purchase or lease a new car, the vehicle loses significant value as soon as you drive it off the lot. You’re covering the cost of that depreciation, which is at its worst the first couple of years the vehicle is on the road. When you lease used, the previous owner has covered that high depreciation, all you pay for is the depreciation to the vehicle as you use it. That means your monthly payments are much lower, saving you money every month.
- Get the vehicle you want. Since monthly payments are much lower when you lease used, you can afford a nicer car for your money. Want a nearly new vehicle with the latest infotainment systems? Looking for a family car that’s packed with safety features? When you lease used, you can afford to get the car you want, without sacrificing features.
- Maintenance is covered. Most dealers offer certified pre-owned vehicles for used car leases. How does that benefit you? These nearly new vehicles are well cared for, plus you can take advantage of the wide variety of warranty products from Drivrz Financial to cover unexpected repairs and normal wear and tear. Say goodbye to high prices at the repair shop for good!
Leasing a Used Vehicle Builds Your Credit!
If you’re looking to score a new-to-you ride and build your credit in the process, leasing a used car is a no-brainer. Ready to find your dream car? Reach out to the used car leasing financing experts at Drivrz Financial today at (800) 436-0476, and we’ll connect you to a participating dealer near you!