Narrowing all our luxury Volvo vehicles down to one is difficult enough, but that isn’t the only decision you need to make. You also need to decide if you want to lease your new vehicle or finance it. Our Volvo Financial Services experts at Fields Volvo Cars Northfield share an inside look.
How Financing Works
When you finance a vehicle, you apply for a loan to cover the vehicle’s total cost. Loan lengths, which are also known as terms, can last anywhere from 24 to 84 months. You’ll be responsible for paying the loan back in monthly payments, and it will have interest included (which is a fee you owe your lender). Once the loan is paid off completely, you’ll own the vehicle outright.
How Leasing Works
Most auto leases last 24 to 36 months. You’ll be responsible for making monthly payments that cover the vehicle’s estimated depreciation during your lease. Since a lease is essentially a long-term rental, you’ll need to return your vehicle to the dealership once it ends. Then, the vehicle will be assessed to make sure it doesn’t have excessive wear, and you didn’t exceed your mileage allowance.
Benefits to Each
When you finance a vehicle, you’re building up equity. It’s also beneficial because you can customize it, if you want, and drive it as much as you’d like. Since you only have to cover a lease’s depreciation, leasing a Volvo vehicle is typically much more affordable than financing one. Plus, it’s a convenient way to consistently upgrade to the newest models available.
Shop Our New Volvo Cars in Northfield, IL
There are certainly perks to financing and leasing. We’re happy to review the options to help you decide which is right for you. Visit Fields Volvo Cars Northfield to shop our new Volvo models today!