What credit score do you need to lease a car

what credit score do you need to lease a car

What Credit Score Do I Need To Lease A Honda?

October 2nd, 2012 | Author: Stephanie

[L]easing a car used to be a very popular and viable option for people who wished to drive new vehicles and were willing to change cars every few years. Basically, a lease is not the same as a car loan. You pay for the right to drive the car for a set number of miles for a finite period of time, but you do not own it unless you “buy out” the vehicle at the end of your lease.

Hondas are considered some of the most reliable and fairly economic imported vehicles. They are Japanese cars which are quite popular in the United States, because they have good gas mileage and are generally more affordable than other imports such as Toyota or Volvo. Also, Hondas are consistently ranked among the safest vehicles and generally have affordable car insurance and maintenance costs.

It is sometimes much harder to lease a Honda than to outright buy one. Lenders are putting a lot of faith in their customers’ responsibility. A damaged car or one driven too many miles will make it difficult for the lender to re-sell the vehicle as a certified used car after the lease expires. Generally, you must

have at least a 700 credit score to lease a Honda.

Credit scores range from 300 to 850, and even a 700 credit score does not guarantee you will be allowed to lease a Honda or any other vehicle. Generally, a lender will want to verify your income as well as the length of time you have been at your job. If you are self-employed, you will have a much more difficult time getting a Honda lease than someone who has been at a traditional job even for a year or so. In some cases, you will also need to pay leasing fees of as much as a few thousand dollars upfront.

If your credit score is less than 700, you can still try to qualify for a lease. But you will need to ask for a shorter term such as 24 to 36 months and be prepared to offer a down payment.  If you have a history of paying other vehicle leases or car loans in a timely manner, this will help you greatly. Visiting a Honda dealer near the end of a month will also encourage salespeople to help you a little more. After all, salespeople have quotas and want to make money about as much as you want to lease a new Honda.

Source: www.creditscoreresource.com

Category: Credit

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