Automobile Lease

Automobile Lease

A way to structure the purchase of an automobile. Rather than buying a car outright, the buyer rents the vehicle from the seller for a certain period of time, after which the buyer either returns the car or purchases it for a price agreed upon in the lease. Payments are usually lower on a lease than on a car loan, and it is easier to qualify. The buyer also bears no risk for the car's depreciation because he/she can simply return the automobile at the end of the term. The seller, on the other hand, is allowed to effectively sell the car at least twice: once new and once used. However, automobile leases generally are not considered good investments if a person wishes to use a car for a long period of time. It often also comes with more stringent terms, such as a limit on the number of miles one may drive in a year. See also: Capital Lease.
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The securities are backed by beneficial interests in a pool of new retail closed-end automobile lease contracts underwritten and serviced by General Motors Acceptance Corp.
Standard & Poor's today assigned its ratings to the class A and B asset-backed notes issued by World Omni 2001-A Automobile Lease Securitization Trust (see list).
The rating action follows Market Street's $117 million purchase of automobile lease receivables.
Westar Financial Services, Incorporated (OTC Bulletin Board: WEST), historically a prime credit auto lessor, today reported it is the first ever to simultaneously originate prime consumer automobile lease and loan contracts for itself and others through four separate origination channels, including three separate e-commerce paths.
WEST is the only publicly traded automobile lease finance company focused solely on the prime-credit segment of the $530 billion auto finance market.
The securities are backed by beneficial interests in a pool of new retail closed-end automobile lease contracts and represent the first public automobile lease securitization by General Motors Acceptance Corp.
12 /PRNewswire/ -- Westar Financial Services Incorporated (OTC Bulletin Board: WEST) announced today that it originated the first-ever 100 percent online consumer automobile lease.
General Motors Financial Company, a financial unit of General Motors Corporation (NYSE: GM), has signed a contract to acquire FinanciaLinx Corporation, one of the largest independent leasing companies in Canada, which offers automobile lease financing solutions to customers throughout the country.
The company facilitates automobile lease transfers and easily and affordably matches car shoppers with drivers wanting out of their leased vehicle.
An attorney specializing in personal injury and entertainment law compares the benefits of leasing or buying a car, explains the up-front and ongoing costs of leasing, and offers advice on shopping for an automobile lease.
The SCRA provides similar rights to servicemembers when they wish to terminate an automobile lease.
The program is very similar to an automobile lease, where a dealership provides all the repairs for a vehicle owner.

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