Leasing FAQ

This’s what most people will think about. Sadly, there are so many other considerations when choosing a dealership.

Aside from things like the colour(s), additional options or accessories, you should be thinking about the following.

Wow! That’s a lot to think about. Unfortunately, there is one thing that you should look at.

If there is one thing you should do before choosing a dealership, it’s whether you should finance or lease the next family vehicle.

If you were to ask your friends or family, they seem to have an opinion about which is better.
There are a number of factors that can influence whether you should lease or finance a vehicle.

The amount of kilometres you put on your vehicle on a yearly basis could influence your decision to lease or finance. Certain lease agreements normally only allow you to put a certain number of kilometres on the vehicle per year and charge a rate for every kilometre if you go over. Financing may be a better option for those who drive frequently and far. If you decide to lease, read your leasing contract carefully to learn if there is a cap and other restrictions.The biggest challenge people face with a lease is the mileage allowance. With a lease you are restricted to a certain mileage, which is predetermined by contract,in advance. If you know you are going to drive more than your allowable limit, you should build that extra mileage into yourcontract up front at a cheaper rate, rather than pay the excess mileage fee at lease end at a higher rate per kilometre. This will save you money.

While some people view driving as a chore, others view driving a pleasure. If you spend a lot of time in the car and highly value comfort, you may be attracted to models with luxury features such as heated leather seats, efficient climate control, spacious interior, and a high-end entertainment system. Therefore going for a lease may be an affordable way to allow you to drive a higher end model. Depending on the terms of the contract, at the end of the lease you may incur some additional fees on wear and tear or damages. Therefore pay close attention to your vehicle and set aside a budget in advance.

There may be income tax differences for business people between leasing and financing a car. With leasing, you are allowed to deduct your entire monthly payment whereas with financing you must depreciate your car according to guidelines set out by the Canada Revenue Agency.

If you continually lease a vehicle, monthly payments are lower, but they never end. If you decide to finance a vehicle, payments will end and the car will become your asset. If you enjoy innovative new technologies, seek the latest style, or cannot picture driving the same car for many years, leasing gives you the flexibility to switch your vehicle every few years.

With a lease, you are paying for the cost, or more accurately the depreciation, of the vehicle during the time period you will be driving it. When you lease a car, the leasing company actually owns the car, the ownership is in their name, and your contract is with them.
When you finance a car, you own it, and the ownership is in your name. On a monthly basis, lease payments are usually lower compared to financing payments. This is because when you lease a vehicle, you are paying for the depreciation of the car during your term rather than the full cost of the vehicle if you were to finance. Examine your monthly income flow, and evaluate how much money you can put towards a payment.
Both leasing and financing will affect your monthly cash flow therefore you should understand the math behind each option and the impact on you. Interest rates, down payments, frequency of payments are all important factors; therefore take the time to research which option works best for you and your situation in the long run.

Yes, there are option available. Contact Strickland's Brantford GM sales department to discuss the options available with your present lease.

Yes, it is possible to do an early or mid term inspection if you are planning to lease a new vehicle from Strickland's Brantford GM.

When repairs have been completed, it is important that you submit your receipts to our Lease Maturity Centre before you return your vehicle. Repair receipts must include a detailed description of the work performed. If you are unable to provide detailed receipts for the work performed, arrangements can be made to re-inspect the vehicle at your expense. Please note that GM Canada Financial Services reserves the right to re-inspect the vehicle before removing charges from your final invoice. If you have any other questions, please contact our Strickland's Brantford GM at (886) 315-1184.

The plates can be removed at the dealership at the time of its return as they are yours to keep.

If the vehicle sustains damage after the vehicle has been inspected, it is still your responsibility to have it repaired (example: vehicle is in an accident) or pay for the estimated cost of repairs.

The consumer is responsible for the lease-end value in an open lease. Conversely, the leasing company is responsible for the lease-end value in a closed lease.

The person who financed is in trouble here because the accident will cause a considerable drop in the vehicle's value. Provided the vehicle is repaired correctly, the person who leased can return the vehicle to Strickland's Brantford GM. The leasing company absorbs the depreciation caused by the accident.

Yes, as long as all drivers are listed on the vehicle lease agreement and also the vehicle insurance policy.

If you are returning the leased vehicle and you have gone over the allowed kilometers, a charge will be applied based on the overage. (Example 1,275km X .16 = $204.00 plus HST). Please note that if you know that you will go over the allowable kms., a discounted price per kilometer can be purchased at the time of the original lease agreement.

The HST will be paid on each monthly payment that you make and not on the full retail price of the vehicle.

You are responsible for insurance coverage. Required coverage typically is detailed in your lease agreement.

GM Financial has arranged for a third party company to contact you and book an appointment in order to inspect your leased vehicle. They will work with you to make the inspection as convenient as possible.

Yes, a down payment will be required at the time of the signing of the contract. In a lease situation, you may choose to use the down payment in order to reduce the monthly lease payments. Down payments on leases will vary based on the vehicle and model.

Most lease agreements require a first monthly payment on delivery of the vehicle, a refundable security deposit and other miscellaneous fees.

Yes, you are responsible for maintaining the automobile. A maintenance schedule is outlined in the owner's manual. *If you have any other questions, please contact Strickland's Brantford GM at (866) 315-1184 and ask to speak with one of our sales people.