1 Vehicle & Lease Terms

Enter the core numbers from your dealer's lease worksheet.

Auto-fills MSRP, Residual %, and Money Factor. You can override any value.
$
The sticker price before any discounts.
$
?? If the dealer won't negotiate the sale price, they're padding the lease.
$
?? Money down on a lease is risky — if the car is totaled, you lose this money.
$
Applied as additional cap cost reduction.
?? Dealers quote a Money Factor because 0.00125 sounds tiny. It's actually 3.0% APR.
%
Higher residual = lower payment, but zero equity.
$

2 Hidden Fees Exposer

Fees dealers bury in the fine print. Every dollar here costs you.

$
Charged by the leasing company to originate the lease. Almost never negotiable.
$
Charged when you return the car — even in perfect condition.
$
Dealer's documentation / processing fee.
$
$
Varies wildly by state.
%

Dealer Add-Ons

Check any add-ons the dealer included. Most are available cheaper aftermarket.

$
Total Hidden Fees $0
Total Dealer Add-Ons $0
Fee Load 0%

3 Lease Breakdown Dashboard

Step-by-step: where every dollar of your lease goes.

Negotiated Sale Price
$0
+ Fees Rolled In
+ Fees Rolled Into Cap
$0
- Reductions
- Down Payment
$0
- Trade-In
$0
=
Adjusted Capitalized Cost
$0
- Residual
- Residual Value
$0
=
Total Depreciation
$0
Monthly Depreciation $0
Monthly Finance Charge $0
Monthly Pre-Tax Payment $0
Monthly Tax $0
Monthly Payment (Total) $0
Fee Amortization / mo $0
Total Monthly Payments $0
+ Down Payment $0
+ Disposition Fee $0
+ Upfront Fees $0
Total Lease Cost $0
Effective Monthly Cost $0 The real cost per month including everything

4 Dealer Markup Detector

Is the dealer padding your rate? Let's find out.

Credit Tier Score Range Buy Rate MF Typical APR
Excellent (Tier 1) 720+ 0.00050–0.00100 1.2%–2.4%
Good (Tier 2) 680–719 0.00100–0.00175 2.4%–4.2%
Fair (Tier 3) 640–679 0.00175–0.00275 4.2%–6.6%
Subprime (Tier 4) 600–639 0.00275–0.00400 6.6%–9.6%
Deep Subprime < 600 0.00400+ 9.6%+

APR Visual Scale

0–3%
3–6%
6–9%
9%+
You
Buy Rate

Estimated Dealer Profit Breakdown

MF Markup Profit $0
Add-On Profit $0
Invoice-to-Sale Margin (est.) $0
Estimated Total Dealer Profit $0

5 Lease vs. Buy vs. Finance

Side-by-side — which option costs you the least?

Finance (Loan) Parameters

%
$
Metric Lease Buy (Cash) Finance
Monthly Cost $0 $0 $0
Total Cash Out $0 $0 $0
Vehicle Equity at End $0 $0 $0
Net Cost (Cash - Equity) $0 $0 $0
Cost Per Mile $0 $0 $0

Leasing is renting — you build zero equity. But it can make sense if you want a new car every 3 years and drive fewer miles.

6 Visual Cost Breakdown

See where your money goes at a glance.

Monthly Payment Breakdown

Depreciation
Finance
Tax
Fees
Depreciation Finance Charge Tax Fees (amortized)

Total Lease Cost Breakdown

Total $0
Depreciation Finance Charges Taxes Fees Down Payment

7 Negotiation Tips & Red Flags

Context-aware advice based on your numbers.

Enter your lease details above to receive personalized advice.

Car Buying Essentials

Knowledge is your best negotiation tool. We strongly recommend scanning the vehicle's paint with a digital coating thickness gauge before signing any lease to detect undisclosed body repairs. Once you bring the car home, protect the factory finish immediately using a premium ceramic coating kit to avoid costly excess wear and tear charges at lease turn-in.

How Does a Car Lease Work?

When you lease a car, you aren't buying the vehicle; you are paying for its depreciation during the term you drive it. The dealer starts with a Capitalized Cost (the negotiated sale price), subtracts the Residual Value (what the car is predicted to be worth at the end of the lease), and divides that depreciation over your lease term. They then add a Finance Charge calculated using a "Money Factor" (which can be converted to an APR by multiplying by 2,400). Dealers often inflate this Money Factor and hide add-ons in the Capitalized Cost, masking the true cost behind an appealing monthly payment. TrueLease strips away the jargon, revealing the dealer's hidden profit margins and helping you compare leasing versus buying.

Frequently Asked Questions

What is a money factor on a car lease?

Money factor is the leasing industry's way of expressing the interest rate as a small decimal. To convert money factor to APR, multiply by 2,400. A money factor of 0.00125 equals 3.0% APR. Dealers are not required to disclose the money factor — you must ask for it and do the conversion yourself.

Is it better to lease or buy a car?

Leasing costs less per month but you own nothing at the end. Buying costs more per month but builds equity. Leasing wins if you want a new car every 3 years, drive under 12,000 miles/year, and value lower payments. Buying wins if you keep cars 7+ years, drive high miles, or want to modify the vehicle.

What fees should I watch for in a car lease?

The most expensive hidden fees are: acquisition fee ($500-$1,000), disposition fee ($300-$500 at lease end), excess mileage ($0.15-$0.30/mile over limit), excessive wear charges, and early termination penalties. Always negotiate the capitalized cost (sale price) down before discussing monthly payments.

A car lease calculator converts the dealer's money factor into a real APR interest rate, exposes hidden acquisition and disposition fees, and compares total cost of leasing versus buying. Enter MSRP, residual value, money factor, and term to decode the true cost of the deal.