Leasing a Car & Your Credit Score
If you want to know what credit score you need to lease a car, the answer may depend on a few things, but for the most part, your credit score should fall between the Good and Excellent range on the scale above.
Other factors that help you lease a car are your past history on vehicle payments, housing or rent payments, and if you make timely credit card payments. All of these show on your credit report and if you have defaulted on a car loan in the past, even if your other payments have been on time, a lease finance company may deny you the ability to lease a car based on that default.
Lease finance companies that work with dealerships to help people lease cars, also take into consideration if you can make the down payment needed and also look at your debt to earnings ratio to see how much ready cash you have available once your monthly obligations are met. If they feel your debt to earnings ratio is too high, even if you have a good credit score, again you may be denied.
The best credit score to lease a car is either an excellent score or one that falls on the high side of the good scale and also have a credit report that reflects you do pay your monthly obligations on time.
In addition, it can take some finesse on the dealership side as far as arguing your case to the lease finance company.
Car leasing is becoming more and more popular for people who want to get into a new car ever two to three years, but when it comes to what credit score to lease a car is best, first to know your score, look at your credit report for any errors or mistakes, and if your credit shows a good payment history, you will more than likely be able to lease the car you want if your score falls in the accepted range.
- 2011 Ford Mustang (Ford Media Room - http://www.media.ford.com)
- 2011 Ford Fiesta (Ford Media Room) - http://www.media.ford.com)
Jean Scheid is a registered user of Ford's Media Room