A good thing: two days later, he was hit at an intersection, and the Camrywas totaled. If he hadn’t gotten GAP, the difference between what the car (^)
insurance company was willing to pay and what was owed on the lease(since all interest is always collected on a lease) was over $3,000! But the (^)
GAP policy paid the difference, and my friend wasn’t out of pocket foranything.
PREPAID MAINTENANCE
Prepaid maintenance contracts can be an excellent idea if you are leasing;I make sure to include them on most expensive European cars, as they
cost less than the recommended maintenance if you follow themanufacturer’s schedule.
Others—especially 3can go (perhaps only to that particular dealer) or overpriced. They runrd party-backed ones—can be restrictive in where you
anywhere from $300 to over $1,000. The margin on one isn’t that high($150 is quite normal) so there’s not much room to negotiate.
As an example of a good one, I’ll point to Audi’s AudiCare plan. It pays formost of the major services, and costs $790—much less than the total for
the covered services on their own. And, Audi Financial will add 1 percent tothe vehicle’s residual value, meaning you only really pay about half of that
(since the higher the residual, the lower the payment).
barry
(Barry)
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