Leasing is a great way to get behind the wheel of your favorite vehicle, and it offers many benefits.

Leasing means enjoying lower monthly payments because you’re covering the depreciation over your lease term rather than its full purchase price. According to Bankrate, this approach can save drivers hundreds of dollars each month compared to financing a purchase, since you’re paying for the value the car loses while you drive it, plus interest and fees*. 

One of the biggest perks of leasing is having access to the latest technology. New models come with advanced features that may not be part of some older cars. This will largely depend on the make and model year.

Warranty coverage is another area where leasing shines. Most lease terms align perfectly with the manufacturer’s warranty—typically three years or 36,000 miles—so the cost of covered repairs is usually taken care of. That means fewer unexpected outofpocket expenses and more confidence on every drive.**

When your lease ends, you can choose to upgrade to a newer vehicle, purchase your current vehicle at a prearranged residual price, or simply walk away as long as you’ve stayed within the agreed-upon mileage and wear-and-tear guidelines.

To understand exactly how leasing works, think of it as a long-term rental. Your monthly payment is calculated by taking the truck’s capitalized cost—the negotiated price—subtracting its residual value at lease end, and dividing that difference by the number of months in your lease term.