What is a “One Pay” lease and why should I consider it?

A “One Pay” lease is a motor vehicle lease which you make one payment, upfront, pre-paying the entire lease. The lease companies that do offer such a lease structure offer you a (sometimes very significant) reduction in the interest expense on the lease as an incentive to you to give them the use of your money upfront.

Not all leasing companies offer a “One Pay” lease because they do not have the accounting software in place to handle such a transaction.

You do not need to make payments on a “One Pay” lease.

People with blemished credit history can often take out a “One Pay” lease and not pay a higher rate due to their past credit history.

It is not recommended to make a down payment on a “One Pay” lease.

Do not consider a “One Pay” lease if you think that you might want to break the contract or end it prematurely.