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Capital cost reduction on a leased Cla 250

kylabg1kylabg1 Posts: 2
edited June 2016 in Mercedes-Benz
I put 10k down as capital cost reduction on my 2016 cla 250. When I look at what I will have paid at the end of my lease and then add that to the residual value listed I don't see any accounting for the 10k I put down. If I choose to purchase my lease, I will be paying 10k over the sticker price. Can that be right? I thought it would take 10k off the risidual

Well.. you pay finance charges within your lease payment, as well. Making a $10K CAP cost reduction reduces the CAP cost, and the depreciation you pay over the life of the lease. It doesn't reduce the residual, which is a constant.

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