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> Normal leases are financed by banks

Last time I check, no banks did leases. Only the captive finance companies do leases. e.g. Ford Credit / Toyota Credit / GMAC / etc.

This type of financing has been done many times before, but for a different reason. New York and New Jersey have vicarious liability laws which means if the car damages your property, you can sue the owner of the vehicle. In a lease, the credit company has title of the vehicle, thus for a period, no leases were done in certain states, and they just did this same "guaranteed resale/baloon payment" loan.



My last lease was through US Bank.


I've leased through Chase Bank instead of VW Credit before because of a better money factor (residual was the same).




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