Acquisition (loan origination) fee, when leasing a new car?
I am negotiating to buy a new Lexus. I’m in Northern California. The dealer charges $700 “leasing origination fee”. I think some place refers to this fee as an “acquisition” fee. The problem is that I’m not going to a different leasing company. I’m getting the lease thru Lexus Financial. BTW, the dealer is willing to offer the car to me at $1000 below dealer invoice. According to the link below, it seems to me that I’m getting charged $700 extra. What do you think? http://www.automotive.com/auto-loans/36/loan-tips/car-leasing-faqs.html The Undisclosed Acquisition Fee An acquisition fee is required by most leasing companies in order to open a lease. This fee, also known as a lease origination fee, is usually around $450, but can be as high as $700. Originally this fee was invented by the dealers, who would claim the car leasing company charged the fee. The dealer would then pocket the fee. But the leasing companies caught on, and began charging the acquisition fee on their own. The deal
