Money factor discount if already with BMWFS

[KnightsCapone]

I heard today that I will get a discounted money factor on a new lease if I was with BMWFS before or when I broker my new lease deal...anybody heard of this and how much discount?

[Thrumcap]

I was at the dealer last week and they did not mention that. They did confirm that you can put up to 7 security deposits down to lower money factor.

[outie]

You are required to pay one deposit at lease signing unless a) you are a current BMWFS customer, or b) you increase the money factor to waive it. You don't get a reduction in the MF for this one required deposit.

If you are an old customer, you are in effect getting a discount of the MF assuming you don't want to pay any security deposit. However, as someone wanting to maximize the deal, he/she would put down that 1 security deposit, and 7 more to bring the MF down by a maximum of .00049. So, being a current customer only has the benefit of having 1 security deposit waived.

[KnightsCapone]

So if my money factor is .00245..with the already discounted .00015 because im an old customer and I can buy up to 7 more buy downs...how do I know how much each buy wn costs and how many points does each buy down discount the money factor

[Thrumcap]

You can do up to 7 security deposits at a discount of .0007 each for a total of a .00049 discount.

[outie]

Each security deposit amount is equal to your monthly payment.

[dimabimmer]

sorry I'm not great with math... if I put 7 security deposits each equal to monthly payment, and if that brings money factor down a bit, how much my lease payment would be for the lease term (aproximately)?
As an example: M3 MSRP $59,275- 10k miles/year- 36 months- estimated payment $1047/month...... how would 7 security deposits affect estimated monthly payment?
Could anyone crunch this for me and give me the formula? Thanks!

[outie]

Do you know the negotiated price, residual & MF?

You can use this calculator:
http://www.leaseguide.com/calc.htm

[dimabimmer]

^^^
that's a good one> thank's!

[dimabimmer]

so, what multiple deposits do? Lower cap cost? Deposits are not downpayment?

[outie]

Originally Posted by dimabimmer

so, what multiple deposits do? Lower cap cost? Deposits are not downpayment?

each multiple deposit decreases your MF by 0.00007, up to 7 which is 0.00049 (or 1.176% if you are converting to interest rate).