The money factor on an auto lease is similar to the interest rate on a loan.

Question

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The money factor on an auto lease is essentially the equivalent of the interest rate on a loan. It represents the cost of financing the lease and is typically expressed as a decimal, which can then be used to calculate the interest charges. Just like with a loan, a lower money factor (or interest rate) can result in lower overall costs for the lessee.

The Money Factor on an Auto Lease Is Similar to the Interest