Example 2
The original lease on a $ 30,000 vehicle with a 48 month term, 8% interest and a $ 12,000 residual has a monthly payment of $ 515 plus taxes (assume 8% PST and 7% GST) for a total monthly payment of $ 592.25.
There are 8 months left on the lease and the current lease payout is $ 16,000 plus taxes.
This lease could be extended to a 24 month term and with no money down, using an interest rate of 8%, the new monthly payment would be $ 413 plus taxes with an $ 8,000 residual at 24 months.