Question about MSD's.

[shellbmb]

Looking into putting the max MSD on a lease which takes the MF down to .00076. Which in turn lowers my monthly about 100 bucks. So I'm putting down 8750 as a refundable deposit to save roughly 3600.

Is there a downside to this?

[kokopuffs405]

No downside, only way I would put money down on a lease.

Only downside is if you can take that same $8750 and make more than $3600 in 3 years.

[pillpusher84]

Originally Posted by kokopuffs405

No downside, only way I would put money down on a lease.

Only downside is if you can take that same $8750 and make more than $3600 in 3 years.

or if you default on the note

[BMW Haus]

Originally Posted by shellbmb

Looking into putting the max MSD on a lease which takes the MF down to .00076. Which in turn lowers my monthly about 100 bucks. So I'm putting down 8750 as a refundable deposit to save roughly 3600.

Is there a downside to this?

Is this an option on any lease? Any is there a max MSD?

[AGS]

Originally Posted by BMW Haus

Is this an option on any lease? Any is there a max MSD?

Yes, works on any BMW FS lease. You can do up to 7 security deposits (one month's payment each). Each one takes 0.00007 off the MF. It's a great program. For my lease it worked out to a 9.4% annual guaranteed, after-tax return. Can't beat that with a stick in this interest rate environment.