Understanding How Lease-to-Own Car Programs Work


Also called rent-to-own, a lease-to-own program is a great option for anyone struggling with poor credit. Whether you’ve been turned down for a traditional auto loan or you have yet to establish credit, a lease-to-own car may just be the answer.

How Lease-to-Own Works

A lease-to-own car program establishes a specific agreement between the dealer and buyer. Essentially, you rent the car for as long as you drive it, but instead of turning it into the dealer at the end of the term like you would with a traditional lease, the money you’ve spent on rental payments goes toward its final purchase, giving you the option to buy the vehicle at the end of the term.

As with any lease-to-own programs, you should weigh the pros and cons.

Benefits of a Rent-to-Own Vehicle

Obtaining a car through a lease-to-own program comes with several benefits. There are no credit checks, and you’ll be the owner of your vehicle at the end of the lease term. If you have poor credit, it’s a smart idea to ask the dealer if your payment history can be reported to credit bureaus, which will help you rebuild your credit.


There are no warranties on lease-to-own cars and, since there’s no interest, the cars themselves are usually marked up in price. You’ll also need to make more frequent payments than with a traditional loan.

A rent-to-own vehicle is a wonderful option for anyone struggling with credit issues. Contact Reliable Auto Sales to find out more about our program.
Image via Flickr by houdoken


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