Car Leasing Glossary - Base Interest Rate

Base Interest Rate (car leasing term)

Represents the interest paid on the usage of the vehicle in a lease. It is the 'cost' of a lease before factoring in discounts, fees, and penalties. Sub vented leases are often less costly because manufacturers lower the base interest rate. The phrase 'money factor' (define: money factor) measures the same cost, but expresses it in a less understandable fashion.

Car Leasing Base Monthly Payment