The decision whether to buy or lease your vehicle usually depends on your personal preferences and the specifics of your financial situation. Using traditional financing to purchase your vehicle will cause your monthly payments to be based on the entire value of the vehicle. It also means you will own the vehicle at the end of your financing term.

If you intend to make any customizations to your vehicle, traditional financing is probably best for your needs.

When leasing, you pay only for the portion of a vehicle you expect to use during your specified lease term. For example, if you lease a $20,000 vehicle, and that vehicle’s estimated worth at the end of your lease is about $9,000 (residual value), your resulting monthly payments will be based on the $11,000 difference.

Leasing offers you the following advantages:

• A lower monthly payment
• Little to no down payment
• More vehicle for the money
• No resale or trade-in - simply return the vehicle to your dealer at lease-end
• Short lease terms enable you to repeatedly lease new vehicles
• Potential tax advantages - i.e. lease vehicles used for business can provide tax deductions

SmartBuy™ *

SmartBuy is a program that enables you to own your vehicle and lower your monthly payments. The low payment is possible because each month you pay for the portion of the vehicle you expect to use plus a finance charge. At the end of your contract you have several options, including a final balloon payment or the advantage of simply returning your vehicle and paying a $250 disposal fee. (SmartBuy is available with modifications in North Carolina and Washington, D.C.)

SmartBuy offers a variety of advantages:

• Low monthly payments
• Several options at the end of your contract, including a final balloon payment
• SmartBuy contracts are conveniently arranged at your GM Dealership

SmartBuy also gives you various options at the end of your contract:

• Keep the vehicle and make a final balloon payment for the outstanding balance
• Keep the vehicle and refinance the outstanding balance
• Sell the vehicle, pay the outstanding balance and keep any profit
• Return the vehicle to the dealer and pay a $250 disposal fee

GMAC offers qualified buyers two leasing options, SmartLease™ and SmartLease Plus™. GMAC SmartLease has various advantages over traditional financing options:

• Low down payment
• Low monthly payments
• No resale or trade-in complications
• SmartLease contracts are conveniently arranged at your GM Dealer

Because you’re only paying for a monthly portion of the vehicle you’re using during your lease term, SmartLease monthly payments are significantly lower than the traditional financing you’d receive from a bank or credit union. You can also either return the vehicle to your GM Dealer when your lease is complete, or you may exercise your option to purchase. At the end of the lease term, you have the option of returning the vehicle or purchasing the vehicle.

SmartLease Plus

If you like the idea of driving a new vehicle every few years while also eliminating the inconvenience of monthly payments, SmartLease might be right for you.

The advantages of SmartLease Plus include:

• One single payment
• Lower out-of-pocket costs than most GMAC leases
• No monthly bills
• No resale or trade-in complications
• SmartLease contracts can be arranged right at your GM Dealer

Traditional Financing

Traditional Financing is an installment sale transaction between you and your dealer whereby you agree to pay the amount financed, plus an agreed upon finance charge, over a specific period of time.

The GM Card® - Today's Financial Vehicle®

The GM Card® offers you a wide variety of excellent benefits. There's no annual fee, and you’ll earn 5% on every card purchase toward the lease of a new GM car or truck. The card also enables you to Accumulate up to $500 of earnings per account year, which can result in a maximum of $3,500 over seven years. Your GM Card® earnings can be redeemed at any General Motors Dealership. Call 1-800-8GM-Card to apply.

The GM Card® also offers:

• A credit line you can use at over 12 million locations worldwide
• A competitive annual variable percentage rate (APR)
• Up to $150,000 Travel Accident Insurance
• Access to over 240,000 CIRRUS® and MasterCard® ATMs
• Free GM Card® Balance Transfer and Convenience Checks
• Free Additional Cards
• Toll-free customer service - 24 hours a day, seven days a week

In addition, if paid in full each month, the GM Card® offers you a grace period during which no finance charges are assessed to your account on current purchases. Apply for The GM Card® today by calling 1-800-8GM-CARD.

*SmartBuy, SmartLease and SmartLease Plus are all registered Trademarks of General Motors Corporation.