Amount of money used when purchasing a car that is paid up front in order to get lower monthly lease payments. This can come from the trade-in value of the previous car, or from a cash down payment.
Related information about capitalized cost reduction:
- Car Lease Lease Capitalized Cost - Cap Cost Reduction - Explained
Capitalized Cost (Cap Cost) - Capitalized Cost Reduction (Cap Cost Reduction) - Car Lease Terms. The term, capitalized cost, or "cap cost", related to car ...
- Capitalized Cost Reduction Definition | Investopedia
Any upfront payment that reduces the cost of financing. Capitalized cost reduction is generally associated with the purchase or lease of an automobile, and ...
- Capitalized Cost Reduction
Capitalized Cost Reduction is a car leasing term that refers to cash the leaseholder pays upfront; this includes a down payment, trade-in credit, or rebate .
- Leasing Glossary - Cars.com
Jul 20, 2012 ... This is the figure arrived at by subtracting the capitalized cost reduction from the gross capitalized cost. Let's say you plan to lease a new sport ...
- What is capitalized cost reduction? definition and meaning
Definition of capitalized cost reduction: Amount of money used when purchasing a car that is paid up front in order to get lower monthly lease payments. This can ...
- Capitalized Cost Reduction | TheCarLeaseGuide.com - Get the Best ...
The capitalized cost reduction refers to any cash down payment, trade-in credit, or rebate that is used towards reducing the gross capitalized cost. In most cases ...
- Closed-end leasing - Wikipedia, the free encyclopedia
The lessee will often be required to offer money up front as an offset against the capitalized cost (this is called the "capitalized cost reduction" although it is ...
- What Is Capitalized Cost Reduction?
A capitalized cost reduction is a term that is commonly associated with the auto sales industry due to its application in the lease and sale of vehicles.