Leasing a new vehicle has its advantages, like being able to drive a brand new vehicle with a lower monthly payment than if you were to buy the car outright or finance. Being able to secure a car on a lease when you have bad credit can be difficult, but it isn’t impossible. CreditYES® has a large network of dealers who work with special finance companies and are able to secure leasing options and offer some great lease deals. 

Just as when you purchase a vehicle, leasing options are subject to credit approval. When applying for a lease, the dealership or finance company will take into consideration things such as employment, income, and credit score. 

Figuring out if a lease agreement is right for you depends on a number of factors – lease payments, the number of miles you drive per year, and how long term of a lease commitment you’re comfortable with.

Perhaps the biggest difference between obtaining a lease versus purchasing a vehicle involves depreciation. When you drive off the lot in a brand new car, depreciation begins and vehicles typically see around 20-30 percent of their value depreciate in the first year of ownership. In the case of a lease, the lender takes on the risk of depreciation. A vehicle’s value may be lost faster because of mileage driven, cosmetic or mechanical damage, and normal wear and tear.

Cute dog wearing a jacket sitting in the front drivers seat of a car.


Total Cost of Finance

When you purchase a vehicle with a finance option, the bottom line number people generally watch is the annual percentage rate. This is the interest rate in which the loan is being provided for. With vehicle leasing, this metric is called the “money factor”, “lease factor”, or “lease rate”. Expressed as a decimal fraction rather than percentage, the lease rate is used to determine your cost of financing. You can think of this charge as a rental fee.

Although just one of many factors in determining what you’ll pay per month, lower credit scores can result in higher finance charges.

“Lease-Here, Pay-Here” Dealers

Just as with purchasing a used vehicle, some smaller dealers offer in-house lease options. This means the car lot acts as the bank (or leasing company), which means rates are variable and sometimes the terms and conditions can be cumbersome.

The vehicle leasing options offered at these dealers are usually for older, higher mileage cars. Often these lots require weekly or bi-weekly payments (sometimes in person), and usually in-house bad credit car lease companies don’t offer warranty coverage.

CreditYES® dealerships are reputable and work with vehicle leasing companies so you can be assured of getting the best lease rate possible for your individual credit profile.


If you have bad credit and are looking for a new vehicle, our dealership network can find you a lease option. To help get the best possible lease rate, here are a few helpful tips:

1. Put money down
Making a down payment when you sign for a lease can help reduce your monthly payment and lease rate. While it may not be required to put money down for a vehicle lease option, doing so will reduce the amount of your lease and may increase your chances of approval.

2. Reduce Your Debt-to-Income Ratio
One of the largest factors that lending and leasing companies factor into approval decisions and rates is the debt-to-income ratio (or DTI). By increasing your income and/or reducing the amount of money you owe on other loans and credit cards, you can decrease the amount of vehicle leasing fees you will pay both monthly and over time.

3. Find A Co-Signer
If you’re able to find someone with better credit such as a family member or friend, having them cosign on the lease helps to reassure the leasing company that timely payments will be made. Less risk to the finance company usually means less overall cost and lower monthly payments.


Don’t be limited to just one dealer. Since 2004, CreditYES® has built a nationwide network of reputable auto dealerships that provide lease options to our customers.

We pride ourselves on our customer service and have vehicle leasing specialists available anytime from our Nashville call center. If you have basic questions or are ready to prequalify, our knowledgeable associates are always here to help.

If you’re looking for cars on lease for bad credit, we are your best option. Just because you’ve had some credit obstacles thrown in your path doesn’t mean your selection should be smaller or terms more strict.

CreditYES® is here to help find you the best new vehicle leasing option regardless of your credit. We will work with your budget, credit, and your individual needs to get you the new car you deserve today.