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Old 11-15-2012, 01:51 PM
ndabunka's Avatar
ndabunka ndabunka is offline
'12 X5 35d Black-on-Black
Location: Charlotte, NC
Join Date: May 2009
Posts: 1,895
Mein Auto: X5d Ski Machine-Blk Betty
Originally Posted by Marwan View Post
Multiple security deposits (MSDs) are just what's in the name. You can pay up to 7 times your security deposit upfront. Each one of these 7 security deposit payments decreases your money factor (MF) by 0.0007. So if one makes 7 MSDs, their MF goes down by 0.0049. That is a very significant number which could easily save one hundreds of dollars over the life of their lease
One thing that should be noted but was not covered by Marwan is that there ARE some risks with multiple MSDs. Security deposits are just that... deposits as security. At the end of the lease, the dealership can draw from those against repairs. As long as you maintain a car/truck within specifications (and there is no reason to deviate due to BMWs included service), that risk is low but the reality is that there is still some risk that was not outlined in the overview. It's not as simple as "storing/tying up your cash" as others not familiar with the process may have perceived from the outline.

'12 X5d Sapphire/Black/Bamboo, Sport (ZAP), Premium (ZPP) & Premium Sound(ZPS) packages: 20" 214's, OEM Hitch
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