MSD question

[BimmerX5kid]

is the size amount of MSD a function of the monthly payment on the lease, or is it a function of the cap cost?

ie. lets say a lease payment was $500 a month with $2500 due at signing (1st month + bank fee + other rip-off fees). Or lets say they were amicable to the "sign and drive" deal of $569 per month.

would the MSDs allowed be a function of the $500? or the $569? the reason i am asking is i'm strategizing: if its a function of the lease payment of $569 (in this made up example) then ideally i want to pump up the lease payment so i get a better ROI on my MSDs. But if the MSDs are not a function of the lease "payment" and its based on MSRP or cap cost or whatever then i'm not gaining by the higher lease payment.

(and no i'm not suggesting getting a worse deal, higher payment, all in the name of better MSD.. i would negotiate the best deal. then haggle the MSDs)

[shezi01]

From what i have been told and when i did my research on this, BMW MSD was 7 x monthly lease payment. So in your case it would be 7 x $569 total of $3983. I could be wrong MSD for BMW has become a very selected area thing. They stopped doing nation wide, so i would check if local bmw dealer is still doing it (just side note).

[BimmerX5kid]

thank you. so lease "payment" drives the bus.. so if you want to optimize the effectiveness of the MSD you are striving for largest possible monthly payment. so not only am i going to put every single fee into my payment.. i may even try to get the first month payment spread out in there too. a true "sign and drive".