GeneralKlinger

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Ally is passing along. I can confirm that. I test drove a 4cyl turbo Rubicon today (non 4xE) and they did a write-up on the pre order. Lease payment for 12K/36m with only $558 down was $558 a month.

I can get it much lower if I order from Koons or Criswell, because their dealer discount is almost $4.5K less than my local dealer.





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rkoco321

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Ally is passing along. I can confirm that. I test drove a 4cyl turbo Rubicon today (non 4xE) and they did a write-up on the pre order. Lease payment for 12K/36m with only $558 down was $558 a month.

I can get it much lower if I order from Koons or Criswell, because their dealer discount is almost $4.5K less than my local dealer.

Check to see what the buy out is. The ally lease is attractive but what the buy out is ridiculous. Ally is dropping the 7500 off the capitalized cost but their residual is off the chain.
 

Sboden

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Check to see what the buy out is. The ally lease is attractive but what the buy out is ridiculous. Ally is dropping the 7500 off the capitalized cost but their residual is off the chain.
Truth. General Manager says he pays more on his leases going with Chrysler or US Bank because he can get out early on those leases. Ally costs you to get out of compared to those two. If you know you are going to the very end, Ally is fine. I wish I would have stayed with US Bank instead of Ally on my current one.
 

rkoco321

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Yeah for anyone looking for a lease to buy solution, Ally is not effective.

However, it's not bad route if your sole intention is to lease and return at the end of the lease. You get a lower lease price, ally will resell the car and be ahead of the game because they put 7500 dollars in their pocket.

If you purchase the car, you put 7500 in your pocket, and odds are (unless there are recalls or something crazy happens) you will have a decent amount equity in a few years. But since when are cars meant to be investments. We're not talking about a Grand National over here.

Remember to keep your expectations realistic with leasing any vehicle. It was never meant to be affordable method of purchasing a vehicle. You're paying a premium to use a new car in exchange for another new one in a few years. It's not supposed to save the consumer money, it's a luxury.

If you're looking to mod, buy it. If you're looking for cheaper payment upfront so you can have money to mod and buyout later, this isn't the solution.

Folks like me, self proclaimed jeep guy, that goes to some less than desirable areas in a city riddle with crime for work everyday, but are willing to pay a premium to drive a cool JL, leasing is a decent solution and that cap cost reduction is the only reason I'm considering the 4xE Rubicon. I was looking for a Willy's unlimited before I heard about this incentive from Ally.
 

MightyAndrew

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Yeah for anyone looking for a lease to buy solution, Ally is not effective.

However, it's not bad route if your sole intention is to lease and return at the end of the lease. You get a lower lease price, ally will resell the car and be ahead of the game because they put 7500 dollars in their pocket.

If you purchase the car, you put 7500 in your pocket, and odds are (unless there are recalls or something crazy happens) you will have a decent amount equity in a few years. But since when are cars meant to be investments. We're not talking about a Grand National over here.

Remember to keep your expectations realistic with leasing any vehicle. It was never meant to be affordable method of purchasing a vehicle. You're paying a premium to use a new car in exchange for another new one in a few years. It's not supposed to save the consumer money, it's a luxury.

If you're looking to mod, buy it. If you're looking for cheaper payment upfront so you can have money to mod and buyout later, this isn't the solution.

Folks like me, self proclaimed jeep guy, that goes to some less than desirable areas in a city riddle with crime for work everyday, but are willing to pay a premium to drive a cool JL, leasing is a decent solution and that cap cost reduction is the only reason I'm considering the 4xE Rubicon. I was looking for a Willy's unlimited before I heard about this incentive from Ally.
So if you lease, the $7500 essentially gets used as a down payment towards the lease? If you are financing, you have to apply for the credit yourself when you do your yearly income taxes?
 

Jeeperz Kreeperz

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So if you lease, the $7500 essentially gets used as a down payment towards the lease? If you are financing, you have to apply for the credit yourself when you do your yearly income taxes?
You are correct on your interpretation of how the credit works when financing: No $7,500 for you up front - only when you file your taxes the following April. If you want to push your payment down, you could make a $7,500 down payment from other sources like a savings account, then when your tax credit arrives next April (assuming you qualify for the full credit), you could replenish your savings account.

And you are likely correct on the lease interpretation as well. I’ve hedged the lease answer a bit because leasing companies have no obligation to pass along the $7,500 credit to you. They technically own the vehicle, so they own the $7,500 credit. But we are hearing a few leasing companies are passing along the $7,500 to the lessees as a cap cost reduction (similar to down payment).
 

MightyAndrew

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You are correct on your interpretation of how the credit works when financing: No $7,500 for you up front - only when you file your taxes the following April. If you want to push your payment down, you could make a $7,500 down payment from other sources like a savings account, then when your tax credit arrives next April (assuming you qualify for the full credit), you could replenish your savings account.

And you are likely correct on the lease interpretation as well. I’ve hedged the lease answer a bit because leasing companies have no obligation to pass along the $7,500 credit to you. They technically own the vehicle, so they own the $7,500 credit. But we are hearing a few leasing companies are passing along the $7,500 to the lessees as a cap cost reduction (similar to down payment).
That is precisely what my local Jeep dealer is doing. Their lease deal is only 360 for 36 months. Insane deal.
 

rkoco321

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That is precisely what my local Jeep dealer is doing. Their lease deal is only 360 for 36 months. Insane deal.
Plus tax which in some states depending on where you live will drastically effect this price.

For instance, let's take that 360 x 36 number (assuming that's no money down, which I doubt but irrelevant for my example). In NYC you have to pay 8.85% on 360x36. 1146.96.

Also odds are that price is for the Sahara, not the Rubicon, which will have different residual and a higher money factor.

Anyway I don't want to hog the post, OP was referring to the tax incentive. Good luck to all hope everyone finds value in their purchases.
 

360linux

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Plus tax which in some states depending on where you live will drastically effect this price.

For instance, let's take that 360 x 36 number (assuming that's no money down, which I doubt but irrelevant for my example). In NYC you have to pay 8.85% on 360x36. 1146.96.

Also odds are that price is for the Sahara, not the Rubicon, which will have different residual and a higher money factor.

Anyway I don't want to hog the post, OP was referring to the tax incentive. Good luck to all hope everyone finds value in their purchases.
Yeah, don’t forget tax. I’m looking at just under $5K tax on my 4xe here in CT. It’s out of control!!!!
The rate is 7.75% on any new cars over $50K.
 

aug0211

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Confirmed the CCAP lease calculator shows this perk.

Go to Jeep.com, locate any 4xe you want, go to the financing options, select lease, and expand the credits section - you will see the $7,500 passed along to you.

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TH0R

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When tax season comes next year what type of info do we need for the taxes for the credit ? Dealer did not give me anything and said they take care of it so I’m assuming I’ll get something in the mail ? I’m new to EV’s so not sure of the process
 
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Asterix2112

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When tax season comes next year what type of info do we need for the taxes for the credit ? Dealer did not give me anything and said they take care of it so I’m assuming I’ll get something in the mail ? I’m new to EV’s so not sure of the process
Thor - The dealer has nothing to do with the tax credit, absolutely nothing! (not sure why they said that, probably they don't know how it works). I have done it twice already (BMW i3 & Chevy Bolt), it's just a form (8936), or a couple lines in Turbo Tax for me. You put in make, model, VIN, date you got it etc... in next years taxes (for this year). That's all. And assuming you own at least $7500 in taxes (which most people do, your tax owed before withholdings) you will have a nice $7500 bonus!
 

TH0R

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Thor - The dealer has nothing to do with the tax credit, absolutely nothing! (not sure why they said that, probably they don't know how it works). I have done it twice already (BMW i3 & Chevy Bolt), it's just a form (8936), or a couple lines in Turbo Tax for me. You put in make, model, VIN, date you got it etc... in next years taxes (for this year). That's all. And assuming you own at least $7500 in taxes (which most people do, your tax owed before withholdings) you will have a nice $7500 bonus!
Great Thank you
 

MallBrawler

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And... research/document the minimum amount of time you need to keep the car for to prevent IRS from invalidating your credit. Minimums do exist for purchases, somewhat gray for leases.
 

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