Finance or Lease

Easy. Affordable. Accessible.

Count on Toyota Financial Services to deliver the superior service and quality that you've come to know and expect from the Toyota family.

• Convenient one-stop shopping available at all Toyota Dealerships
• Fast credit approval
• Competitive rates and flexible terms
• Plain language, full disclosure contracts provide all the information you need

Finance or Lease?

The decision to finance or lease a vehicle is often a matter of personal preference. You know that if you finance your vehicle, you own it and can enjoy all the benefits of ownership, but what about leasing? In order to help you decide which is best for you, here are a few things that you should know about leasing.

Leasing Advantages

• Leasing typically provides for lower monthly payments and lower up-front costs than you would pay on a loan for the same vehicle
• When you lease, you only pay tax on the monthly payment. When you finance, you pay taxes on the full purchase price of the vehicle
• Leasing gives you choices at lease end:
  1. You may purchase the vehicle at the Lease End Value indicated on your contract
  2. You may return the vehicle as provided in your lease
  3. You may lease or finance another Toyota vehicle
• Toyota Financial Services offers convenient financing and great rates should you choose to purchase the vehicle at the end of your lease.

Leasing Disadvantages

• You do not own the vehicle
• You do not build up equity in the vehicle
• Excess kilometre and wear and tear charges may apply
• Lower monthly lease payments may result in higher carrying charges than a loan

Difference in Payment Between a Lease and a Finance Loan

Here is an example that shows the difference in your monthly payment depending on whether you lease or finance your vehicle.

	Lease	Loan
Term	48 months	48 months
Interest Rate	7.95 %	6.95 %
Selling Price	$18,000	$18,000
Taxes*	N/A	$2,340
Selling Price	$18,000	$20,340
Lease End Value	$9,000	N/A
Base Payment	$277.29	N/A
Taxes on Payment*	$36.05	N/A
Total Payment	$313.34	$486.59

Finance Your Toyota

When you park your Toyota in the driveway, you want the satisfaction of owning it and the confidence of knowing that it was made possible through the quality financial services that we provide. Financing from Toyota Financial Services will make it happen with:

• Competitive rates
• Flexible terms of up to 72 months
• Easy to read contracts that fully disclose all the details you need to know
• Consumer-friendly, simple interest financing
• Full or partial early repayments at any time without penalty
• Convenient, automatic monthly payments through our Direct Payment Plan

Lease Your Toyota

You've crunched the numbers and leasing makes sense for you. Leasing from Toyota Financial Services can make it happen with:

• Competitive rates
• Flexible terms of 24 to 60 months
• A plain language contract that fully discloses the details you need to know
• Consumer friendly, closed-end leases that guarantee the lease end value of the vehicle as provided in the lease
• 24,000 kilometres per year included in your lease
• Additional kilometres may be purchased up front at a reduced rate
• No acquisition or disposal fees if you return the car within the terms of your lease
• Gap Protection that covers you and your family should your vehicle be declared a total loss
• Lease end options:
  1. You may purchase your vehicle at the lease end value indicated on your contract
  2. You may return the vehicle as provided in your lease
  3. You may lease or finance another Toyota vehicle
• Toyota Financial Services offers convenient financing and great rates should you choose to purchase your vehicle at the end of your lease

Graduate Program

Getting started is always tough, that's why Toyota Financial Services has a Graduate Program designed to help you when you need it most. Toyota Financial Services will put you behind the wheel:

• Even if you have no credit history
• With a special rate reduction on a new or Toyota Certified Used vehicle
• With a waiver of the security deposit on all leases
• A Graduated Payment Plan that allows for lower monthly finance payments during the first year while you get established in the workforce (not available in Quebec)

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Frequently Asked Questions

How Can I Contact Toyota Financial Services (TFS)?
Leasing and financing information is provided directly by your Toyota dealer. If you require further clarification about your Toyota Financial Services financing or lease agreement, you can contact Toyota Financial Services at 1 888 Toyota-8 (1 888 869-6828), Monday to Friday from 9 a.m. to 5 p.m., for all time zones.

Toyota Financial Services
80 Micro Court, Suite 200
Markham, ON  L3R 9Z5

Tel.: 905 513-8200
Fax: 905 513-9776

Lease

How many kilometres does Toyota Financial Service' standard lease provide?
24,000 kilometres per year

What if I drive more than 24,000 km per year?
You have the option of purchasing extra kilometres at a reduced rate up front. If you are not sure, you can buy extra kilometres at lease end at our standard rate. If you drive significantly more than the standard allowance, financing may be a better option for you.

What is Guaranteed Asset Protection or GAP protection?
GAP protection is automatically included in all Toyota Care Leases.

If your vehicle is declared a total loss, GAP will cover the difference (the gap), after you pay the deductible, between what you owe on the remainder of your lease and the amount of your insurance settlement. You are only responsible for excess kilometre charges and any pre-existing damage to the vehicle.

What is a Closed End Lease?
All Toyota Care Leases are closed end leases. This means you make a set number of payments over the term of your lease and the leasing company guarantees the "price" or lease end value of your vehicle at the end of the term. Factors such as economic conditions, vehicle popularity, colour and equipment can all affect the value of a used vehicle and can result in the market value being lower than the lease end value at the end of your term. By guaranteeing the lease end value, Toyota Financial Services assumes the risk of any loss on the used vehicle. So, if your car is worth less than the lease end value, you can simply return the vehicle to us. You are only responsible for charges at lease end that may result from excess wear and tear or exceeding the kilometre limit set out in your lease contract.

What is an Open End Lease?
Open end leases are considered to be unfriendly to the consumer and are therefore not offered by Toyota Financial Services. An open end lease holds the customer responsible for the value of the used vehicle at the end of the lease. This can result in an unexpected cost for the consumer.

What is Wear and Tear?
The customer is responsible for the vehicle's overall condition as detailed on the lease agreement (appearance, mechanical condition etc.). Charges will apply to kilometres that exceed the provisions in the lease.

Finance

What is Simple Interest?
Simple Interest financing is the consumer friendly way to calculate interest. Like the name implies, the concept is simple. If you pay a day early, you are credited for a day's interest. If you pay a day late, you pay a day's interest.

General

What are the details for Toyota Financial Services' Grad Program?

Graduate Eligibility :

• Must be graduating within 4 months, and the benefit of this plan can be taken advantage of up to 4 years after graduation
• A 3 or 4 year Bachelor degree from a Canadian University (Post graduate degrees are not eligible)
• A 2 year degree from an accredited college
• A 3 year degree from CEGEP

Credit Criteria :

• Verifiable proof of full-time employment or an offer of full-time employment that begins within 120 days of the lease or loan approval
• Sufficient salary to cover living expenses, vehicle payments and vehicle insurance
• The vehicle must be licensed in the graduate's name
• Applies to first vehicle financed only
• No credit experience is required, however, if credit has been established the applicant must not have any derogatory credit.