What is a rent charge on a lease

The Rent Charge (a.k.a. Cost of Funds) is the charge for using the bank’s (or another lender’s) money to acquire the car.

The Rent Charge is also known as the financing cost.

And the charge is based on the deal’s money factor.

Now:

Most leases costs us thousands and thousands of dollars in rent charges…

But with my KTL USA At-Home Leasing System, the rent charge is almost always less than $200!