Laptop Lease To Own Calculator Philippines

Lease to Own Formulas:

\[ Dep = (CC - RV) / T \] \[ Fin = (CC + RV) \times MF \] \[ MP = Dep + Fin \]

Capitalized Cost (CC):

₱

Residual Value (RV):

₱

Term (T):

months

Money Factor (MF):

decimal

Depreciation (Dep):

Finance Fee (Fin):

Monthly Payment (MP):

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1. What is Lease to Own?

Lease to own is a financing option where you make monthly payments to use a laptop with the option to purchase it at the end of the lease term. This calculator helps you understand the monthly costs involved in such arrangements in the Philippines.

2. How Does the Calculator Work?

The calculator uses these formulas:

\[ Dep = (CC - RV) / T \] \[ Fin = (CC + RV) \times MF \] \[ MP = Dep + Fin \]

Where:

\( Dep \) — Depreciation (₱/month)
\( Fin \) — Finance fee (₱/month)
\( MP \) — Monthly payment (₱)
\( CC \) — Capitalized cost (₱)
\( RV \) — Residual value (₱)
\( T \) — Term (months)
\( MF \) — Money factor (decimal)

Explanation: The depreciation is the value loss over the term, finance fee is the cost of borrowing, and monthly payment is their sum.

3. Importance of Lease Calculation

Details: Understanding these calculations helps you compare lease offers, budget effectively, and make informed financial decisions when acquiring laptops in the Philippines.

4. Using the Calculator

Tips: Enter the laptop's full price as capitalized cost, estimated residual value (often 10-20% of CC), lease term in months, and money factor (provided by lessor).

5. Frequently Asked Questions (FAQ)

Q1: What is money factor?
A: Money factor is the lease's interest rate expressed as a decimal (e.g., 0.0025 for ~6% APR). Divide APR by 2400 to get MF.

Q2: How is residual value determined?
A: Lessors estimate the laptop's value at lease end based on brand, model, and term length.

Q3: Are there additional fees?
A: Yes, leases may have acquisition fees, taxes, or insurance not included in this calculation.

Q4: Is lease-to-own better than outright purchase?
A: Depends on your cash flow and needs. Leasing offers lower monthly payments but may cost more overall.

Q5: Can I negotiate lease terms?
A: Yes, especially the capitalized cost and money factor. Always compare multiple offers.