• When it comes to leasing a vehicle, the law is on your side. Not only does the law mandate which information is disclosed on a lease contract, it also provides a list of areas that can be negotiated to improve the terms of your lease. Before you lease another vehicle, you'll want to visit one of the many websites dedicated to car leasing and buying. The most popular are Edmunds.com and KellyBlueBook.com.
  
  

Consumer Leasing Act (CLA)

• The Consumer Leasing Act (CLA) extends to car leases that are at least 4 months old and that do not exceed $25,000 in depreciation. The CLA defines the regulations that determine how a lease contract is written. For example, amortized amounts, which are fees that must be collected by a lessor and can include taxes and registration fees as well as insurance and maintenance costs if applicable, must be included in a lease agreement. Base monthly payments, which refer to the amount of money that is owed after depreciation and amortized fees are calculated; and capitalized costs, which is the total amount of money that is owed over the life of a lease, are also included in the CLA. The law offers a clear formula for how fees and other payments must be calculated and how a lease is negotiated.
  
  

Regulation M

• In 1998, the Federal Reserve Board added new regulations to the Consumer Leasing Act (CLA). The law is referred to as "Regulation M" and is found in the Code of Federal Regulations (CFR), Title 12, Part 213.4. The law mandates that specific disclosures must be made by a leasing agent and included in all lease documents. According to Regulation M, dealers are required reveal the monthly and total cost of a lease, any additional fees and potential mileage and early termination fees.
  
  

Terms for Negotiation

• By law, issues regarding who will pay for maintenance, how wear and tear is measured, how much insurance is provided by a lesser and warranty terms are all subject to negotiation and are not necessarily the sole responsibility of the dealer.