Advance Lease Payments

On 11.04.09, In Leasing Terms, by Celso

Many leasing transactions call for one or more payments in advance. As a rule, when Advance Payments are required for more than the just first periodic payment, the additional Advances will apply to payments due at the end of the Lease. If payments are made monthly, for example, one advance will apply to the first month’s payment while any additional advances will be applied to payments due at the end of the lease term. Advance Payments are payable at, or prior to, lease inception.