Colorado Car Sales Practice Test

When advertising a lease of a motor vehicle, which of the following is NOT required?

1. Monthly payment amount

2. Disclosing the cost of leasing versus purchasing

3. Down payment amount

4. Lease term duration

The correct answer is: Disclosing the cost of leasing versus purchasing

When advertising a lease of a motor vehicle, it is not required to disclose the cost of leasing versus purchasing. The law primarily focuses on clear and transparent information related to the specific terms of the lease agreement itself, which includes elements like the monthly payment amount, down payment amount, and lease term duration. These pieces of information are essential for potential lessees to understand the financial obligations and the duration of their commitment to the lease. By contrast, while providing a comparison between leasing and purchasing may be beneficial for a consumer's understanding, it is not mandated by regulations. This distinction allows advertisers more flexibility in how they present their leasing options without being compelled to engage in deeper comparisons to purchasing vehicles, which could unnecessarily complicate the advertising message.