What is a money factor?
The money factor is the way lease finance charges are expressed in a car lease, instead of a familiar annual percentage rate (APR). It’s usually shown as a small decimal like 0.00125.
The formula
APR = Money Factor × 2400. This conversion lets you compare a lease’s implied interest rate directly against loan APRs or other leases quoted differently, making it easier to spot a good or bad deal.
This calculator is for general auto-finance education; always review the full lease contract terms before signing.
Last reviewed August 2026