buying or leasing a car prior to temporary residency

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richardmci

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Dec 27, 2007
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Hello all,
Is it possible for an individual (not associated with a business or corporation) to buy and register a car and get insurance upon first arriving in DR, and prior to obtaining temporary residency? The question arises, of course, due to the current extreme cost of car rentals (Nissan Altima at $2500 per month, best corporate rate, from National). Are there common workarounds for this situation? Also, the possibility of car leasing has been discussed here in the past and it was said to be unavailable. Is this still the case?

responses much appreciated.
richard
 
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Rocky

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Absolutely, you can buy a car.
Even a person who doesn't live here and just visits, could have one.
Not a problem.

PS: You could rent a Mercedes Benz for that price.
 
Robert

Robert

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Leasing a mid-size Nissan from National runs to about US$1400-1500 monthly.
This is a year lease with full insurance.
 
A

arturo

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Mar 14, 2002
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$18,000 to spend, lease or buy?

Robert said:
Leasing a mid-size Nissan from National runs to about US$1400-1500 monthly.
This is a year lease with full insurance.
Click to expand...

I'm no financial genius, but is it just me or does $18,000 for a one year lease (all inclusive) seem like a lot compared to spending $10,000 to $12,000 for a used vehicle with any kind of warranty and reserving the remaining $6,000 for the inevitable maintenance, emergency car rental, or assorted other "cost of ownership" fees you would encounter. If you are lucky, you may not need quite that much. Assuming you have access to a competent mechanic, (this is not the safest assumption by the way) repair and maintenance costs are very low compared to the cost of leasing or buying new vehicles. For example, an engine overhaul that can't be justified where mechanics earn living wages is a trivial expense in the Dominican Republic.

If you decide to go the lease route, I urge you to stay away from the "Brand X' car rental outfits and opt for a name brand franchisee. The Dollars, Avises, Nationals, etc. deserve their reputations for fair business practices. If you are affiliated with an international corporation, your travel management can help you if you get into a situation.
 
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Rocky

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arturo said:
I'm no financial genius, but is it just me or does $18,000 for a one year lease (all inclusive) seem like a lot compared to spending $10,000 to $12,000 for a used vehicle with any kind of warranty and reserving the remaining $6,000 for the inevitable maintenance, emergency car rental, or assorted other "cost of ownership" fees you would encounter. If you are lucky, you may not need quite that much. Assuming you have access to a competent mechanic, (this is not the safest assumption by the way) repair and maintenance costs are very low compared to the cost of leasing or buying new vehicles. For example, an engine overhaul that can't be justified where mechanics earn living wages is a trivial expense in the Dominican Republic.

If you decide to go the lease route, I urge you to stay away from the "Brand X' car rental outfits and opt for a name brand franchisee. The Dollars, Avises, Nationals, etc. deserve their reputations for fair business practices. If you are affiliated with an international corporation, your travel management can help you if you get into a situation.
Click to expand...
Your math is correct, but you wouldn't be driving an Altima of the year, of course.
 
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richardmci

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Dec 27, 2007
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The $2500 per month rate from National for mid-size was for up to 6 months, then it came down a tad. Robert shows that it comes down to $1500 for a years lease which is doable but starts to argue pretty strongly in favor of buy vs lease.

Just got off the phone with Scotia Bank HQ (i'm in miami), they say they won't lend to you unless you've been in country two years. I have a feeling that could be worked out when you arrive. But like stateside, I bet the dealers finance you right there on the lot and you drive away with your car. Anyone want to recommend a car dealer in SD for a good used 4WD?

I took to heart Mr. Guzman's suggestion for 5 mil of liability insurance ... ScotiaBank says they and other banks have good insurance operations. Anyone want to recommend good car insurance?

About using a credit card that pays for rental insurance as one of its features (e.g. platinum card) to save some bucks, beware. It may pay for collision but not the potentially more costly liability coverage. Also, not sure, but i think there's a maximum rental period, say one month ... card won't cover a one year lease.

Thanx in advance ;) ... the car is the thorniest issue for any new arrival ... and based on the long history of this topic on the forums, maybe for the old-timers as well.

richard
 
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richardmci

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Dec 27, 2007
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yep, gotta come down with a stack of $1000 travellers checks ... I thought 25% on US credit cards was bad :bandit: i see it will take some time to learn the ropes ...
 
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korejdk

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Dec 29, 2006
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Rocky said:
You mean per month?
Full insurance for an Altima of the year, might cost as much as $1,500/year or $125/month.
Click to expand...

beg you a pardon...I thought that Robert's quote was for a rental when in fact it was for a lease
 
Robert

Robert

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korejdk said:
beg you a pardon...I thought that Robert's quote was for a rental when in fact it was for a lease
Click to expand...

Nope, it's for a rental. Car leasing is not very popular here.
If you can get it, it's very expensive.

If your hear long term it makes sense to buy a car.

If it's 1-2 years, then a long term rental maybe the way to go, especially if your down here working as a contractor. I know a bunch of guys on 1-2 yr contracts that rent rather than buy.

Remember, your driving license is good for 90 days and even that is disputed by some government departments :)

If you go past the 90 day mark, you might well have a problem if you cause an accident and a 3rd party is involved. They love loop holes here and if they can get out of paying or representing you, they will.
 
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korejdk

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Dec 29, 2006
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as for the rates...what Orbitz, Expedia etc quotes me at $ 90 per day I get it at $ 35 per day plus $ 5-10 depending on the amount of days I stay every month...at first it the clerks were reluctant but the propina works in the DR...all multinational company clearks know me now and they always input certain codes into their system ( corporate, promotion etc ) that might not even be advertised...when one company doesn't have a "code" I go to the next counter...
 
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Rocky

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korejdk said:
then the credit card insurance has to be the best choice...few months ago I slightly hit the bumper and tail light on an Avis Subaru, and Visa took care of it ( 800 bucks )...as for the 90 days rule, just cross for 5 min into Haiti every 89 days :)
Click to expand...
Yes, the CC is an excellent idea, and may I suggest that you even call the CC company to make doubly sure that you are insured.
My brother thought he was insured by his Amex card when he rented a motorbike here, only to find out that there was an exception for the DR in fine print.
 
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korejdk

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Dec 29, 2006
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Rocky said:
Yes, the CC is an excellent idea, and may I suggest that you even call the CC company to make doubly sure that you are insured.
My brother thought he was insured by his Amex card when he rented a motorbike here, only to find out that there was an exception for the DR in fine print.
Click to expand...

And make sure that the company is from the US ( even thou the local office is a francise ) - you can deal with the company when you get back to the States. The only difference is that within the US the card company won't charge you the actual repair fees, they'll deal with the rental company directly. On my experience, I was charged the repair costs, then when I called Visa I was told what I needed to send ( report, photos etc ) which Avis US provided within 10 days ( they contacted Avis DR which sent the stuff over ). My claim with Visa was completed within 3 min over the phone.
 
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Rocky

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korejdk said:
And make sure that the company is from the US ( even thou the local office is a francise ) - you can deal with the company when you get back to the States.
Click to expand...
Sounds good in theory, but impractical, as few car rental companies here are US based.
 
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korejdk

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Alamo has an economy car at POP listed at 29 per day - pay a let's say, $ 50 one-off propina and get it at 20 a day which it'll come up to $ 600 a month ( roadside assistance, car exchanged if mechanical problems etc ) - best deal assuming that you pay with a card that covers your insurance.
 
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apostropheman

Guest
It's my understanding that these are franchises and not necessarily backed by the US parent company, at least when it come to accusations of fraudulent, inaccurate or unfair damage claims.
korejdk said:
Hertz, National, Budget, Avis, Alamo - they're all in the DR
Click to expand...
That is to say that while they are using the name they are Dominican based and the client may not get satisfaction by trying to go through the parent company in the US, as they are run separately.
 
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