The advantages to leasing a vehicle are:

• Lower Monthly Payments - Because you only pay for the portion of the car or truck that you actually use, your monthly payments are 30%-60% lower than for a purchase loan of the same term.
• More Car, More Often - Since your monthly payments are lower, you get more car for the same money and drive a brand new vehicle every two to four years, depending on the term length of your leases.
• Fewer Maintenance Headaches - Most people like to lease for a term that coincides with the length, in months, of the manufacturer's warranty coverage so that if something goes wrong with their car, it's always covered.
• Lower Upfront Cash Outlay - Most leases require little or no down payment, which makes getting into a new car more affordable and frees up your cash for other things. However, you can choose to make a down payment, or trade in your old vehicle, to lower your monthly payment amount.
• Lower Tax Bite - In most of the U.S. and in Canada, you don't pay sales tax on the entire value of a vehicle when you lease. You're only taxed on the portion of the value that you use during your lease. The tax is spread out and paid along with your monthly lease payment instead of being paid all at once.
• No Used-Car Hassles - With leasing, the headaches of selling a used car are eliminated. When your lease ends, you simply turn it back to the leasing company and walk away, unless you decide to buy it or trade it.
• Gap Coverage Included - Most leases automatically include free "gap" protection in case your vehicle is totaled in an accident or stolen, and you still owe more than the vehicle is worth. Loans do not.

Even with all of the above benefits, car leasing requires more discipline and commitment than buying. Therefore, you'll want to examine your motives and qualifications to determine if you are a good leasing candidate

It's also more beneficial for those who drive a lot. Leases put limits on your mileage and if you go over you'll be facing big-time fees. If you think you'll drive more than 18,000 or 20,000 miles a year, buying is for you.

Buying is also good if you want to save money in the long run, and you are looking only at your cash costs. In theory, you could lease your car and invest the difference between the low lease payments and the higher payments you'd owe on an auto loan. In that case, leasing would be cheaper. But if you don't invest the difference, then buying is cheaper overall.

If you're fine with buying a used car, then you'll definitely want to buy. Thanks to the popularity of leasing, dealers are flush with cream-puff cars that were driven for two years and then turned in. Look for one that's "manufacturer-certified" as being in top shape.

If you enjoy driving a new car every two or three years, want lower monthly payments, like having a car that has the latest safety features and is always under warranty, don't like trading and selling used cars, don't care about ownership, drive an average number of miles, properly maintain your cars, and are willing to pay more over the long haul to get these benefits, then you should lease.

If you don't mind higher monthly payments, prefer to build up some trade-in or future sales value, like the idea of ownership, like paying off your loan to be payment-free for a while, don't mind the unexpected cost of repairs after the warranty has expired, drive more than average miles, prefer to drive your cars for years to spread out the cost, like to customize your cars, and don't like the risk of lease-end costs -- then you should buy.

Sources:
http://www.leaseguide.com/lease03.htm
http://www.cars.com/go/advice/Story.jsp?section=lease&subject=buy_lease&story=buyLease
http://magazines.ivillage.com/goodhousekeeping/consumer/cars/articles/0,,284541_290034-2,00.html

Know the weight of the boat or trailer you will be towing. Remember that the gross towing weight will include the weight of the trailer as well as the boat.

A Class 1 hitch typically uses a narrow receiver. This light-duty hitch can only tow up to 2,000 pounds. For a boat, you will probably need to go to a larger hitch. A Class 2 hitch has a heavier construction, more attachment points, and can tow up to 3,500 pounds. A Class 3 hitch is recommended for a boat. This larger hitch has a two-inch receiver and can tow up to 5,000 pounds.

Read and follow the manufacturer's directions for the installation procedures. The manual should tell you whether any drilling would be needed for your particular application. Secure the receiver to the vehicle's frame using hanger bolts and nuts. Place the nuts through the washer and insert the bolts through the predrilled holed in the frame. Carefully lift the hitch into position and insert the threaded bolts through the pre-drilled holes in the hitch. Install the nuts on the bolts and hand-tighten. Place the nuts on all of the bolts first, before you go back and tighten each one individually. With all six bolts installed and tightened to the proper specs, the main portion of the assembly is complete.

The next step is to install the hitch into the receiver. The front end of the hitch simply slides into the receiver. There are different styles and sizes of hitches and they type of trailer you use will determine the drop down length of your hitch. Another variable is the size of the hitch-ball. The size of the hitch-ball will be determined by the type of trailer you use.

Once the hitch is placed in the receiver, it is secured with a receiver pin and cotter-pin safety clip. The final step is to follow the manufacturer's instructions to install the wiring for the trailer lights.

A weight-carrying type of hitch is used in applications where trailer weight is up to and including a maximum of 3,500 pounds and where the weight and suspension of the tow vehicle can accommodate that load. The tongue weight is carried directly on the rear of the tow vehicle and on the hitch. These hitches attach to the frame of the towing vehicle and provide a connection point between the towing vehicle and whatever you are towing. Weight carrying hitches support all of the trailer tongue weight so they are best suited for small to medium sized loads.

A weight-distributing is an attachment that slides into a Class 3 / 4 or Class 5 weight carrying receiver hitch, and redistributes hitch tongue weight. Weight distributing hitches are normally used for heavier trailers up to 10,000 pounds. Typically uses 2 spring bars, one on each side of the trailer to lift up and apply leverage to the tow vehicle, thereby redistributing tongue weight from the rear axle to the front. This provides more vehicle stability while towing. Weight distributing hitches currently come in two configurations: one with square bars that hook to the center of the ball mount, called trunnion bars and one with round bars that slide into the bottom of the ball mount, called round bars. Weight distributing hitches will even out the trailer load between the wheels of the tow vehicle and the wheels of the trailer. You will experience improved steering and brake control.

Receiver trailer hitches include the ball mount or ball platform trailer hitch. They are removable when the hitch is not being used. This leaves the hitch's opening about even with your bumper. This is the most popular style of trailer hitch and is what you see on most trucks, SUV's, RV's and vans. This is the best choice when using bike racks, ski racks, and cargo racks. They are available in 1 ¼" and 2" openings. Class I and II receiver style trailer hitches can only be used for towing as a weight-carrying hitch. Class III and IV receiver style hitches can be used either as a weight-carrying hitch or as a weight-distributing hitch when a weight distribution system is added. Receivers can also be installed on the front of your vehicle to make launching and recovering boats easier, to attach bike racks while you are towing a trailer or to mount a winch.

Fifth wheel trailer hitches and gooseneck trailer hitches are special hitches mounted through the bed of your truck to brackets or the vehicle's frame.

Gross Combined Weight Rating (GCWR) is the maximum a vehicle plus its trailer, including cargo, fuel, and passengers, can weight without being overloaded.

Gross Axle Weight Rating (GAWR) is the maximum weight an axle is rated to carry. It includes the weight of the axle.

Tow Rating is the manufacturer's figure for the maximum trailer weight a vehicle is rated to tow.

Axle Weight is the weight of an individual tow vehicle's axle, or the weight of a trailer's axle, or axles, but does not include the trailer's tongue weight.

Base Curb Weight is the weight of the empty vehicle, with a full fuel tank and the standard equipment.

Cargo Weight is the base curb weight, plus any additional weight that is added to that such as the trailer tonnage weight.

Maximum Loaded Trailer Weight is the maximum weight of your fully loaded trailer that you truck can tow.

Tonnage Weight is the amount of weight that pushes down on the trailer hitch.

Tow Weight is the rating by the manufacturer for how much combined weight the truck can pull with a loaded trailer.

If you have any doubts about the weight of your load, there are public scales used by truck driver located at most truck stops. Be sure to have you loaded vehicle weighted before you begin your trip.

To select the right trailer hitch, you will need some information about the tow vehicle and trailer. For the trailer you will need the gross trailer weight, the weight of the trailer fully loaded in its actual towing condition. Gross trailer weight is measured by placing the fully loaded trailer on a vehicle scale. The entire weight of the trailer should be supported on the scale.

Tongue weight is the downward force exerted on the hitch ball by the trailer coupler. In most cases, it is about 10 to 15 percent of the gross trailer weight. Tongue weight of up to 300 pounds can be measured on a household scale by resting the trailer coupler on the scale and placing the scale on a box so that the coupler is at its normal towing height. The trailer must be fully loaded and level.

To obtain the tongue weight, multiply the scale reading by three. For greater tongue weights, place the scale and brick four feet apart, rest the jack on the beam three feel from the scale and multiply the scale reading by four.

Like the trailer, the tow vehicle has a maximum weight capacity it was designed to tow. Its maximum towing capacity can be found in the owner manual.

Resources:

WWW.HITCH-WEB.COM
WWW.HITCHESONLINE.COM
WWW.ETRAILER.COM

• What do you get for free? Remember that most electronics come with an express manufacturer's warranty. Find out what that is.
• Read the terms/fine print in detail - You don't have to read it at the store. Don't take the salesperson's word for it. Take it home, read it, and buy it later if you think it's a good idea.
• Figure out the coverage term - Be sure to look for the word inclusive; this means the store's coverage overlaps the manufacturer's coverage so a four-year extended warranty really only gives you three additional years beyond the standard one-year warranty the manufacturer gives you.
• Think about accidental damage coverage - Most policies DO NOT cover products that are damaged from falls, spills, and other accidents. You may have to pay more to protect against accidents, but it may pay off for some products.
• Know what the cancellation terms are - If you have buyer's remorse, you can often get a full refund if you do it immediately or you could get a prorated refund later if you haven't used the warranty.
• Look for extras - Many extended warranties cover replaceable items such as projection TV bulbs (which can cost $300). Think about how much you will need this before you get it.
• Research the product's reliability - You can do this by examining a manufacturer's record. Some places to look are: PC World's annual Reliability and Service survey and Consumer Reports' reliability ratings.
• Consider plan cost versus product cost - Here's an example: Best Buy charges $60 for a four-year plan on a $200 CRT television (which is 30% of cost) and charges $400 for a four-year plan on a $4000 projection TV (which is 10% of cost). CRTs don't break down as often so paying the extra percentage would not make sense.
• Shop around for the best warranties/service plans - All the plans are different. Consider that a four-year plan for a Sony rear-projection TV set costs $400 at Best Buy, $525 at Circuit City, and $600 at CompUSA.
• Check your credit card terms - Many credit cards extend the manufacturer's warranty. However, if you need a product repaired, you may have to pay up front and be reimbursed later.

First, don't be pressured into making a quick decision. You may not need an extended warranty. And if you do need one, you may find a much better deal somewhere else so do some shopping around first.

If you buy and trade vehicles often, you should pass on an extended warranty. If you plan to only keep your vehicle three or four years, your repairs will be covered under the original warranty.

In addition, since many new cars have such a great warranty, you might not need an extended warranty. Many manufacturers offer warranties above and beyond the standard three-year or 36,000 miles protection. So before you buy an extended warranty, be sure to take a close look at your car's original warranty. That may be all you need.

Check out the standard warranties that come on these new cars:
• Acura, BMW, Cadillac, Volvo, Saab, Mercedes, Lincoln, Lexus, and Jaguar all have four-year or 50,000-mile warranties.
• Infiniti vehicles have four-year or 60,000-mile warranties.
• Kia and Hyundai offer five-year or 60,000-mile warranties on all new vehicles plus 10-year/100,000 miles powertrain warranties which cover engine and transmission repairs.
• DaimerChrysler vehicles come with seven-year or 70,000 powertrain warranties in addition to the traditional three-year or 36,000-mile factory warranties.

• Do you detest surprise expenses (like costly auto repairs)?
• Will the cost of replacing an expensive electric part, air conditioner, or transmission devastate your monthly budget? Or do you have an emergency fund for these types of expenses?
• How long do you plan on keeping the car after its original warranty expires?
• Do you need the peace of mind knowing that that major repairs will be covered under an extended service contract? Or would you rather risk it and simply pay for repairs when needed?

The contracts offered by an auto manufacturer are probably the safest. They cover a wide range of repairs and services which can be done at any authorized dealership and tend to be approved with no problems. You don't pay anything for approved repairs unless your contract includes a deductible.

You can get an extended warranty from an independent company for half the price, but the quality of these types of contracts varies widely. Be sure to shop very carefully before you purchase this type of warranty. In addition, with many aftermarket warranties, you may have to pay for the repair upfront and wait to reimbursed by the company. This can sometimes take weeks so be sure you research the reimbursement policy before getting an aftermarket warranty.

Some dealers may also try to sell you a dealer warranty rather than a manufacturer's warranty. Usually with these types of warranties all the repairs and services must be done at a single dealership; namely, the one selling you the warranty. So if you have car problems while traveling, this type of warranty would not be helpful. In general, it's best to avoid dealer warranties.

Sources:
www.bankrate.com
www.cnet.com
www.pcworld.com