A Stunningly Bad Deal

While some folks wonder how Sen. Barack Obama managed to get an exceptional mortgage rate on the home he purchased in June 2005, Rep. Laura Richardson of California is at the other end of the spectrum.

She's the Democrat who was busy defaulting on mortgages and lost a home in foreclosure.

It seems that her stunning lack of fiscal knowledge extends to car leases as well.

She's currently paying $1,300 a month for a lease on a 2007 Lincoln Town Car.

She may have defaulted on mortgages and lost a home in foreclosure, but that hasn't stopped Long Beach Rep. Laura Richardson from driving in style and at great expense, courtesy of the taxpayer. The lease on Richardson's 2007 Lincoln Town Car costs about $1,300 a month -- the most expensive lease of any member of the House of Representatives, reports the Daily Breeze. Richardson's monthly lease, paid by the federal government, is much larger than the $400 to $800 a month that other House members pay, according to a taxpayer group.

That's a whole lot of money for the lease, and makes me wonder just who negotiated this deal.

A new 2008 Town Car at the MSRP runs about $45,000. Assuming that there's no trade in, no down payment, and that registration is $150, and taxes are 7.25%, the monthly payment on a 36 month lease runs about $870. My calculations are based on this website.

The cost would decrease if the term was extended to 48 months, a down payment was provided, or a trade-in offered, to say nothing of negotiating down from the MSRP.

Why is there such a huge discrepancy? We're talking $430 a month, or $15,480 plus interest over 36 months.

Something stinks here.