I'm filling out the MINI loan application and there are boxes on the bottom that say the following:

Waive security deposit per program (include acct.# or VIN in comments)
Waive security deposit with Rate Adder

I have no idea why a "security deposit" would be required on a loan. The security they have is a lien on the ownership of the vehicle and my own insurance policy to cover damages during my possession of it.

I don't want to pay for some hidden cost here but maybe it's something I'm unfamiliar with that makes total sense. I've just never seen that on an application and would like to know if anyone knows what it's for. Am I missing something?

 

It's for a lease.

 

That's what I thought but I also thought a lease would use a different application than this one. So I guess I can leave those boxes unchecked. Thanks!