Leasing isn't a magic shortcut to a great car deal. For some people, it makes solid sense; for others, it can be a money trap.

The leasing boom of the 1990s became the leasing headache a few years later for people who suddenly found they were facing huge charges for mileage overruns or damage to the vehicle.

Nonetheless, leasing can be a good move if you're someone who wants the very latest make, drives fewer than 12,000 to 15,000 miles a year -- the standard limits in most leases -- and treats it with kid gloves. Leasing generally offers lower monthly payments or allows a customer to drive an upscale car for what they might pay for a basic sedan.

Keys to a good deal
Knowledge and strategy are the keys to negotiating a good leasing deal.

Ignorance -- not knowing terminology or how the lease works, or not being told all of those details by the dealer or lease company -- is the main factor in paying too much for a lease. In Florida alone, the state attorney general's office has identified 40 types of fraud in leasing. Most rely on customer ignorance to work.

State attorneys general, consumer groups and lawyers claim that an uninformed would-be leaser could be hurt by as much as $4,000 in a single lease. This Bankrate article will help you avoid leasing pitfalls.

One thing to keep in mind: A lot of drivers pay thousands more to lease the same car they went in to buy. Commonly, these buyers are talked into a lease without understanding all the details. To find out if leasing makes the most financial sense for you, use Bankrate's interactive calculator.

Leasing gives dealers more places to give-and-take than buying does. Make sure you are perfectly clear on every step along the way and know exactly what you are paying, when and for what, before you sign a lease.

Residual value
What you are doing in a lease is paying for the difference between the value of the car brand-new on the showroom floor and the amount the dealer predicts it will be worth when you bring it back at the end of the lease; this is called the residual value. Call the bank or dealer to find the residual value. Most cars have a residual value of between 50 percent and 58 percent for a 36-month lease.