The vehicle's residual values is determined when the leasing period begins. This is the amount it is assumed the vehicle will be worth after the contract expires. It is the garage dealer's job to determine residual value based on his experience and knowledge, since he must commit himself to vehicle purchase from the financing company after the leasing contract expires for this sum. The residual value has a considerable influence on calculations of installments: The higher residual value is estimated, the lower the installments will be. Leasing holders and garage dealers may negotiate what residual value may be to a certain extent.