When you lease do pay interest on the price of car?

Yes, you do pay interest on the price of the car when you lease. When you lease a car, you are not paying for the car in full; instead, you are making monthly payments for the use of the car for a set period of time. The interest rate on a car lease is typically higher than the interest rate on a car loan because the lender is taking on more risk when leasing. This is because the leasing company does not own the car and therefore cannot resell it if you default on your lease payments.