- Photo by VOD Cars via Flickr
Important facts about personal car lease
1.In a personal car lease, you can rent a car for the duration stipulated. The car is neither yours nor the leaser’s however; the car is entirely under your disposal. The most important thing to remember is that you do not own the vehicle. You get to use it but must return it at the end of the lease unless you choose to buy it.
2.Up-front costs may include the first month's payment, a refundable security deposit, taxes, registration and other fees and other charges.
3.Monthly lease payments are usually lower than monthly loan payments because youare paying only for the vehicle's depreciation during the lease term, plus rent charges (like interest), taxes and fees.
Advantages of personal car leases
There are so many advantages to car leasing that’s why this is becoming so popular. Individuals can save a lot of money and hassle by simply leasing a car instead of buying it outright.
1. The leaser will not worry about major repairs since it is covered by the warranty.
2. Another benefit to car leasing is that a person or company changes cars every few years so no need to worry that the car you are leasing will break down.
3. The leaser will be driving a new car every two or three years. Tedious car repairs are avoided.
4. In the long run, you will be saving lots of money, time and energy.
Tips before finalizing lease
All conditions must be favorable to the leaser so before finalizing your personal car leases, take note to some of these risks;
1. Lease 'specials' is a risk.Car manufacturers subsidized deals to make lower monthly payments while this is in your favor but your buyout price at the end of the contract will be much higher.
2. The down payment is a risk since this drive off fees of around $1,000 to $3,000 are not included in your insurance. If the car breaks down, the insurance pays only the leasing company.
3. Manufacturers are suppose to stipulate lease terms which are favorable to you. The length of the auto lease is three years with a mileage limit of 12,000 miles yearly – will this be sufficient? You will be paying extra if youare over the 12,000 mileage limit plus the wear and tear of the car.
4. At the termination of the lease, you will realize that the car lease turns out to be more expensive and more difficult to get out of the term than simply selling or trading off your car. Rent the car for a few days before signing the contract.
In the United Kingdom, leasers are ensured all the comfort in maintenance since a team of experts are available to support customers at any time of day or night. Whether for business or pleasure, enjoy the benefits of personal car leases.