A Guide To Leasing A Car For The First Time
Whether you are looking at a business lease or a personal lease, the way you need to understand and navigate the car leasing market is much the same. Like any financial agreement you make of this kind, the options open to you can be a bit of a minefield, but sites like Pink Car Leasing simplify the process, highlight some of the best deals and regularly update lists of what are the most popular current vehicles to lease.
All that said, car leasing can appear to be a daunting process for the first-timer, but follow these simple directives and you can enjoy a lifetime of happy motoring on amazing terms that are designed specifically to suit you.
Why should I lease a car?
- Most car lease dealers build good relationships with car manufacturers and therefore can negotiate the best deals. In simple terms, this usually means that leasing a car is more cost-effective on a monthly basis than purchasing a car. Another way of looking at it is that, for the same monthly cost, you can probably afford to drive a better class and quality of car than if you were purchasing it.
- Car leasing allows you to drive a brand new car every two years, or however long you want your lease period to be. Because you never own the car you don’t have to worry about losing money on its value through depreciation.
- You can save money via your car leasing deal on service and maintenance, because this cost is built into your monthly payment and is arranged via an approved service provider. Furthermore, your car will be covered by the manufacturer’s warranty as it is new.
- As the car is new, it is unlikely you will face the costs of an MOT, as this only applies when a car becomes three years old.
- Road tax is also usually incorporated into your monthly cost, so you can budget safely, knowing your motoring costs are all included in one fixed expense.
What else do I need to know about car leasing?
- You will need to put a deposit down on the car you want before securing it. This will usually equate to around three monthly payments.
- The monthly payment you agree is based on the type of car you want, the length of contract you want and the mileage you expect to do.
- You will need to agree a mileage restriction which is based on your expected driving patterns. If you exceed this then you will face some costs, as the car leasing company is basing your monthly payment on the expected depreciation, which is driven by your mileage. So if you exceed this mileage then the car is worth less to them.
- There are usually other restrictions built into a car leasing deal, such as not being allowed to drive the car abroad and not being allowed to carry out modifications to the interior or exterior of the car.
- You will be subjected to a credit check prior to finalising a lease agreement, as this is a financial contract just like arranging a bank loan.
- You will be responsible for arranging your own car insurance for the car you choose to lease.
What happens at the end of the lease term?
Quite simply, you return the car to the lease company and, if you want to, choose another brand new car to drive away on a new agreement. You need to ensure that the car is returned in good condition, subject to general wear and tear. Any excessive damage or deterioration you will need to pay for.
Pink Car Leasing can explain all the conditions to leasing a car and always make these very clear before any agreement is finalised. Furthermore, should you fall behind on your monthly payments, Pink Car Leasing will seek to renegotiate the financial agreement with the aim of finding a workable solution for you, rather than simply taking the car back. This peace of mind ensures you have years of happy motoring in your lease car, in the knowledge that your car leasing company is there to help.
To search the latest car leasing deals visit Pink Car Leasing today.
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