A car leasing is a long term rental of a new car from the leasing company. You have to pay a deposit, then a set amount each month in order to keep leasing the car.
- How does it work?
To start with you’ll need to pass a credit check, but your monthly repayments are still your own responsibility. There may also be an admin or processing fee that comes with it.
- Mileage excess
You will have to declare an annual mileage, and if you go over a certain amount then you have to pay a fee.
For the vehicle, you’ll have to buy your own insurance, fully comprehensive insurance will cover the cost of repairs for the lease car and any damage cost to third parties.
- Wear and tear?
Any damage that happens when you have the car will require a fee from the leasing company. When you lease a car you should ask for a copy of the BVRLAs standards from the leasing company.
- When the lease finishes.
Once the lease has finished you can either finish the lease and hand back the keys or switch to a new car.
- Maintenance package
Leasing companies usually offer maintenance packages, which include;
-Labour and parts for mechanical and electrical repairs
-MOTs (if required)