Personal Car Leasing
Find out why more and more people are turning to leasing a car than ever before
What is Personal Car Leasing?
More and more people are turning to leasing a car than ever before as it is the most cost effective way to finance a new vehicle without the huge up front payments.
Very similar to renting a car, car leasing is a fixed term agreement that allows you to order a vehicle of your choosing, make, model, and all the specific options you would like. Contracts normally run between 24 and 48 months and are tailored to your needs in terms of the mileage required.
At the end of the lease agreement, you simply return the vehicle and start your next vehicle lease if required.
Here are some advantages when looking at personal leasing:
Advantages of Personal Leasing:
- Fixed cost motoring; with options for maintenance packages with the contract.
- Flexible payment profiles; you can pay more or less upfront and have a monthly price that suits your budget.
- No depreciation costs; your agreed lease will include a discount and forecasted values at the end of the contract, so you don’t need to worry about any depreciation like you would when you purchase a vehicle from new.
- You only pay for the use of the vehicles.
- Simple Process – We look after the hard work, so you can drive the vehicle for the duration of the contract, and at the end, we’ll arrange the collection for you.
There are plenty of advantages to personal contract hire, but like most financial agreements there are some disadvantages to look out for:
Disadvantages of Personal Leasing:
- The vehicle must be returned in a well maintained condition
- Early termination can be expensive
- You must have fully comprehensive vehicle insurance
- You will never own the vehicle
More information about Personal Car Leasing
Leasing works very well for customers wishing to remove the financial risk of disposing of a vehicle when purchasing a vehicle. Leasing agreements are normally taken over two, three or four years and some contracts can be extended for longer durations depending on the funder's market position.
At the beginning of the contract, you can choose how many miles you wish to do in the vehicle, you can of course do less mileage than the contract, but it's worth remembering that you are paying for that mileage. Additionally, you can do more miles than your contract but will be charged a pence per over miles charge per mile you go over, this is normally around 10p per mile. If you feel you are doing too little or too many miles then we may be able to help as some of the leasing funders will allow you to amend your contract.
Please note that it is the responsibility of the person named on the finance agreement to arrange and pay for fully comprehensive insurance for the vehicle. It is important that the vehicle is returned in accordance with the guidelines set out in the 'Fair Wear and Tear Guide', a copy of which is made available to customers when they are near the end of their PCH agreement.
