Leasing cars is becoming an increasingly popular option, and it’s thought that 1.6 million people in the UK now lease their cars rather than buying them. Leasing a car is a kind of long-term car hire; you sign a contract to lease the car at a fixed monthly cost for a specific period of time (usually two to four years), then simply return the car at the end of the contract. There are numerous benefits to leasing a car – here are six.
1. Affordable Monthly Costs
The cost of leasing a car tends to be much lower than buying a car upfront or purchasing a car through financing systems. There are even options available for people with poor credit history. Compass Vehicle Services offers bad credit car leasing that looks at your bank statements and monthly payslips rather than checking your credit history, so anyone with proof of regular income can lease a car.
2. A Choice of Cars
Since leasing is more affordable than financing or buying a car outright, you’ll be able to choose from a wider range of cars – potentially including more luxurious cars that you might not otherwise be in the position to pay for. Go on, treat yourself!
3. Easy Upgrades
The nature of car leasing means that at the end of your contract, you simply return the car and are free to lease a newer model if you choose.
Safety technology is progressing quickly, and newer car models are usually equipped with the latest and best in car safety features. Upgrading your car every couple of years will give you access to cars with better safety tech, so you can keep yourself and your family safe.
4. Less Financial Risk
Another great thing about leasing is that you know exactly what your monthly costs will be before you sign the contract, and you don’t have to worry about the value of your car depreciating.
Most people know that when you buy a car, the value plummets as soon as you drive it out of the showroom. Leasing allows you to avoid that problem, so you don’t run the risk of an unexpected loss in value at the end of your contract period.
5. A Simple Returns Process
When you own a car outright and want to get rid of it, you have to go through the long process of trying to sell it. It’s a lot of admin and paperwork, and you nearly always end up with less than you expected.
At the end of your lease, on the other hand, you simply return the car to your leasing company, and that’s that: no surprises, and no hassle.
6. Bonuses Included in the Price
Most leasing companies include perks in the Price of your lease. Whether the car you lease is brand new or nearly new, the manufacturer’s warranty will still be valid for the duration of your contract, meaning that if anything goes wrong, you’re covered. Road tax is also usually included, so you could be saving money day to day and month to month.
Leasing a car is a great option, especially if you like to get a new car every couple of years anyway with auto insurance. Consider these benefits and see if you could save by leasing your next car.