Are you thinking of leasing a car? Why there is this tremendous demand for private car leasing? Are there any advantages that can be derived from this type of leasing? Do you need car leasing explained? Personal car leasing is a flexible financing agreement between the leasing company and the client that funds the usage of the vehicle but never confirms the ownership of the vehicle. The client usually has the responsibility of maintenance and insurance but cannot purchase the product outrightly. The leasing company remains the legal owner of the car and the customer the registered keeper.
There are certain benefits that can be derived from this type of leasing and the benefits are as follows-
- The tax of the car is included in this type of agreement during the duration of the contract.
- At the end of the lease agreement, the vehicle is returned to the company and nobody has to worry about the car’s residual value and nobody have to take the responsibility of looking for a buyer.
- Initial deposits are low normally just three payments.
- Monthly payments are fixed without any fluctuations.
- Do not have to suffer from residual fluctuations.
- Can drive cars which are not easily available.
- One can frequently revise cars every two to three years.
- Benefit from the technological advancement of the new car that one is driving.
The various advantages that one can get from a personal car leasing company make them an attractive option for private individuals. Car leasing, it is more financially feasible than purchasing a vehicle and then maintaining it for life. The benefits are as follows-
- The monthly payments are lower than the purchase loan because the client pays for the portion of the car they actually use.
- In car leasing, there is the option of making no down payment.
- There is the scope of driving more cars for the money and also provides the chance of driving a new vehicle every two to three years.
- The repairing and maintenance are covered by the contract.
- The clients are often exempted from paying sales tax on the entire value of the leased vehicle.
- Leasing helps to eliminate the headache of selling a used car. When the duration of the lease ends the car is simply returned back to the leasing company.
- Most of the leased cars automatically include free of cost protection. In case the car is damaged in an accident or if it is stolen the full cost is pad even if insurance does not cover the full loss.
Apart from the advantages attached to private leasing the services offered by these companies are superior. The expert professionals of the company help the clients to make their choice and also assist them in the paperwork and also help in understanding the contract. This is a type of leasing which benefits the customers immensely.