Types Of Vehicle Leasing You Should Know
For both the public and businesses, it is well documented that vehicle leasing can be financially beneficial for them. It is easy on the other hand to be bogged down with wide varieties of options available before you. Here in this article, you’ll learn about the jargon as well as other reasonable tips that can be very useful when choosing which contract hire or car lease deal to choose for your needs.
Number 1. Choosing a contract hire – no matter if you’re a partnership, limited company or sole trader, this contract hire will probably do fine, which makes it very versatile. You’ll only need to pay for monthly or fixed rental and most of the time, included in the package is service and even repair of the vehicle you have chosen, which is the biggest advantage for choosing contract hire.
It will be a smart move of you to make sure that this is included in any lease deals or offers to avoid dealing with hidden costs. Contract hire is available on a18 to 48 months contract at which time you must return the car to the lender.
Number 2. Choosing personal contract purchase – known otherwise as PCP, this car lease deal is offered often on a 2 to 4 year deal. And so long as you have a good credit rating, you can easily use PCP. It is almost the same to other kinds of lease available in that you’ll have to settle the initial low amount and which will be followed by fixed monthly payments. At the end of contract agreement, you’ll have to hand the car back to lender of if you want to, you can pay them to keep the car for good.
Number 3. Choosing personal contract hire – this is also offered on a 2 to 4 year basis much like personal contract purchase and is the best option for business and companies that provide employees of certain stature of personal car allowance. Just like with other deals, you have to be sure that the service, repair and maintenance are included in the deal and that you are going to return the vehicle before the agreement expires.
These are just some of the different kinds of car leasing that you should take into mind when making initial inquiries regarding car lease. On the other hand, say for example you have bad credit rating or just a new company, there are other available options if you want to lease a car that you might want to inquire about such as lease purchase, subprime contracts or non-status contracts as well as hire purchase.