Car Leasing with Plan
Never Leased Before?
If you have never leased before you're going to have lots of questions. In order to help you and answer any questions you may have, we have written a help guide. Leasing is the best way to avoid losing money on your new car. But is how does it all work?
It's Not as Confusing as You Think
Although it may seem confusing, it really isn't. You lease a car for a fixed term, which is normally around 2 to 4 years. For the term of your contract the car will be yours to use, but you simply will not own it. During your lease contract you will make fixed monthly payments. After it ends you give your car back and look at getting a new one. Really simple isn't it?
How Are Our Prices Worked Out?
Before you take out a contract we want you to know how we get our prices.
1) Our funder works out the residual value (the vehicles value after the contract).
2) They work out the value by setting a limit to how many miles you can drive per year.
3) The future value of the car is deducted from the RRP (retail price).
4) You pay the difference in the form of monthly payments.
Why Lease and Not Buy?
1) Lets get this one out of the way. Buying a new car is easily one of the worst investments you will make. Did you know that when you drive your car away from the dealer it loses value? Well it does. It will then keep losing value with the more miles you drive. Within the first 3 years most cars will lose between 40-60% of their value. If you lease, you will not have to worry about the value at all. You will also be better off money wise.
2) Unless you are really well off, you probably wouldn't think about getting a new motor that often. But what if we told you can drive a new motor every 2, 3 or 4 years? Well you can if you lease!
3) If you like to budget, leasing is a great option. You contract will have set monthly payments meaning zero interest charges. Perfect for the budget conscious.
4) Do away with the pain of selling your car. Yes, that's right, you will no longer have to go through the hassle of selling before you can buy. Because you do not own your vehicle, you don't have to bother selling it. No more dodgy dealers. No more adverts in Auto Trader. What a result!
5) A luxury car from brands such as BMW, Audi or Mercedes may be in your reach. Really? Yep! Because luxury cars lose value at a slower rate, you can find some really cheap deals. This means you might be able to get a car you couldn't afford if buying.
6) Keep more money in your pocket. Leasing is usually a cheaper option than getting a loan. In addition, you only pay a 3-9 month initial payment up front. Sweet.
7) Save even more money by not paying for road tax. Really? Yep. You will get free road tax for the term of your lease!
8) When you buy a new motor, it will more than likely be out of warranty. But you will usually get full warranty when leasing. It covers you to drive up to 60,000 miles or three years (whichever is first). Have piece of mind knowing your cars gearbox, electrics and steering are covered.
Q: Will I be able to take out third party insurance?
A: No. Because the car is not yours you will need to fully comp insurance.
Q: Will I legally own the car?
A: You will never own the car. You will have full use of the car but it will never be yours to own.
Q: Are there any limits or policies?
A: Yes. As well as a set amount of miles you can drive per year, there's a fair wear & tear policy.
Q: Can I buy after the contract ends?
A: Typically there is no option to buy at the end of your contract. But there are some types of lease where you can buy at the end. Contact us for more details.
Q: Can I get out of my contract early?
A: Yes, but be aware, it can be very expensive. Please contact us if you need any advice.