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Car Leasing Contract Options Explained
posted on Oct 01 2014 by Kiri Nowak
If you are new to car leasing you might not be familiar with some of the contract options that we offer. It’s important to understand how the different options affect the monthly payment of your car.
If you think you have found a better deal, check to see what type of contract is on offer. If you give our sales team a call they will be able to explain all the options to in you in detail and help you find the best deal based on your circumstances. Here is a bit of information about car leasing contract options and what they mean.
This is how long the contract will be taken out for. Here at LeaseYourNextCar.com we offer two, three and four year contracts. You need to think about how long you need a car for and when you are likely to want to upgrade. In most cases the longer the contract the cheaper the monthly price. However, it is better to look at the overall cost that you will be paying over the length of the contract when making a decision.
The most popular option that people choose is 24 months. Many people like the benefit of being able to lease a car for two years because they want to upgrade their car regularly. If you go to a dealer the contracts are often three, four or even five years which means you are stuck with your car for a long time. With leasing you can decide which length of contract suits you best, select from 12, 24 or 36 months.
You need to think about how many miles you are likely to drive each year before you decide on a car leasing contract. We offer mileage options ranging from 5000 miles for those who just want a run around car to 40,000 miles for those who use their car for long journeys on a daily basis.
Work out exactly how many miles you think you might do and select the most suitable mileage limit. If you do go over the agreed mileage you will have to pay a fee. This fee is charged per mile that you do over the mileage limit and varies depending on the manufacturer and car. Speak to a member of our sales team if you have any questions about mileage.
Deposit (contract profile)
Another thing that is important to look at when comparing car leasing deals is the deposit or contract profile. You can pay either three or six payments up front as a deposit. The higher deposit you put down the lower your monthly payments will be. Car leasing deposits are non refundable because they go towards the overall cost of the car over the lease period. If a deal looks really cheap on another website check to see how much money you have to put down up front as it could be a lot more than you expected.
Service and maintenance
If you want you can include service and maintenance is your lease contract. This is included in the monthly price that you pay as an additional cost. Maintenance packages do tend to vary depending on which manufacturer and which package you choose.
If you have maintenance included then you don’t have to worry about paying for repairs which can be an unexpected cost. It means you know exactly what you are paying each month and there are no nasty surprises. Some maintenance packages also include servicing which can add up to a substantial amount over three years if you have your car serviced once a year or more.
Business or personal?
We offer both business and personal car leasing. Business car leasing deals tend to be slightly cheaper. If you want to apply for a business lease then you need to make sure you qualify. Business lease deals are available to people who are self employed, own a business, sole traders, limited company, partnerships or LLP. Please give us a call if you are unsure or to simply check whether you qualify as a business customer.
If you are not able to demonstrate that you are a business customer then you will need to take out a personal lease. They work in exactly the same way, the only difference is the price.
Give us a call on 01903 323 003 if you have any questions about car leasing contract options. Visit our website to view all our latest car leasing deals.