An Overview Of Leasing A Car

It is a very common and cliche remark that car is a status symbol and does not count as a real time investment. The logic behind this remark is simple as vehicle has depreciating value. At the end of its usage period a car never fetch the same value as a brand new one. Keeping this particular thing in mind many consider that investing to purchase a vehicle is a bad decision. Not only there are a lot of car leasing companies operating out of United Kingdom also they offer extremely attractive packages. click site

Car leasing business is so much in vogue that there are certain luxury vehicle makers who are providing car leasing option to their prospective clients. Leasing a vehicle is a very flexible option where a vehicle is leased out to an individual for a certain period of time. Leasing includes insurance, maintenance of the vehicle in the monthly rental of the car. The ownership and liability of the car remains with the rental company. The lease contract of the car mentions the condition in which the car should be returned to avoid any additional payment.

During the lease period the client can enjoy the ride and at the expiry of the term the customer simply returns the car and he remains eligible for leasing another car.

Benefits derived from car leasing by individuals-

Car leasing rentals are always lower than bank loan

Leasing is a good option for car enthusiasts as they often like to try out new car

Business contract hire is most widespread in United Kingdom. It is the most affordable and manageable form of car leasing services of a company. This sort of contract hires charges low fixed monthly rental payment which is extremely attractive for the business establishments.

The benefits of business contract hire are as follows-

This particular type of contract includes low initial payments which require three monthly payments upfront. For a fixed monthly payment the business house get to utilize the vehicle for an agreed period and mileage that suits their needs. Monthly payment is determined by the type of vehicle, purchase price of the vehicle, the mileage, residual value of the vehicle.The corporate houses have to pay an additional fee so that every hazard associated with the car is taken care of by the business contract hiring company. Be it servicing, replacement or maintenance everything is taken care of by them.This particular kind of contract provides flexibility to the business because they can respond to the ever changing market condition promptly. This also helps to respond to the Corporate Social Responsibility guidelines better like switching to greener and fuel efficient vehicles quickly whenever required.Rental charges can be offset against taxable profits.

In this globalized atmosphere car leasing is booming as a business proposition and it is also getting the required attention it deserves from both the individual and corporate houses.