Car Leasing: A Simple Definition
Creating a simple car leasing definition is not the easiest task.
Although on the surface car leasing is a simple agreement there are so many different types of car lease, as well as different circumstances and car agreements that every car lease is slightly different! If we forget all these different circumstances and look at the broader definitions of car leasing, we get quite a simple explanation!
Car leasing is essentially ‘renting’ a car. This rent goes on for 2-3 years with set monthly payments, usually including a service package and MOT checks. At the end of your lease you may have the opportunity to buy your vehicle by paying a ‘balloon’ payment, or you just hand your car back to the finance company. Simple! The great thing about car leasing is that the theory of it is very simple, and it can be adapted to suit your circumstances! For instance, there are longer and shorter leases available to you, meaning that your lease can be adaptable. Some leases come with the option of buying your car, whereas some do not, meaning you just hand your car back after your lease is over.
Now you understand the basic principle of car leasing, talk to our experienced Advisor’s about what kind of car lease would be best for you!