What is Leasing?
Leasing is a long-term rental agreement offering the exclusive use of a car or van for a set period of time at a fixed monthly price. It offers an alternative, and often cheaper, funding solution to buying a new car or van with a bank loan or dealer finance.
Car leasing helps you avoid any unexpected costs by offering a fixed monthly payment for the term of the lease. The customer doesn’t have to worry about depreciation or selling the car as this job falls to the lease company.
How Leasing Works
At the start of a contract, the customer pays an initial rental usually equivalent to three monthly payments.
The customer then makes monthly payments for the duration of the contract term. At the end of the contract (typically two, three years or four years), the customer simply hands the car back without any further obligations, or may choose to purchase the vehicle depending on the type of contract taken.
What is Personal Leasing?
If you are applying for vehicle finance as a private individual, you may be eligible for personal leasing. Personal leasing long-term rental agreement that allows you to use a car or van for a set period of time at a fixed monthly price.
Although there are a number of different personal lease contract types, Business Class Leasing are specialists in Personal Contract Hire agreements.
Personal Contract Hire
Personal Contract Hire (PCH) is a long-term vehicle rental agreement. With PCH, you pay for the use of the vehicle throughout your contract, then return the car to the finance company at the end of the agreement without any further obligations.
Business Contract Hire
Business car leasing allows you to finance your fleet and company cars into fixed monthly payments through choosing from a variety of contracts available, each based on what suits your budget and needs best and what you want to happen at the end of the contract.
A business lease contract works exactly the same as a personal contract, except it has the added tax benefit, allowing you to save money when leasing your business cars.