The following is a blog answering the most common questions when it comes to leasing a vehicle.
What are the advantages of leasing?
There are many advantages to leasing which you can view here. But the main points are being able to pay small monthly amounts for a vehicle you may not be able to purchase outright. You now don’t need to worry about the sale of your used vehicle and including a maintenance option means your servicing and maintenance needs are covered so no need to worry.
Can I lease a used car?
For a vehicle to be able to be leased the vehicle needs to be VAT Qualified. This means that the vehicle is registered by the dealership for staff or demonstrator use and can be leased up to a certain age, but cars which have been registered to an end user cannot.
Can I use my personal Number Plate?
Yes, you are able to use your personal number plate on a lease vehicle as long as when the contract is coming to an end you leave enough time for the registration plate to be removed.
Where do I take the vehicle for Maintenance and Servicing?
Each agreement is different, but here at think auto leasing, you would get in contact with us and between yourself and our leasing consultant, you would decide a time and a place we can come collect the vehicle. We will take it to the nearest garage which is approved by us and bring it back to your desired location once the job has been completed.
What is GAP Insurance?
GAP or Guaranteed Asset Protection is used when covering the difference between your vehicle insurance cover amount and what you initially paid for the vehicle and in some situations can also help with repayments if the car is on finance.
After you first pick up your new vehicle, it instantly loses value and continues to do so over time. This means that if your vehicle was written off, stolen or involved in a fire your insurer might pay out far less than you originally paid for it. GAP insurance can help to fill in the gap and help to lessen the financial damage that has occurred.
What happens at the end of the lease?
Depending on the contract and what was agreed at the start of the term there are different options. There is an option to extend the lease, an option to buy the vehicle at the end of the contract or to simply return the vehicle and start a lease with a new vehicle.
What happens if I go over my contracted annual mileage?
If you go over your contracted annual mileage you will pay ‘Excess Mileage Charge’ for each mile you go over and the amount will be stated in your contract, measured in pence per mile.
Can I change my annual mileage during the contract?
The mileage is agreed before the contract begins, but in certain circumstances most companies will let you change your mileage agreement during the leasing term.
Can I end the leasing agreement early?
The answer is yes, you can end the agreement early but you will be given an early termination fee which would need to be discussed with a consultant. If you want to terminate the contract in the first 6 months the termination fee will be considerably higher.
“I have a poor credit rating, can I still lease?”
For this you would have to contact one of our leasing consultants as in most cases the answer would be no.