Personal Leasing Benefits
A guide to the benefits of personal leasing
The benefits of leasing a car for personal use
Leasing a car offers numerous advantages over buying. In this guide, we’ll explore the top 10 benefits of leasing a car and why it’s a smart choice for today's drivers in need of a new car for personal use. If you want to learn more about what personal leasing is or the things you need to keep in mind when leasing then we also have other car leasing guides for you on these topics and more.
Top 10 personal leasing benefits
Let’s dive into the top benefits of leasing a car and see why more drivers are choosing this option:
1. Brand new car
You’ll get a brand new car and all of the benefits that brings, including:
- The latest in-car and vehicle technology
- No existing wear to the vehicle
- The manufacturer’s warranty (depending on the length of your lease this could cover the entire agreement)
You’ll find a lease available for almost every manufacturer and model so you’ll be able to pick your perfect car as well!
2. Lower costs
Leasing is much cheaper than buying a car outright or making monthly payments on a personal contract purchase agreement.
You can choose to pay a larger sum upfront to get even lower monthly rentals or you can pay a lower initial rental if this works better for you. Either way, the total cost of the lease will remain the same, but you achieve that flexibility.
Additionally, you won't own the vehicle so a lot of the costs associated with ownership, such as the road tax and maintenance work (if you’ve taken a maintenance agreement), won't fall into your hands. In short, leasing helps make your budget stretch further.
3. Drive better models
A lot of the time our customers find that they can afford a higher spec model because the cost of leasing a car is less than purchasing one. This means that you’ll be able to drive a better model without exceeding your monthly budget.
4. Customisable terms
When you take out a lease agreement, you'll choose the length of the contract as well as how many miles you drive annually.
The terms of the agreement will contribute to the cost of the lease but it'll be up to you to decide the right terms for you before signing. Once you’ve signed the agreement you may be able to amend it afterwards but it will affect your monthly payments so it’s best to pick the right terms from the start.
5. Fixed monthly cost
When you take out a lease agreement you'll agree to a fixed monthly rental price for the duration of your contract. This fixed monthly cost can help you manage your budget.
The only time this may increase is if you exceed the contract length into an informal extension where any initial rental you pay will no longer be taken into account.
6. Low maintenance costs
You can take out a maintenance agreement alongside your lease agreement; a smaller additional monthly payment in return for all the essential maintenance work, servicing and MOTs on leases of 3 years and longer.
The maintenance agreements won't cover work required due to driver negligence or misuse and some other circumstances so check first what is and isn’t included, but for many of our customers taking maintenance is the right choice.
7. No depreciating asset
As soon as a vehicle is purchased it begins to depreciate and will continue to do so for the duration you have it. With a lease car, when it's time to upgrade, you needn't worry about getting the best price, nor funding the difference to buy a new vehicle.
8. Road tax covered
For the duration of the lease agreement, road tax will be paid by the funder. They'll cover the amount that the vehicle is first taxed at for the entire agreement but may charge you any increase in the road tax if it changes during your contract length.
9. Easy handover at the end
At the end of the lease, you’ll simply need to call your funder and they’ll arrange for the vehicle to have its inspection and be collected.
If you have a new vehicle coming, you can arrange for your existing lease to be collected on the same day to make the transition even easier.
10. Simple and straightforward process
If you decide to take out a PCH lease with Xcite Car Leasing, rest assured we've created a streamlined process making leasing easier than ever before.
Leasing removes most of the stress of getting a new car. It's one of the biggest benefits of car leasing over the hassle that selling and purchasing can be.
The ease of leasing a car as part of a PCH deal is one of the main reasons it's becoming such a popular choice among drivers.
Things to consider outside the benefits of personal leasing
We’ve listed plenty of car leasing advantages, but how do you know it’s the 100% right option for you? Things you should definitely consider before taking out a PCH agreement include:
- Since mileage allowances are agreed as part of the deal, you’ll need to know roughly how many miles you intend to travel per year, since going above will lead to excess mileage fee charges.
- Ending the contract early requires an early termination fee.
- Is owning the car important to you? If so, a PCH deal might not be the right option as you’ll not be the car’s official owner.
- Can you afford the monthly payments as well as the initial rental amount?
- How long will you need the car for so that you’re not paying longer than you need to?
Have you decided that the benefits of car leasing are right for you? Ready to find your dream lease car? Then take a look at our top offers or head over to our personal leasing page for more info.