What is car leasing and how does it work?
Vehicle Leasing a car is similar to a long-term rental (contract Hire). You'll generally make an upfront payment (initial rental), plus monthly payments thereafter, and get to use a brand new car for several years. At the end of the lease, you'll return the vehicle and have to decide if you want to start a new lease, purchase a car or go carless.
A car lease or van lease simply takes away the hassle of older cars and the risk of depreciation that you get with all new vehicles it also allows you to upgrade every 2-5 years into the newest vehicles with all the latest toys and gizmos at a fixed monthly fee.
Follow our simple 6 step car lease process
What is included in leasing a car?
- Brand new car
- Road Tax (RFL) for the duration of the contract
- Full manufacturers warranty
- Free and simple delivery process
What is the benefit of leasing a car?
There are many reasons to lease from Central vehicle Leasing, below are the main advantage of Leasing that we can think of:
Drive a brand-new car every 2 to 5 years:
Leasing gives you the opportunity to drive the latest models available and enjoy the thrill of changing into another brand new model every 2-5 years
Avoid the problems and expenses of older cars:
Brand new cars tend to attract very little issues in their first 3-4 years of life compared to much older cars, leaving you with a healthier wallet and less trips to the garage.
With Central Vehicle Leasing you take the driving seat, set your budget and requirements and we will find the deal for you. Or if you have a specific model in mind we can look to undercut any price you have been quoted where possible. We pride ourselves in our special offers.
Keep your money in your pocket:
You set the initial rental! you can pay as little as 1 month initial rental if required. The total cost of the lease is roughly the same regardless.
Drive a better car:
Nobody likes the garage bills and general headache of an older car, everyone loves driving the latest models! the strength of leasing costs versus other finance options allows you to fulfill the desire.
Pre-set monthly installments, all-inclusive manufacturer warranty and road tax plus maintenance options means every month you’ll always know exactly what you’ll be paying out with no sudden surprises
No depreciating asset:
You don't own the vehicle, the funder does. Therefore they take on all the risk of depreciation, not you. With most new vehicles loosing 50-60% of their value in the 1st 3 years this is the main advantage of leasing
No selling hassle at the end:
At the end of your contract you simply hand the car back, no need to barter with potential buyers - car is collected, that's it! n to your next one.
Does leasing a car hurt your credit?
If you're concerned about how leasing will factor into your credit report and scores, rest assured—their impact is similar to taking out a loan. This means leasing a car can help you build your credit history and credit rating just like a loan would (as long as you keep up with the payments and default obviously). That said, if you do already have bad credit, you may find it difficult time get approved to lease a vehicle. The best way to check your current credit rating is by visiting experian.co.uk.
Are there hidden fees when leasing a car?
There are NO hidden fees in car leases! at lease with central there aren't anyway. We present you with all of the fees associated from quote to order and then reconfirm at contract stage. No hidden lease fees - Central make everything clear so you can make the right decision.
Fees for leasing include: Initial Rental & Monthly Rental, Admin Fee (£150 + vat fixed) - Possible costs include: Excess Mileage charges (if contract exceeded), damage charges that fall outside Fair Wear & Tear, admin charges from the funder for forwarding traffic offences, order cancelation fee, early termination of contract fee, Autoserve Maintenance processing fee (£100 + vat fixed), Servicing, replacement tyres & MOT (if a maintenance pack has not been chosen)
Buying vs Leasing a car, what is the difference?
The primary difference between buying and leasing a car is ownership. When you buy a car, you own the vehicle and can keep it for as long as you choose. When leasing a car, you're essentially renting it on a long-term basis from the funder for a specific period of time. Owning a vehicle can be a pain for many reasons but the main one is depreciation. With a lease vehicle, you simply pay a fixed monthly rate for the duration of the contract you have selected - the rental you pay is based on the funder's residual value calculation (how much they predict the car will lose in value). At the end of contract you simply hand the car back
We also have short term leasing options available too.