Should You Lease Or Buy A New Car?
The right to know should be a part of every consumer’s mantra. Knowledge is power and it is truly helpful in practicing smart buying decisions. Hence, people who are planning to lease a car should scout for the right information on leasing a car before signing the contract.
First and foremost, auto leasing is an appealing choice for short term lease. However, it is not for everybody. So it is important to determine whether this option is right for you.
Leasing in layman’s term simply means renting. In car leasing lessees are only paying a portion of the car’s value. Customers also have to return the car in its original shape, though some may choose to purchase the car when the term of the lease ended.
Car Leasing Singapore: The Benefits Of Auto Renting
Identifying the benefits of car leasing as well as its downsides is one way of knowing if it is right for you. The good thing about auto leasing is that it requires no or little down payment and a relatively less costly monthly payment.
Another big advantage of leasing a car is that the interest rate is tax deductible. This refers to leased cars used in business appointments. Moreover, the chance of driving a luxury car or, if not, a brand new car is an additional bonus for customers.
Car Leasing Singapore: The Disadvantages Of Car Rentals
Moving on to its downside, the greatest strength of car leasing also seems to be its weakest aspect. This is particularly true for careless drivers. Lessors usually charge excessive cost on tear and wear that a scratch should not be considered minor car damage. Make sure to ask the lessor to define the excessive tear and wear charges in written form.
Some lessees believe that the car insurance is paid by the car leasing companies. Aside from insurance, lessees will also have to pay for yearly mileage, maintenance as well as parking and traffic tickets.
To sum it up, auto leasing is favorable if the lessee wishes to use the car for less than two years. But if the customer will have to keep the car for more than four years, it is better to buy a new one. This is because when the period of financing a new car ended the customer has something valuable to keep.
Car Leasing Singapore – Learn how to meet your transportation needs without financing a new car. You can acquire more knowledge about car leasing by visiting this website.
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A great list of tips on whether buying or leasing a car is the right option for you. I’d like to offer a blog to share that may offer additional tips for your readers.