Look before you lease
On the surface, leasing a car has many benefits over buying a new model outright. Not only do motorists get to drive away a shiny new vehicle, they do so without having to fork out a huge sum initially or worrying about depreciation.
However, there are always pitfalls and potholes to avoid when leasing, particularly when customers forget to read the all-important small print before signing their contract. Not only can motorists hit legal road blocks if they don’t check the devil in the detail, they can also get burned by hidden costs such as hellish repair bills.
First Vehicle Leasing is dedicated to putting customers in the driving seat and letting them hit the clear road ahead without any hidden obstructions. We pride ourselves on delivering a first-class service and like to keep everything as transparent as a freshly-polished windscreen.
Here, we give you our fail safe guide to leasing without fleecing and list five common pitfalls to avoid when leasing a car.
Pitfall 1: Paying Too Much Upfront
Those low monthly fees may look incredibly tempting, but sometimes this comes at a huge price. If considering paying out a large sum initially, ask yourself what would happen if the car was to get stolen or wrecked…all too often, the insurance company will reimburse the leasing company with the car’s value, but any customer deposit will be lost. Any motorists caught in this trap could find themselves both carless and cashless.
Pitfall 2: Mind The Gap! Why The Right Insurance Is Vital When Leasing.
Like any vehicle, leased cars begin to lose money as soon as they’re driven off the forecourt and, without gap insurance, customers can find themselves seriously out of pocket. For example, if the leased vehicle is written off or stolen, the insurance company will only reimburse the car’s current value – an amount which may be a great deal less than your financial obligations during the term of the lease. Ensuring you have adequate gap insurance can help avoid this shortfall, since the policy will make up the difference between the car’s current value and the monthly amount you’re paying out.
Pitfall 3: Don’t Get Caught Short By Mileage Limits
Low monthly payments could also conceal a low mileage limit, so always look into this before leasing a car. Otherwise, you could find yourself on the hard shoulder of another unwelcome bill, with some unscrupulous companies stinging customers who exceed their mileage limits. Think about your average driving habits and ask for a higher mileage allowance if needed. This may put the monthly premium up, but it will help keep costs on the ground in the long term.
Pitfall 4: Damaging Damages
General wear and tear is one thing, but some companies will often split hairs over any damage to their vehicle and charge for repairs at full market value. To avoid getting stalled by this trap, always ensure you’re fully aware of the lease end-condition guidelines before leasing any vehicle. Don’t assume that a minor scratch will always be ignored – some leasing companies use this as a green light to hit customers with extra costs.
Pitfall 5: Don’t Lease For Too Long
Car warranties usually only last for three years, so leasing the same vehicle for longer than this could result in unwelcome costs for motorists, such as new tyres and brakes – all for a car they don’t actually own. Therefore, it makes sense to change vehicles while they’re still in warranty – after all, being able to drive a new vehicle without huge initial costs is one of the clear benefits of leasing!
If you’re considering leasing a car, call 0800 298 2030 to speak with a member of the experienced team at First Vehicle Leasing today. We won’t bamboozle you with complicated figures and sales patter – just clear, honest information to help you drive away in confidence.