Leasing

bandit

bandit

bandit

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Brum, Brum, Brum, Brum....
I've started a new job and have decided i should treat myself with a new car


I've been driving my toledo for 5 years, and although its been great, its been a workhorse, not exciting exactly!

off course i dont have the full cahs up front, so i have been looking at leasing a car for three years.

has/is anyone leasing? I'm looking round and it seems like a good idea, but i'm not sure
 
Leasing is a poor idea unless you are a business and can offset tax against the cost. Personal leasing rarely ever makes sense.
 
Dont lease ever, The companies have a get out clause that can led you in most cases be fd with high bills, if you dont service the car within 100 miles of the 5000 mile service. then they force you to take it to a pre approved dealer...
 
If you do this be very, very careful with it. Despite the car looking, to most eyes, as good as the day I got it, I ended up with a £1300 bill for 'damages' on my A6 when it went back because of some very very tiny parking dings (where people had obviously nudged it when parked) and the fact I had fitted W rated tyres instead of Y... on a 2.0l diesel.

Also don't forget to factor in 'documentation' or 'arrangement' fees by the broker. Anywhere from £150 to £500 in my experience.

If you get the right deal, and you have no capital or need to maintain liquidity, and you absolutely must have a brand new car then it can be a good option - even with the extra £1300 mine was excellent value costing much less than the depreciation on the vehicle over 2 years. For most people I would recommend buying a 2 year old example of whatever car you fancy.
 
chumpit said:
Dont lease ever, The companies have a get out clause that can led you in most cases be fd with high bills, if you dont service the car within 100 miles of the 5000 mile service. then they force you to take it to a pre approved dealer...
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Poor advise

Your leasing company does this, but not all leasing companies are the same.
 
what the hell?

I've had lease deals in the past and never had any of the issues mentioned here. It was from a dealer and I took the car to any other dealer I liked, they all serviced it, I was given a guaranteed price upon the lease expiration and charged 5p a mile if it was over the agreed mileage.

A hefty car allowance and expenses does all help though :)
 
thanks for the comments, a bit of a mixed bag :)

I basically want the new car, without the killer depreciation.

not a new car for a new cars sake, but because i prefer some of the newer cars e.g. bmw 5 series tourer.

maybe a loan would be better...hmmm
 
[TW]Fox;13826607 said:
No such thing. What do you think you are paying for as part of a lease? Thats right, the depreciation on the car + the profit margin for the lease company.
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i know i know, wishful thinking i know!

better a 1 year or 2 year old

:)
 
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its actually not so cut and dried at the moment

getting a loan with a decent interest rate at the moment is pretty damn hard..in fact some are charging twice the interest on a loan than when I got my car 3 years ago

and even though the base rate is rock bottom there seems to be no sign of banks making their loans more attractive. I know its what got us into this economic mess at the moment but I'm a safe bet and willing to spend! but nobody wants to lend at a good rate for me
 
[TW]Fox;13826607 said:
No such thing. What do you think you are paying for as part of a lease? Thats right, the depreciation on the car + the profit margin for the lease company.
Click to expand...

Exactly, this is why cars you'd think would be more expensive than others sometimes aren't as the other car costs the lease co more in depreciation.

My folks have been leasing cars for 10 years or so through their business as it's been the cheapest way for them to have a car. They were able to claim stupid amounts back on the lease cost.

Never had any issues as mentioned above, although they always made sure they had any dings and scratches fixed before handing it back. Normal wear and tear for the age of car is fine, i.e. you'll expect the odd scrape on a wheel on a 2 year old car so they don't usually mind. They were also free to take them to any dealer for servicing, not sure if it had to be main dealer or not but tbh it's a brand new car under warranty so it's not really going to cost much anyway.

However for an individual I can't see how it will be a good idea, although you can sometimes pickup some good deals when they have offers on.
 
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