Sunday, September 29, 2013

Things to Consider Before Car Leasing

After you have decided on the car you want to lease, there are a few things that you should consider while leasing the car. This article has a few important things that should be considered, take a look.

Cost and model of the car – Lease amount and monthly payment will vary based on the car model and purchase price of the car. If it is a luxurious or a new car, then the amount will be high. In case of used cars the lease amount will be relatively less.

Budget – Choose a car that you can afford and is within your budget, because if you choose a car that is exceeding your budget you will have to pay extra charges. 

Purpose of leasing – Be sure on what is the purpose of you leasing the car, is it for personal use or business use. Cars used for business purpose have the benefit of tax deduction, not the ones that are used personally.

Mileage – You need to calculate on how many miles you are planning to travel in a year and add some extra miles at the beginning of agreement, because if you travel extra miles you will have to pay extra.

Get information on cars before going for lease – It is important to have knowledge about different varieties of cars that are available for lease. You can also search online to get a wide range of cars and then compare the prices and get the cheapest and best car. Otherwise, you can call your local dealers and compare price from different dealers and choose the one that fits in your budget.

Condition of the car – Generally new cars are good in condition, but in case of used cars you need to be careful, because there are chances of frequent repairs. If planning to lease a used car check the condition of the engine, model of the car, how old it is, since how long it is not in use, etc.

Insurance cover – It is better to lease a car form a company that provides insurance cover, if any unexpected repair or damage happens to the car, you can claim for insurance.

Purchase options – Some companies provide an option of purchasing the leased car at the end of the lease agreement. It's better to choose dealers who provide this option, because in case if you like the car, you can buy it.

Lease agreement – After considering the above factors while leasing a car, you have to be careful while signing the lease agreement, ask the dealer to disclose all the pros and cons of the agreement.

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