Leasing continues to grow in popularity as more and more leasing companies are offering easier leasing solutions. For people who like to save some extra cash and security, leasing is a great option. Most people don’t know that there are tactics you can apply to get the most of your lease. A lease isn’t the same as a sale so you can negotiate your terms. So here are the top 5 tips about car leasing.
Make Multiple Security Deposits
If it is possible for you, make multiple security deposits. Most of the leasing companies will reduce the interest rates if you can pay at least two security deposits at once. This will decrease your long term cost on the lease and save you more money over the long run. The good thing is that advanced deposits are fully refundable. This option is not however offered by all the leasing companies. When you plan on leasing a car, check if the company you are intending to work with is offering any such incentive.
One Pay Lease
Some companies will offer much more discount if you pay the entire lease amount upfront. This is also known as one pay lease. You can save a lot on a lease that has the entire interest amount stripped of. That is one great way to reduce the cost. This is especially true if you are someone new in the country without any credit history. One pay offer lease is an easy solution for people who have bad or no credit at all.
Some people will make the wrong choice in a hurry and buy whatever car they can when the lease is just about to end. The truth is that you can ask your lender to extend your lease and they will be happy to do it. While most lenders offer month to month lease extension, some lenders may want you to sign for a specific extension e.g. 3, 6 or 12-month lease period. The maximum lease extension period can be up to 12 months. Within this period, your instalments remain the same and your mileage won’t change either. While you have this time, you can easily arrange for another vehicle.
Transfer Your Lease
Do you know that you can transfer your lease if you want to terminate it early? You can do that without paying any penalties as well. So how can you do it? Just swap your lease and transfer it to someone else. There are many services which can do that for you. You can transfer up to 80 per cent of the lease to another lessee who is willing to buy. Only by paying a nominal fee, you can save yourself from a huge penalty.
Read also: Benefits of a Personal Contract Hire Agreement
People who drive a lot don’t prefer lease because of the additional cost they have to pay on extra miles. The truth is, it all depends on how you bargain your mileage setup with your lender. Depending on what type of vehicle you lease and from what brand, you can get over 33000 miles per year. Although the extra miles will cost you more, it will certainly be lower than what you might have to pay for extra miles in the future.
These are the top 5 leasing tips that you should never ignore while leasing a car. You can always visit cheap car leasing website to find an awesome deal.