If we put it simply, leasing a car is a long term rental plan where you pay a fixed amount monthly to use a particular car for a period of time or the number of miles that have been agreed in advance. Car Lease Deals are an enticing choice since it lets the user to drive a newer vehicle in much less cost than it would be required to buy one.
Common Mistakes to avoid
Though the Car Lease Deals are meant to save money for the user of the car, but there are a few common mistakes they often make which ends up costing them more money.
- Paying Heavy amounts of upfront money
Apart from having to pay low lease installments monthly, the user is also asked to pay huge amount of upfront money in advance. It is suggested to avoid paying such heavy amounts as a pre payment and pay higher monthly installments instead.
- Ignoring the importance of Gap Insurance
Consumers must look for lease agreements that include gap insurance to avoid having to pay any amount from their pocket in case of an accident or theft.
- Not paying attention to the maintenance of the car
If the user of the car does not pay any attention to its maintenance, chances are, he will have to pay a heavy price at the time the lease ends. Most of the leasing companies will assess the damages at full market value.
- Leasing for a long Period
The consumer must avoid leasing a car for a long period. Most of the cars have a lease term of two to four years but it can also go beyond that. Leasing the cars for a long term is not advised since the user generally ends up paying huge amounts on its maintenance and wear and tear.