The 5 Must Knows Before Leasing a Car
Are you thinking about leasing a vehicle and wondering what you should know before leasing a car for the first time? The expert team at VIP Gateway are experienced car leasing professionals, and we’re dedicated to ensuring our customers have the information they need to make informed car leasing decisions.
So, if you’re wondering, “What do I need to know before leasing a car,” we’re here to help by sharing our knowledge with you. Below, you’ll find the five must-know things you should be aware of before you lease a vehicle.
1. Research is vital
Leasing a car without considering several factors beforehand and looking at what signing a lease will mean for you is not a good idea. This article is a good starting point for your research. You then need to:
Decide which model and trim of car you’re interested in, considering factors such as engine size, running costs, and onboard tech.
Create a realistic budget so you know what lease options you can afford.
Compare rates and offers for lease deals.
If you have any questions during your research, we’re here to provide answers. Call us on 0161 814 9623 or email [email protected] and we’ll be happy to help.
2. Understand your budget and account for all costs
Wondering how to create a budget when you’re researching your leasing requirements? It’s a process that you need to get right. So, take your time and follow these steps,
Check your monthly incomings and outgoings to identify how much money is potentially available for car lease payments.
Work out how much money you’ll have to pay on top of your lease payments, such as car running costs.
Recognise that the amount of your upfront payments helps to determine your monthly payments, so if you want lower monthly installments, you’ll need to factor in a higher cost at the start of your lease period.
What do you need to pay when you lease a car?
When you’re working out your car leasing budget, it helps to have the answer to this question. You’ll realise that you need to pay for the lease itself, but other costs to consider include,
Fuel or charging
Maintenance
Insurance which must provide comprehensive cover
If you’re considering leasing an electric car, read our Electric Car Running Costs guide which includes information you’ll find useful when determining how far your budget will stretch.
When you’ve determined your budget, you’re prepared to search for car lease deals that suit your needs. If you’re looking for deals on the VIP Gateway website and you want to get behind the wheel as soon as possible, we recommend our in-stock lease options. These deals are for cars that are already manufactured. So, once you sign the lease, you can usually expect your lease vehicle to be delivered to your door within 2-4 weeks. You’ll find models in a variety of trims. So, there are options for different budgets. If you prefer to have the freedom to choose design features for your lease vehicle, we can arrange a factory order lease deal for you. These deals have a longer delivery lead-in time.
3. Reading and fully understanding the lease agreement is essential
Your lease agreement is legally binding, so it’s vital you ensure you fully understand it before you sign. Read all of the agreement carefully. Doing this gives you an understanding of what you’re expected to pay and when. Pay attention to factors such as what happens if you want to end the lease early as this can be very costly.
If there is anything you don’t understand when you’re reading the agreement, don’t hesitate to ask questions. It’s far better to do this than to misunderstand something that ends up being costly to you later.
4. Choosing the correct mileage allowance is vital
Before you agree to a lease for a car, ensure you know what mileage allowance you need. Carefully consider the number of miles you drive each year and make a note of the figure. It’s better to slightly overestimate your annual mileage than to underestimate it.
This is because you use this figure to determine how much mileage needs to be included in your lease agreement. If you don’t have enough mileage and exceed the allowance during the lease period, you’ll need to pay an additional charge when you return the vehicle. Requesting an adequate mileage allowance from the outset stops this from happening.
5. What happens at the end of the lease period?
You'll need to return the vehicle at the end of the lease period. When you do this, checks will be carried out. We’ve already covered the fact that you’ll have to pay an additional charge if the mileage check shows that you’ve exceeded the agreed allowance.
A further check shows whether any vehicle wear and tear is acceptable. If this is not the case, you’ll be asked to pay an additional fee. For this reason, it’s vital that you adhere to maintenance schedules for the car throughout the lease period. You should also maintain a regular cleaning schedule for the vehicle.
If you maintain your lease vehicle well and stay within your mileage allowance, you shouldn’t have any additional charges to pay when your car lease ends. However, you will need to decide if you want to sign a further lease agreement. To prepare for this, look at the current lease deals available and identify any that appeal to you and fit your budget.
When you return your vehicle, we’re happy to help you find a new lease that suits you. Once you’ve signed this agreement, you’ll take delivery of a brand-new vehicle with the latest tech on board for an excellent driving experience.
Understanding these points you should know before you lease a car makes the process simple. If you have questions about any of the information in this article, or other car leasing matters, call us on 0161 814 9623 or send an email to [email protected]and we’ll be happy to provide answers to your queries.