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Pros and cons of leasing and what to look for

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Pros and cons of leasing and what to look for

1. WHY IT’S WORTH IT

All that leasing requires is the payment of a fixed monthly rental fee for the use of the vehicle, while ownership of it and the associated burdens usually remain with the leasing company. It lasts as long as the user chooses (from 2 to 5 years), and after its expiration, you can either return the car or buy it back at a pre-agreed price. It is designed for businesses and freelancers, and anyone can take advantage of its benefits. Leasing has no restrictions and can be used to use any car or light commercial vehicle.

The possibilities of leasing are truly endless, as it offers great flexibility in choosing the model, features and equipment of the car, without requiring the compromises that would occur if the car were purchased. Of course, leasing allows you to avoid the high costs associated with buying a car, as well as complete exemption from operating costs, road tax, comprehensive insurance, maintenance and tire changes, since all this is included in the rent paid by the lessor. every month. Another important advantage of leasing is the fact that the purchase of a car is carried out easily and quickly, without time-consuming bureaucratic procedures, since they are carried out by the leasing company that purchases the car.

The user has the opportunity every few years to use a completely new car, modern, technologically advanced and, above all, safe for him and his family. Besides, in leasing insurance coverage (composite) is included on everything that happens to the car for the entire rental period, and in the event of damage or an accident, a replacement car is immediately provided, allowing the driver to continue his trips as usual. Finally, an important advantage of leasing is the stability of the cost of using a car, since the user does not have to worry about emergencies, accidents, mechanical breakdowns, etc., which allows him to better plan his expenses.

But besides a private person, leasing provides a company with many more advantages, since it allows him to own company cars without significantly costly fleet management, and at the same time, unlike a purchase, it does not require an immediate payment of a large sum for the purchase of these vehicles, which enables the company to to use the capital for some other needs.

2. WHAT TO BE AWARE

Leasing is very simple when concluding a contract, however, when choosing it, a company / professional / individual should pay attention to a number of important points. Firstly, the company with which you will work plays an important role. He must have extensive experience in the field of leasing, the high technical level of his managers and know-how on this issue, as well as provide fast and convenient customer support during leasing. What also applies at the time of purchase is of particular importance before the final decision to rent one or more vehicles.

Prices leasing they are not the same everywhere, and therefore the client landlord must do proper research based on their needs in order to secure a monthly rent that is truly acceptable to them. It should be noted that in all major companies in the industry you can also find a number of offers that can provide even lower costs for renting a car of interest.

Another element to take into account is the benefits offered by the contract (optional and not). The lessee must be fully informed about them so that there are no “surprises” during the leasing period. For example, each contract specifies the maximum number of kilometers that a car user can drive each year. When someone exceeds this limit, the rent is also charged.

Finally, it should be noted that, just as it happens when selling a car, so in the case of leasing, the number of cars purchased has a direct impact on the amount of the lease. The more cars selected, the more the client will benefit from the reduction in the rental amount.

3. FOR AND AGAINST

The main advantage of leasing is the flexibility and benefits-services it offers, such as full vehicle insurance coverage, roadside assistance, 24-hour driver service, full vehicle maintenance-repair, fixed monthly rental, choice of years of use, but also provision a new car with each new lease. On the other hand, buying a car has no monthly lease payments (unless, of course, the car is purchased on credit, where monthly payments are provided), the car belongs to the buyer, and the profit from its subsequent sale goes to his pocket.

An important advantage of leasing is the fact that from the beginning to the end of the lease, the lessee knows that he will pay not only for the car, but also for its fixed costs (maintenance, insurance, repairs, road tax, tire replacement, etc.) .TO.). The only burden on the user-driver is the cost of fuel. In the automotive market, on the other hand, in addition to the required initial capital expenditure, there must be a budget for regular expenses such as insurance, road tax, maintenance, as well as for emergency expenses such as any repair, tire change, etc.

For business, leasing it is an ideal choice as it saves time, allowing you to focus on your core business. The vehicle is driven, serviced and more handled by the leasing company. In addition, most leasing companies now provide the business with information on the optimal use of vehicles, being a valuable advisor to save time and money. Now, if a business decides to buy cars, it would have to spend time on all the extra car maintenance and repairs, reporting, choosing the right insurance packages, and more.

One of the characteristic advantages of leasing is, as we have said, the flexibility it offers. At the end of the lease period (2 to 5 years), it allows the business, freelancer or individual to choose the next model based on their needs and without the restrictions that their purchase may have and that will be associated with capital. that should have been spent. After all, the fact that leasing does not require the payment of a high initial capital allows the company to release this capital without restrictions for other financial needs. In fact, in relation to the market, the user does not care about the decrease in the resale value of the car, not only because of the age of the car, but also because of its condition or mileage.


In their own words

Four leading leasing companies in Greece.

☛ Guaranteed solutions for everyone
Executive Lease, with a dynamic presence in Operational Leasing since 1998 and a fleet of more than 15,000 vehicles, offers high-level services, innovative and flexible transport solutions and fully competitive prices that fully satisfy companies, professionals and individuals. New or nearly new, electric, hybrid or not, any make or model, whatever the need, Executive Lease offers guaranteed solutions for everyone. It is a subsidiary of the Sfakianakis group of companies, which is the most integrated provider of the entire range of automotive services in the Greek market.

☛ The future of premium leasing
SIXT is one of the premium mobile service providers for individuals and companies. Everywhere in the world, SIXT offers its customers, who are always at the forefront of its activities, individual and flexible mobility every day, providing a real alternative to buying your own car. SIXT Leasing offers long-term car leasing for a period of 2 to 5 years, aimed at both individuals and companies, professionals and executives. The SIXT Leasing service makes it the most reliable choice for long-term new vehicle leasing, as it is based on 55 years of know-how since it was launched by SIXT back in 1967.

☛ The offer comes to your email within a few seconds
By choosing leasing from Autohellas Hertz, the company that brought leasing to Greece, you have at your disposal the new digital application “Online Leasing Calculator” from Autohellas Hertz, which turns leasing into a game. You simply go to leasing.hertz.gr and, from the comfort of your couch, customize your leasing offer exactly the way you want it in just two steps. In the first stage, you have over 5,000 vehicle options. Use the search filters to select the make, model, version, fuel type, transmission and rental range to suit your needs. In the second step, you play around with the lease term, annual mileage, down payment, and buyback option until you find a scenario that works for you. And the offer comes to your email within a few seconds.

☛ Thanks to the excellent customer experience
With a 60-year history in Greece, Avis is leading the investment in modern vehicles and the development of innovative mobility services with passion and dedication. Based on its excellent customer experience, it offers new cutting-edge solutions in car rental and leasing, used car sales, as well as new services such as the Switch by Avis car subscription service that provide maximum flexibility and simplify the process. for everyone who buys a car.

Author: Aris Galanopoulos

Source: Kathimerini

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