TIPS FOR LEASING A CAR

Many people choose to lease a car rather than buy for a variety of different reasons. Sometimes it's just easier, sometimes it saves on monthly payments, and sometimes buying something that will continue to go down in value doesn't make sense.

Whatever the reason, leasing is a viable alternative to buying that deserves some consideration when you're in the market for a new vehicle. Keep reading for some tips to help you along.

WHAT IS VEHICLE LEASING?

Basically, vehicle leasing refers to using a vehicle for a predetermined period of time, then returning the vehicle once the term is over. In a way, it is similar to renting because you make monthly payments, but don't actually own the vehicle.

Leasing is a common practice for businesses, and more individual drivers are also giving it a try.

WHAT DO YOU WANT?The first thing you must do when you lease a car is determine what you want. Choosing the right vehicle to suit your needs and taste is an important part of the process. Consider things like:

Make, model and year

Colour

Gas mileage

Trunk space or leg room

New or used

Two-door or four-door

ASK ABOUT THE FACTORY WARRANTY

Sometimes, a company will lease you a car and the term of the lease will extend past the time the car's factory warranty expires.

Obviously, this is not an ideal situation, so it's wise to find out the details before you sign your name and drive away. The last thing you want is to have an issue with the car, only to learn the warranty has already expired.

END OF LEASE FEES

All vehicle leases will have some requirements for when the lease is over. These may include certain fees, the condition of the tires or other parts or mileage penalties.

Take the time to read the entire lease before you sign, so you'll know what to expect when you return the car. It may seem like a long way off, but you'll kick yourself when it gets here if the terms aren't favourable.

ASK ABOUT EXTRA KILOMETERS

You may have a normal driving routine that you follow most of the time which allows you to predict your mileage, but you really never know if that will change or not. You may end up with a new job or home that requires more driving, or any other number of lifestyle changes might come up during the lease.

Make a point of asking about how much you will have to pay for driving extra kilometers. Even if you feel confident you'll never reach the maximum, ask anyway so you won't be surprised later.

WHAT ABOUT WEAR AND TEAR?

Opinions can vary when it comes to what constitutes wear and tear on a vehicle. What you might think are minor blemishes could be significant damage according to your lease agreement.

Read this portion carefully and ask questions so you won't be surprised by a big bill when you return the vehicle.

GET IT ALL IN WRITING

Perhaps the main thing you want to avoid when leasing a car are surprise fees and charges once the lease is over. A handful of little fees that you didn't expect can add up fast and leave a sour taste in your mouth about the whole leasing process.

Get every rule and lease stipulation in writing at the start, as well as a list of any accessory that goes with the car as part of the lease.

REFERENCES

http://questauto.com/?page=home

Quest Automotive Leasing Services

http://news.consumerreports.org/cars/2012/06/10-money-saving-tips-for-car-leasing.html

Consumer Reports