Leasing Costs Explained

Leasing a vehicle has grown in popularity and cost-effectiveness as a means to finance your own or business automobile.

Leasing a car is like renting it for some time, but with one significant distinction: you are not buying the vehicle. Rather than purchasing the car, you simply pay a set monthly fee to have complete and exclusive use of it for an agreed length of time (2-5 years) and specified mileage.

Several key factors are at play behind LTL’s low monthly lease fees, including the fact that they can be pre-set.

What we do.

• We take care of the hard work for you by scanning the UK vehicle leasing market for the greatest vehicle leasing offers from all automobile manufacturers.
• Our sophisticated technology can examine hundreds of thousands of transactions from a variety of financial institutions to ensure you are receiving an excellent deal.
• With our considerable buying power, automobile expenses may be lowered and charged at a fixed monthly lease rate.
• Leasing provides you with several advantages, including lower vehicle financing rates, enhanced automobile sales values, and reduced maintenance and tyre costs. Therefore, leasing is frequently regarded as a less expensive alternative to purchasing a car outright or utilizing a personal or business loan to finance it.
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WHAT IS THE LEASE RENTAL?

This is the monthly cost of leasing a car, which will be shown on our website as a VAT inclusive value for Personal Leases and an amount excluding VAT for Business Leases.

The Lease Rental is a monthly charge that will be constant throughout the lease and will not be changed unless the car is returned at the end of the lease by its mileage requirements and in good working order.

The Lease rental will include the cost for:

• Depreciation (the decrease in value from when the vehicle was new to the forecast sale price at the end of the contract)
• Financing the Cost of Your Vehicle
• Registration fees and delivery costs for vehicles
• For the initial and future years, Vehicle Excise Duty (VED) is payable. Future year VED price rise might be subject to the finance company’s policy
• Warranty on the product is provided by the manufacturer.

Maintenance expenses will not be included in the Lease rentals shown on our website. You may, however, add this to your monthly rental if you wish.

When you lease a vehicle, you are often required to pay a one-time up-front fee. This is generally referred to as an upfront payment and it’s the amount you spend that has an immediate influence on your monthly lease rental.

INITIAL RENTAL

You generally must pay a deposit when you lease a car. A first rental, sometimes known as an up-front payment, is customary.

What is an advanced rental?

This is usually represented as several Lease rentals (usually between three and twelve lease rentals) and is an advance rental payment that has a big influence on your monthly lease rent.

Worked example of an advanced rental.

The total cost of renting your selected automobile for 3 years, excluding tax, is £7,600.

Options you have include

1. If you pay a 3-month initial rental followed by 35 monthly rentals, your first rental would be £600 (3/38th of £7,600) and your final payment would be £200.
2. If, on the other hand, you rent for 9 months upfront and then 35 times per year, your one-time fee will be £1,554.57 (9/44th of £7,600), with 35 payments of £172.73 (£6,045.55).

In both cases, the total contract burden is £7,600.

Do I need to pay a lease rental?

Some vehicle financing institutions may demand a minimal initial lease payment, which will be specified at the vehicle order stage. It may be due to your financial circumstances/ credit history or owing to being a typical policy from the finance firm.

The firm should also be mentioned that, as the initial payment is a portion of the overall rentals payable, it is not a deposit and is non-refundable.

When does it need to be paid?

The finance company will demand the first rental payment immediately after you take delivery of your car, which is generally 7 to 14 days later. Some finance companies, on the other hand, may need you to pay beforehand. When you buy a vehicle from us, we’ll notify you about future installments.

What you need to check?

To evaluate the most competitive leasing offers, you should include the initial rental into your total expenditures; some businesses may advertise a low monthly vehicle lease rate while factoring in a very large initial payment.

ADMIN FEE

The Administration Fee is a one-time charge, in addition to your monthly rental fee. This compensation covers the expenses we incur while providing our vehicle lease sourcing service. Our website costs, customer care personnel, drafting up your automobile hire agreement, processing and delivering your new automobile are all examples of these expenditures.

The Administration Fee is paid by debit or with credit card, or BACs payment. This money will only be taken after we have received finance approval from the vehicle funding firm, and you’ve confirmed your order form confirmation instructing us to place your order. Please note that Credit Card payments are subject to a 1.95% fee charged by the credit card

The same may be said of maintenance.

If you own or lease a vehicle, it must be serviced by the manufacturer’s recommended service schedule. This will guarantee that your vehicle’s warranty is valid, and that the car is functioning as it should.

WHAT YOU NEED TO DO?

Maintain it regularly It is critical to maintain your car so that worn-down components may be examined and replaced as needed. Follow the manufacturer’s instructions. Every 12 months or 12,000 miles, a complete service is generally required.

Please act on any warning messages as soon as possible since they may contain vital information about your car.

Who is responsible for keeping and maintaining my leased car?

You are responsible for keeping your leased car in good working order and following the vehicle manufacturer’s service timetable instructions.

You may handle maintenance and servicing on your own by using a main dealership or an independent repairer (if you use independent repairers, be sure they’re using genuine manufacturer parts and approved fluids), or you can add the Maintenance and Service package to your lease payment.

All our thousands of vehicles come with a Maintenance and Servicing Package that covers everything from oil changes to complete engine replacements. For an extra set monthly payment, you can get this service on all the vehicles we offer. Unfortunately, we are unable to add a maintenance package to your rental agreement after you’ve ordered your car.

Adding on a comprehensive Maintenance and service plan to my lease agreement has several advantages.

Budgeted for a set price, all your vehicle’s maintenance and servicing expenses will be covered.

Maintenance and repair savings – Using a business’s buying power to get maintenance and service at a lower cost than an individual, rather than getting these services as an individual, using discounted labour rates and replacement parts.

Cost – it is affordable, and you don’t have to worry about any hidden costs.

Convenience – Just one phone call for all your maintenance and servicing requirements

For your convenience and at no cost, we’ll send it right to your front door (subject to availability and notification period).

Replacement – A courtesy car is available on request from the service provider (subject to availability and booking).

At LetsTalkLeasing we provide a level playing field to people who don’t have the time or resources to compete directly with big, better-funded businesses. Our marketing efforts are designed to achieve three things: first and foremost, would generate traffic for our website by getting potential clients accustomed to seeing it in their search results. This leads them straight to your

You’ll get peace of mind – knowing that all of your automobile maintenance and servicing costs are covered, as well as your vehicle’s maintenance and servicing procedures being carried out by manufacturer recommendations, saving you time and money.

What is the price of a maintenance and service plan?

The costs you will pay for add-on options and the fees you will incur when buying parts and labour are sometimes more than $2,000. These can differ significantly depending on the make and model of your car, the length of your contract, and how far you drive each year. Whatever vehicle or lease agreement arrangements you pick, you will always

What does a Maintenance and Service Package usually include?

All required scheduled maintenance and services, as mandated by the manufacturer’s service schedule for your car.

Unlimited premium brand tyre replacements including balancing and valve adjustment. For your convenience, a free mobile fitting service is available (subject to availability). Puncture repairs and damaged tyre replacements are not charged for (subject to terms of finance company). Tyres is changed based on manufacturers safety criteria, which must be less than 2 millimetres deep in tread.

All labour and associated costs for mechanics and electrical repairs or replacements resulting from ordinary use and tear, including all materials and labour.

Batteries, wiper blades, bulbs, exhausts, cambelts, alternators and starter motors

It is illegal to drive the vehicle on public roads until you get an insurance policy and take your theory and practical driving tests.

Complete breakdown and roadside assistance are covered by this plan.

What is not included in a Maintenance and Service Package?

Repairs necessitated as a result of an accident or driver mistake – Items missing due to theft or malicious damage l Replacement or repairs of glass, e.g. windscreens Misfuelling Fuel draining or damage caused by misfuelling

How do I utilize my complete Maintenance and Service Package?

You will be sent your rental agreement papers, as well as information on your maintenance and service plan, contact information, and details regarding free of cost collection and delivery of your vehicle (subject to availability when you make your reservation). Replacement or repair services for tyres are also available.

Please note that the advertised monthly costs on our website exclude the cost of our comprehensive Maintenance and Service package but can be added as an optional extra.

Expert Advice

Your responsibility is to maintain and service your lease vehicle by the manufacturer’s instructions. Depending on the finance company you have your rental agreement with our customer service agents will be able to assist you with any inquiries you may have.