Sunday, 29 September 2013

Things to consider while leasing a car


A car lease may or may not be the right thing for you and depends on your situation. But, if you find your inclination towards leasing over buying then there are few things to be considered.
Do This
Gather information: Learn as much as possible about the process of leasing a car through all the available resources. Make sure you understand how the process works, how the lease works and the terms of the lease. If you don't understand, ask questions until you do.
Do the math: Know what the car you are leasing will cost if you decide to buy it. Determine if leasing is cheaper or more cost effective than buying.
 Read your contract thoroughly: before signing the contract, Make sure you read and understand the entire contract. If you are approaching many car leasing companies then compare all the contracts.
Keep the car for the entire lease period: It is never cheap or easy to opt out of your lease early. Make sure you have a stable situation that allows you to pay for the car during the lease process.
Avoid This
Leasing without gap insurance: Gap insurance is cheap and protects you in case of early lease termination. Everyone who leases a car should get a gap insurance.
Not receiving the detailed information: If you feel the dealer is trying to hide any information from you, particularly about the numbers and the money factor, be aware. Get all the information and if the dealer is hesitating to give you details before you sign, simply don't sign.
Don’t pay too much: Never pay too much for the car you are leasing. If there is not much difference between the actual price of the car and the lease price, then you need to renegotiate the lease.
Don’t be afraid to negotiate: Know the exact price of the car and be willing to negotiate; lease prices are not non-negotiable. You can negotiate the price, and also the mileage limit, if you want to exceed that. All leasing companies in India are within their rights to change those terms and make a contract incorporating the lessee’s customized needs. 

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