Are you interested in leasing a car? Or perhaps you have already leased a car and are ready to start shopping around for the best car lease deals. Car leasing is simply paying for either a car or vehicle and using it for a specific set number of private miles on an annual basis, with certain monthly payments that consist of a standard commercial rate and a per-mile charge. Most drivers who use their vehicles for personal business purposes, as well as those who use their car on a frequent basis, generally pay more than do other private motor vehicle drivers for car leases.

Why Consider Leasing?

The reason for this is that leasing provides no incentive to drive more miles. Rather, leasing requires drivers to pay a higher interest rate in return for leasing convenience. It’s a trade off that almost everyone makes when shopping for an auto loan. The key to finding the right leasing deal is to shop around, as interest rates can vary quite a bit from finance company to finance company

With so many car leasing options available, how does someone go about getting the right car lease deal? First, an individual must determine whether they wish to lease through a dealership or lease directly with a lender. The dealership option is typically less expensive but may require paying higher fees for car leasing due to the dealership’s administrative costs. For those who are seeking financing for an automobile outright, the lender’s interest rate is often a better deal.

Stages Of The Finance Agreement

Once the decision has been made between dealership or lender, the next step is to select a vehicle. Leasing is a two-part process. At the end of the lease term, the lessee has the option to purchase the car at the end of the lease term. If the buyer chooses to purchase the vehicle, he will need to bring the car back to the leasing company with the monthly payments. This may result in a small fee, but it must be paid at the end of the lease term.

While leasing a car makes sense for many, there are those who argue that purchasing a car through financing makes more sense for those who make a good living driving new cars. Many people purchase their cars from car lots upon signing the lease, then sell them after the lease has expired. Leasing a car through financing provides no such benefit to the leaser. Also, some vehicle dealerships offer finance programs that will allow those interested in leasing a car to finance into a new car through them.


In short, those who lease a car may have extra expenses should they decide to purchase it at the end of the lease term. However, those same individuals may find that leasing is more affordable when compared to dealership financing. Therefore, it depends upon each individual as to which option makes more sense. The important thing is to determine what makes sense for you!

Categories: Car Ownership