Car Leasing Blog

Car Lease U.K.

Car leasing companies in the UK offer a large number of car finance options which their clients can avail, on new as well as used cars. These companies provide their clients the best car financing options in accordance to their personal as well as business needs.

The car leasing options available in the UK are broadly categorized into two broad categories. These are the “personal car leasing” option and the “business car leasing” option.

The “business car leasing” category has options such as the “Contract hire”. This is the only off-balance sheet option that is available. This also comes with a maintenance package which is optional. Then there is an option of “Contract purchase” in which the company has an option to purchase the vehicle at the end of the lease period. Then there is a “Finance lease” option available which unlike the contract hire option is an on balance sheet option that is available.

The personal car lease” category has options available. The clients can choose from these according to their needs and requirements. Some of these options available are the “personal contract hire” and the “personal contract purchase” options.

Car leasing companies in the UK usually purchase vehicles in huge numbers thereby passing benefits to their clients.

In car leasing, there is an agreement or a contract, where the customer pays a monthly installment that is fixed. This installment is paid for using the car for an approved time period. And a mileage that is preset. When the contract gets over, the car is returned. There are a number of financing options available in personal car leasing.

One of the popular car leasing options is the “Personal Contract Hire” offered by one of the car leasing company. This option is usually accepted with ex-company car drivers. This option offers fixed price risk free motoring without any pre-set purchase option.

The personal contract hire was an option that was formulated particularly for those, who were particularly not interested in availing the company car, but car allowance. This kind of a lease feature was especially designed for those, who aspired to use good cars but couldn’t afford to buy a good expensive car straight away. This feature also suits those who wish to change their cars very frequently.

Then, there is an option that is called the “Personal Contract Purchase” that offers certain option of a purchase price around the end of the contract. There are also options available for financing of high-end status vehicles. This method is popularly known as the Lease method where there is a benefit in taking on the residual value responsibility.

These are some of the various options which are available under the Personal car lease scheme. The client can choose from one of these depending on his/her requirements. So the next time you plan to buy a car, you know what is to be done!