# Personal Lease



## scott28tt (Jul 30, 2002)

Hi folks,

Does anyone have an opinion on personal car leasing?

Both my car and the other half's are 3-4 years old and we're ready for a change. Rather than pay Â£8-9k each to replace our cars with the equivalent new model (the amount of depreciation), I'm toying with the idea of going down the leasing route.

Are there any pitfalls? Could anyone recommend a particular company (as there seem to be loads)? Am I mad for even contemplating this?

All thoughts welcome.

Scott.


----------



## GoingTTooFast (Apr 4, 2006)

Scott,

I've looked at this and it's something I'm still considering. Apparently it's how most car finance in the states is now done.

The tip I had was not to put too much of a deposit in, as unless you buy the car at the end of the term it's not yours and your deposit is gone. If you do decide to buy it though it's usually at a rate lower than the current market value, so you can get yourself a bargain.

The only thing holding me back is that the car would never actually be 'mine', although I think that's a mindset people will get out of more and more with cars. After all, my house is not actually 'mine' either, until 2030 when I've finished paying the mortgage.


----------



## Johnnywb (May 31, 2006)

My parents used to lease company cars (their own firm) a few years ago. THey never had any problems. The only issues arose when the leasing company came to take the car back. They'd be hugely anal about the state the car was in. We've always looked after cars well and they were always left for the leasing company in top condition, but they'd still go around looing for the lightests marks and then say you owed them money.


----------



## Philr (Oct 10, 2006)

If you decide to keep the car after 3 years don't you end up paying the equivalent of at least 7%APR, if so best use your cash?


----------



## saint (Dec 6, 2002)

What about Balanced Payments & HP with/without Balloon?


----------



## ag (Sep 12, 2002)

I was under the impression that the main advantages of leases are to do with tax, depreciation and accounting procedures and that they aren't really applicable to private use. I also thought that it was not possible to subsequently purchase the vehicle because of the tax benefits previously enjoyed.

But I am an Engineer, not an Accountant so it could be BS.


----------



## scott28tt (Jul 30, 2002)

I have no intention of purchasing the car at the end of the lease. I was looking at the deals whereby you pay monthly over 24 or 36 months and then hand the car back at the end.

I am not concerned about the car not being 'mine', but it is interesting to hear about the company looking for 'damage'.

Cheers for those replies.

Any other thoughts anyone?


----------



## Philr (Oct 10, 2006)

OK you are not intending to buy at the end of the 24/36 month period but I cannot see how you would be better of than someone buying the car outright and then selling after three years.

I had a dealer trying to persuade me to take out a deal with Â£x deposit then Â£x for 35 months hten Â£x to buy or handback - I asked the total amount payable they said they did not know!! well it was over Â£6k more than the list price. I am sure you may be able to negotiate better rates but the cost will not be any lower than the interest you lose by just buying the car.


----------



## mike_bailey (May 7, 2002)

I was also considering personal leasing but found it only became worthwhile on a car with a high rate of depreciation. This is a good place for checking potential depreciation:

http://www.whatcar.com/depreciation-index.aspx

Check how much the servicing costs for your choice of car/period of rental before taking out the inclusive servicing option which costs more - you'll probably find it costs less to look after it yourself.

This is an interesting personal leasing company run by a crazy chinese woman called Ling - worth reading the customer letters plus her replies just for entertainment value! People rate her highly but not the cheapest out there.

http://www.lingscars.com/lease-hire.php


----------



## ronin (Sep 6, 2003)

My pal has a Boxster from here.
http://www.prestige-car-leasing.co.uk/

3 + 24, at the end he walks away.
He has the maintenance included in his deal - tyres, servicing and road tax.

Supposedly it worked out as the same as the depreciation, but obviously he keeps the money in the bank getting interest.

I have done the maths myself - this is certainly the way I will go next time.
My current car would cost roughly Â£1500 down + 23 months.
keeping the purchase price in the bank would make me roughly Â£3k in interest, so I would subtract that from the total cost I paid to leasing company, circa Â£13k.
This means my costs would be a total of Â£10k; I would (will have lost that in depreciation in two years).


----------



## LINGsCARS (Feb 7, 2007)

wow! i am ling, you have found my webpage. I noticed lots of vistors from this forum today.

Are you a hairdresser?

Please do not spit in my website

Ling


----------



## jampott (Sep 6, 2003)

LINGsCARS said:


> wow! i am ling, you have found my webpage. I noticed lots of vistors from this forum today.
> 
> Are you a hairdresser?
> 
> ...


That's gonna win you plenty sales.


----------



## LINGsCARS (Feb 7, 2007)

I have just added to my list a Z4 Coupe 3.0 and i have a Nissan Z to add on.

Please bear in mind these cars are *not* based on VW Golf MK4!!

Ling


----------



## mike_bailey (May 7, 2002)

Welcome to the hairdresser's club Ling :lol:


----------



## Philr (Oct 10, 2006)

When I questioned the Porsche dealer about recent poor depreciation he explained that this was due to the 'minor but important model changes'. Basically he said that accepting Â£12k depreciation over two years would trade you up to a new model at that frequency - I see from the Ling website the same cost would apply to a Z4 Coupe.


----------



## Carlos (May 6, 2002)

LINGsCARS said:


> Please bear in mind these cars are *not* based on VW Golf MK4!!


Ha ha! :lol:

Go on, could the TT forum member who is "Ling" please stand up?


----------



## mike_bailey (May 7, 2002)

LINGsCARS said:


> I noticed lots of vistors from this forum today.


He/she's possibly from an IT/web development background to know that visitors clicking through from other websites can be tracked - that eliminates a couple of suspects I guess


----------



## Guest (Feb 9, 2007)

her company isnt going to last long judging by her prices:


> NEW Audi A6 Saloon
> 2.7 TDi V6 (180bhp) S-Line Saloon 4dr 2698cc AUTOMATIC
> 3+23 = 2 yr rent
> *Â£712.10
> per month plus VAT (i.e. Â£837)*


:O


----------



## TTotal (Aug 12, 2002)

Ling, how about some special deals for us then ?

(Gun he fa choy ! By the way  )


----------

