Car Leasing Personal Contract Hire
Car leasing has become an increasingly popular way to finance a vehicle, with personal contract hire being a popular option. Personal contract hire is a form of leasing where you pay a fixed monthly fee to use a car for a set period of time, typically two to four years. At the end of the agreement, you simply return the car and walk away – no need to worry about selling it or part-exchanging it.
One of the biggest benefits of personal contract hire is that it allows you to drive a brand new car every few years without the hassle and expense of buying and selling. You also don`t have to worry about depreciation, as you are simply paying for the use of the car rather than owning it. This can be a particularly attractive option if you like to drive the latest models or if you are unsure about committing to a long-term purchase.
Another benefit of personal contract hire is that the monthly costs are often lower than they would be if you were buying the car outright or taking out a loan. This is because you are only paying for the depreciation of the car over the lease period rather than the whole cost of the vehicle. This can make it a more affordable option for those who want to drive a higher-spec car or who may not have the funds to buy a car outright.
One thing to be aware of when considering personal contract hire is that there may be restrictions on the amount of mileage you can do each year. This can vary from agreement to agreement, so make sure you read the small print and choose a contract that suits your needs. If you do exceed the agreed mileage, you may be charged extra at the end of the agreement.
Another thing to consider is the upfront costs involved in personal contract hire. These can include a deposit and the first month`s payment, as well as any additional fees. However, some providers may offer deals that include free delivery and collection of the car, as well as maintenance and servicing costs. Make sure you compare different providers and agreements to find the best deal for you.
Overall, personal contract hire can be a great way to drive a brand new car without the hassle and expense of buying outright. It can be a more affordable option for those who want to drive a higher-spec car or who may not have the funds to buy a car outright. Just make sure you read the small print and choose an agreement that suits your needs and budget.