02 Nov Avoid these 5 car leasing mistakes
Many people are starting to choose commercial car leasing as an alternative compared to buying a new car upfront.
The reason behind this is that the immediate cost of leasing is way lower compared to the cost of buying a vehicle. Car leasing actually has allowed people to drive their dream cars without paying a large amount of cash up front. They can simply go to a car dealer, discuss the terms of the lease contract and sign the agreement.
Unfortunately, there are still many individuals who overlook the car leasing process. Make sure that you know these mistakes so that you can avoid making them.
- Failure to ask for quotations from companies.
The competition for car rental in Singapore is high. As a result, these firms provide competitive deals or prices for their potential customers. Therefore, it is necessary that you ask for a quotation from these companies so that you can see which among them offer a good price.
- Making a rush decision.
Take note that when it comes to leasing a car, it is important that you take your time. Do not rush to choose a car model, color or dealer. Check for the roadworthiness of the vehicle before deciding to lease it.
- Wrong estimation for miles limit.
It must be noted that the lease contract includes a mileage limit for each car rental. This means that you are only allowed to use the car for a period of time with a certain miles limit. When you exceed that limit, the company is allowed to charge you extra. The mileage limit is something that you can negotiate with the company. Make sure that you give the proper estimate as to the distance that your car will travel every year.
- Not reading the contents of the contract before signing it.
The provisions in a lease contract are important as it provide a clear guideline for both parties to follow. There is a need to read the fine print in order for you to be aware of the agreement. This is also a good way to find out if there are questionable stipulations in the contract. If you find one, make sure that you ask the car dealer company about it. Be a smart renter by reading everything stated in the contract.
- Choosing a long term for the lease contract.
As much as possible, choose a shorter period for the lease contract. Know the period of the warranty first before deciding on the term of your lease. The goal here is to make sure that the term of the lease contract does not exceed the warranty period. Otherwise, you may need to incur an additional cost for any damages incurred.
Remind yourself of these top five mistakes that you need to avoid before you lease a car.