Leasing or car rental?

Although similar, these two ways to get the car/s you need pertain notable differences and advantages/disadvantages. Let’s try to understand leasing and car rental better.

Car leasing can be either financial, or operational and it engages three different parties: the client, the leasing company, and the car dealer. The leasing company buys the car at a price negotiated by the client and the dealer, and then, according to a specific contract, it leases the car to the client. When the contract expires the client may or may not buy the vehicle he leased by paying a residual cost and other charges. A default leasing contract can be detrimental to the customer because he becomes fully responsible withe car maintenance, insurances,  taxes, and damage coverage.

This is not the case with car rental or operational type leasing. This in a relatively new product in Romania and it is addressed to companies rather than ordinary customers. When this type of contract reaches the expiration date the client can’t buy the vehicle but all along the lease period he is relieved of the car fleet management. This kind of rental is recommended to managers and companies that are in need of a car fleet but can’t afford managing them since it’s time consuming. Moreover this expenditure is completely tax deductible. A monthly payment can cover: registration, road tax, maintenance, insurances (CASCO, RCA), tires, assistance, and car swap. There are a lot of car rental companies that offer operational leasing and long term car rental, that can bring considerable benefits compared to financial leasing. One example is AutoStil Rent  a Car Romania that allows fee negotiation for rentals over 30 days.

If you are looking for cars, it might turn out to be a better option if you would check the offers that rent a car companies make for long term customers instead of heading for the leasing company. They can cover many of the costs that having a car entails, they are flexible (you can change the car, which is impossible in financial leasing), and you can get a vehicle for a shorter period of time, customized to your needs, which is again, not the case with the financial leasing.


About Expert Rent A Car

Cunoscator al domeniului inchirierilor de masini.
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