When it comes to buying a car, the choice is very often simply between new or used. There are benefits (and drawbacks) to both. When it comes to price, buying a used car comes out trumps every time. In terms of reliability, you may want to look at purchasing new. What if there were a way to get the best of both worlds, though? Well, there very well could be. Finance. Okay, you know exactly what it is, but do you know why it’s an option for you?
The idea of buying a car with credit is one that’s shunned by most people. They think of the interest rates on their repayments and shudder. But that’s an extremely narrow view to take. There are many benefits to getting a car on finance, and people don’t entertain the idea long enough to hear them out. If you’re thinking about buying a car, but aren’t sure whether leasing is the right option for you, read on to find out why:
Long-Term Loss, Short-Term Gain
Okay, so nobody is pretending that leasing a car is the cheapest option available to you. In most cases, it’ll ultimately cost you more. There’s no getting around that. However, what you’re failing to consider is that this isn’t necessarily a bad thing. Do you own a house? If so, did you buy it outright, or get a mortgage? Chances are, you’re paying that back monthly too. Why should it be any different when it comes to your car? If money is tight, leasing should be a viable option. If you want the benefits of owning a new car, you’re going to have to make a sacrifice. There’s no reason you shouldn’t at least consider it if you can’t afford to buy a new car outright. Figure out how much you’d have to repay using a car loan payment calculator.
A lot of companies that offer finance options for cars also offer warranties that you wouldn’t otherwise get when buying a car. We’re not talking manufacturer warranties, but there’s still a guarantee for things if they go wrong. You can find great deals that will cover the costs of things going awry, and that’s not something you’re going to find elsewhere. The other benefits are that if you decide to cancel your contract and return the car, you can stop paying for it. Usually, there are fees involved with this, but you may be able to get out of paying the remainder of the contract. This is a great fallback option if you can no longer afford to monthly repayments. That’s not something you’d be able to do if you bought a brand new car, is it? However, keep in mind that you’ll need to keep the car in good condition. Otherwise, the leasing company will not accept the return.
There you have it. I hope you’ve at least been a little convinced by the benefits of leasing a car. At the very least, it’s an option for you to consider. You aren’t just limited to new or used. Remember that.