Getting a car is a lot more complicated than you initially thought as a child. There’s more paperwork involved, and if you have bad credit, getting a car for yourself feels impossible. That’s when you resign yourself to taking the bus for the next few years until you can rebuild your credit score as best as you can and finally get approved for a car loan.
But did you know that a car lease is another way for you to get your own set of wheels without having to make a purchase or take out a loan?
A car lease is a long-term rental. You make an arrangement with a dealer to rent a car for at least two to three years. While there are certain limitations like kilometres which will be stated in the contract that they will discuss with you thoroughly before you are made to sign on anything.
Depending on the dealer, you can usually choose what car to lease, ranging from sedans to utes, for either personal or business use.
The best part about a car lease is that it is a lot more affordable than buying a brand new car. The down payment is affordable, and the fees can be tailored to suit your current financial situation.
Like renting a unit, leasing a car works similarly. You will be expected to pay the set amount every month or fortnight, depending on your agreed frequency with the dealer. You can also choose a method of payment whether through debit, credit or cash. Here is how it goes:
It’s important to note that because the vehicle is not officially yours, you need to take care of it. That means making sure it gets the right type of petrol and maintaining and driving it as carefully as you can.
Once your contract is up, you can return the vehicle to get an upgrade. Or you can buy the car from the dealer, making it officially yours.
For a lot of people, the choice of being able to purchase the leased car is the most appealing aspect of all, as they will be able to get a car at a much lower price.
Contrary to popular belief, the answer is yes. You can lease a car even with bad credit. Having a lease car can also help you rebuild your credit score with each payment made on time.
Being able to commit to this financial obligation will show creditors that you can be trusted to make payments. Aside from car finance, there are other ways for you to rebuild your credit. Doing this all together can be a step forward for your finances.
Now, the real question is where you should get a car lease. Not all dealers and lenders will be keen to offer you their services if they see your credit score.
Luckily, there are a select few that will look past your past financial mistakes, and look at your current standing. If they see that you are struggling to stay afloat, they will throw you a line. That is your chance, and it is best that you do everything you can to hold onto it.
Armed with a better idea on how and what a car lease is and what it can do for you, it is time to find the perfect car finance company that will cater to your needs.
You don’t have to look far, however, as Alpha Finance is here to assist you. With nine locations all over Australia, you can easily make an appointment and drive away in your new vehicle within a week. It’s that fast and simple.