Leasing FAQs

Leasing is similar to renting. You pay a monthly fee to use a car or van for a set period, typically between 2 to 5 years. At the end of the lease period, you return the vehicle to the leasing company. Leasing is different from buying, where you own the vehicle at the end of the payment term.

We primarily offer two types of leases: Personal Contract Hire (PCH) and Business Contract Hire (BCH). PCH is for individuals and BCH is for businesses. Both allow you to use the car or van for a set period, but there are differences in terms of VAT reclaim and other tax implications.

Your monthly lease payment covers the use of the vehicle, road tax for the term, and any maintenance packages if chosen. It does not cover insurance or fuel costs. We do have several different leasing options that can include insurance, maintenance, and breakdown cover meaning you only have to add fuel, please ask about out fully insured total care packages.

Your monthly lease payment is calculated based on factors like the vehicle’s price, the duration of the lease, the estimated residual value of the vehicle at the end of the lease, and your annual mileage allowance, it also takes into consideration like the cost of borrowing, i.e. interest rates which can fluctuate on a monthly basis. However, once your lease agreement has been agreed, your costs will be fixed for the duration of the contract, the only factors that may change are if the government change VAT or road taxes, if these change, you will be liable for any additional charges if they increase, and you will also benefit if they decrease although this is unlikely.

Yes, you can request to end your lease early, but there may be early termination fees involved. The cost will depend on how early you wish to end the lease and the terms and conditions of your specific lease agreement. Typically, the cost of terminating your lease agreement early would be around 50% of the remaining rentals left on your contract. We do offer other more flexible contracts that do not have the same terminations fees associated with them, however, the monthly rentals on such leases are usually higher than traditional longer term contract hire.

Yes, it's your responsibility to arrange comprehensive insurance for your leased vehicle as soon as it's delivered, and for the duration of your lease. The lease vehicle should be insured with a fully comprehensive insurance policy by an authorised UK insurer..

If you exceed the agreed mileage limit, there will be an excess mileage charge. The cost per extra mile will be detailed in your lease contract. Excess mileage charges are not meant to penalise you, your monthly rentals are calculated based factors that include an estimated value of the vehicle at the end of the contract based on the total mileage which was agreed at the start of the lease, if at the end of your lease agreement, the vehicle has travelled more miles, the used value of the vehicle will be less proportionally to the excess mileage. Excess mileage charges just bring this value back in line at the time of disposal of the vehicle.

Any modifications to the vehicle need prior approval from the leasing company. Unauthorised modifications may result in charges, as the vehicle needs to be returned in its original condition. You can have accessories like Tow Bars, Roof Racks and Roof Boxes added to your lease vehicle as long as they do not cause any damage once removed at the end of the lease.

At the end of your lease, the vehicle is returned to the leasing company. We will arrange a convenient time to collect the vehicle. It will be inspected for any damage beyond normal wear and tear, and for any excess mileage. If there are any charges, these will be communicated to you by the collection agent and/or the finance company.

Typically, in a Contract Hire agreement, there isn't an option to buy the vehicle at the end of the lease. However, it may be possible in some circumstances or under different types of lease agreements. You can discuss this with our team for more specific information.