Should I Lease Or Buy A Car?
The first thing you need to know is that car leasing - aka ‘Personal Contract Hire’, or ‘PCH’ - has skyrocketed in popularity in recent years, to the point that 6.5 million vehicles in the UK are now leased. And for many motorists, it’s a set-up that suits them perfectly. You work out your budget, you choose a vehicle you crave, and then you simply pay a set monthly fee for the duration of the leasing contract, which typically lasts two, three or four years. You then hand the lease car back at the end of that period. Leasing gives you the flexibility to change your car to suit your needs or as the situation dictates. When you buy a car, you own it outright - but you could still be paying-out each month to service a loan taken out to cover the cost. As a new car owner, you’re also hit with huge amounts of depreciation the minute you drive the car off the forecourt.