Introduction to Car Leasing
The process of leasing a car is, in theory, the same as when you purchase a car, yet many consumers in the market for a new vehicle are often misguided by common misconceptions about car leasing. The concept of car leasing is the same as it is for any kind of lease in the world today such as leasing equipment and buildings.
Leasing does not equate to renting. Many consumers mistakenly use these words interchangeably. Renting refers to a shorter duration of time, typically 30 days. The owner can increase or decrease the rental rate and can change the terms of the contract without notice. An example of this is as car rentals. Leasing, on the other hand, is a written contract used to refer to longer durations and cannot raise the monthly payment until the end of the contract.
