Don’t you want the fine things in life – the latest mobile phone in the market, our very own home, dine in the finest restaurants, and of course have your own car? If you are frequent commuter and you experience a daily barrage of people early in the morning without having your coffee yet, you would understand the need to have your own car. Having a car to use on your daily commute to work, to visit your parents, friends and family, to go on trips and holidays, or to drive during emergencies to the hospital or the vet is a convenience that comes with a high price tag. Even if there are car loan service providers available with monthly repayment schemes, it still isn’t for everyone – especially those people with a bad credit score. If you are one of those people, it actually isn’t the end of the line for your convenience yet. You may not be lucky enough to own a car for yourself, but a good option for you is leasing a car with bad credit.
When Bad Credit is Not All That Bad
If you have a bad credit score because of previous transactions, loans and debts you have failed to fulfil, then leasing a car is your best bet in having a car you can use in your everyday commute. Before you think that this is a losing situation, think again. Imagine having a bad credit score and getting accepted for a lease… it gives you a second chance to actually work on improving your credit rating and maybe even ending your lease with a good credit score. Who knows? Maybe after two or three years of leasing a car, you might already be on your way to secure a financing scheme so that you could offer a brand new car of your own.
Minimal Cash Flow Disruption
The problem with seeking for financing schemes or loans when it comes to buying a car is that it is expensive. Buying your own car would require you to make a deposit, and through that deposit, your monthly repayment scheme will be computed accordingly with of course an interest rate. This may be more expensive in the long run than having to only lease out a car for only two to three years. When you lease a car, you would not have to make a huge deposit – just an initial payment would suffice. The monthly payments for leased cars are also relatively cheaper than when you pay for a car loan monthly. When do not want to make a huge dent to your cash flow and of course if you have a bad credit score, the most practical option for you to get a car you could use is leasing one out.
More Cost-Efficient in The Long Run
If you have a bad credit score and you want to have your own car, it would be safe to assume that you would want to get the most cost-efficient deal mostly because your choice would be a recurring expense for how many years to come. Sadly, owning a car is not all that cost-efficient. Yes, you may save on commuting expenses and on wasting too much time on public transport but there are still expenses related to owning a car. Gas, for one is an expensive recurring expense, there are also expenses on repairs, maintenance, and insurance policies. Not to mention the possible expenses you would incur should you get in an accident, most especially with another party. All of these expenses, all the while paying monthly for your car loan. What a nightmare, right? The beauty of a leased car is that all of the repairs and maintenance expenses can be covered with the manufacturer’s warranty. For the next three years or so, this is an expense that wouldn’t have to appear in your accounting books. Imagine how much you would be able to save if you are free from all the hassle car expenses.
When you opt to buy your own car, you will be stuck with it for quite a number of years – along with the expenses, too! But when you lease out a car, you will only have it for 3 years maximum and probably 2 years the least. When your lease ends, you have the option to lease out another brand new car that may be better than your previously leased car. Not only will you be able to easily get an upgrade with the car you use, but the mileage would also be lesser, giving you a smoother ride again. You could easily be a trendsetter with cars as you can try different brands and models every how many years. Even with bad credit, you could be able to have the same convenience of having a car without a heftier price and a longer commitment.