Leasing Guide

Like it or not, the chances are you will have to pay company car tax. If you have a company car then you will probably end up paying company car tax.

However, the way company car tax is calculated depends on what type of vehicle you drive.
For example, what about company car tax for a pickup?

In this article, we look at how company car tax for a pickup is calculated, and some of our top pickup picks.

There are a lot of things that affect lease price. When you lease, there is not a ‘one size fits all’ in terms of pricing.

Each lease agreement calculates their lease prices differently, and it’s good to be aware of this before you decide which contract is right for you.

So, in this article we’re going to go through the different types of contract, and how the lease price is calculated for each of these.

When you’re looking at new cars, you will probably notice the sheer number of abbreviations when looking at prices. RRP, MRRP, OTR, P11d…the list is endless.

One of the prices you should be looking out for is the list price. And, one of the questions that we get asked a lot at OSV is ‘how does list price affect monthly payments?’

In this article, we’re going to talk you through the different acronyms, what the list price is, and how this affects monthly payments.

When you are looking at getting a new car, regardless of how, you would have probably heard the word depreciation at least once.

But, what is depreciation? And how does this affect you?

In this article, we take a look at everything you need to know about depreciation. When talking about cars, depreciation is essentially the difference between the value of your car when you buy it, and how much it’s worth when you come to reselling it. This can vary between makes and models, but the general rule is that a car loses between 15-33% of its value in the first year and up to 50% or more over three years.

When it comes to leasing, there is not a ‘one size fits all’ approach to pricing. There are many different things that affect lease price and it’s important that you know how lease prices are calculated before you decide which deal is right for you.

In this article, we’re going to tackle how the price of contract hire is calculated, and what affects lease price. Contract hire is one of the most popular lease agreements, and is perfect for businesses. There is a contract hire for private individuals, imaginatively named personal contract hire.
A price of a business contract hire is determined on…

We’ve been in the business a long time here at OSV, and we have been asked a number of questions throughout our 20 year history.

And, one of the questions we get asked every now and then is ‘can I prepay my car lease?’
In this article we cover what prepaying involves, whether you can prepay, and what to do if you can’t. Prepay essentially means to pay before a certain date.

In the context of leasing, this could mean one of two things;

· Paying at the start of the month
· Paying your lease contract all in one go at the start…

When it comes to business leasing, it’s important to know exactly what you are paying for. Transparency is key when it comes to pricing, and we know that.

That’s why we’re going to talk about how the price of finance lease is calculated and what affects the price. A finance lease is strictly for businesses, and is a slightly different form of leasing. You make monthly payments on a vehicle and when the contract ends, you have a few options.

You can continue to run the vehicle. This is done by paying a one off ‘peppercorn rental’ which is usually one monthly payment. This allows you to keep the car for another year. At the end of that year you can either pay the balloon payment or pay another peppercorn rental…

When it comes to leasing, there is not a ‘one size fits all’ approach to pricing. There are many different things that affect lease price and it’s important that you know how lease prices are calculated before you decide which deal is right for you.

In this article, we’re going to tackle how the price of contract hire is calculated, and what affects lease price.Contract hire is one of the most popular lease agreements, and is perfect for businesses. There is a contract hire for private individuals, imaginatively named personal contract hire.
A price of a business contract hire is determined on..

You’re thinking about getting a new car, and maybe you’ve seen the term ‘leasing’ thrown about.

What is leasing? How does it differ from buying? Why do some people think it’s amazing and others think it’s the worst idea ever?
Leasing may seem complicated at first, and it can be pretty daunting trying to get your head around it. However, it’s really not as complex as it seems.
In this article, I’m going to tell you everything you need to know about leasing so by the time you finish reading, you’ll be an expert.First things first, how is leasing a car different to buying one?
Leasing is essentially where you rent a car for a certain period of time. But, it’s different to daily/weekly rental, which you would do through the likes of Hertz, for example. When you lease you have the car for around 2-5 years. You pay a series of monthly payments for that period of time. When the time is up, you hand the car back…

If you are looking for a new car, you may be doing some online research and wondering if you can negotiate car prices.

Pricing in the automotive industry is complex, and it can be daunting trying to understand what is a good deal and what isn’t, and when there is room for negotiation.

At OSV, we have advised thousands of customers on how to find the right car at the right price. So, with this in mind, we wanted to provide you with some information to know how, and when, you can negotiate.
Headline prices are used to attract interest. Headline prices are typically low prices that are used to attract interest. By the time you start to personalise the car or lease to suit your needs, the price has rocketed…

So, you’re looking to lease a car. You’ve probably been searching online at some leasing companies and have had a look at their pricing. And maybe you’re wondering if these prices are set in stone, or if there is room for manoeuvre.

Are lease prices negotiable?

In this article, we look at how companies come up with their lease prices, whether they are negotiable, and some top tips for negotiating.
Yes you can. However, there are some exceptions. Firstly, we’re going to explain a bit about how companies get their lease prices.
In many dealerships there are two departments; Fleet and Retail. When you walk into a dealership, you are talking to the retail team. This is the department that makes the money for the dealership…

As you’re approaching the end of your lease contract, you may start to wonder whether you can have your lease car for that little bit longer. You may be given the chance to extend your lease, but is it a good idea? We look at whether you can extend your lease, how much it will cost, and whether it’s a good idea. Possibly. It’s down to the finance house whether they allow you to extend your lease contract. They could allow you to extend it no problem, or they could turn around and tell you they can’t. It’s not guaranteed. Alternatively, they could say you can extend it but at a different price. But it is worth asking as your contract draws to a close…

We’re going to be honest, leasing can be pretty confusing, especially if you have never leased before. And one of the more confusing elements of leasing is the pricing.

This is because there is so much that determines the price of a lease contract, that every lease contract is essentially bespoke to that individual. So how do you know how much your lease payment is supposed to be?

In this article, we look at everything you need to know about lease pricing including how its determined, what affects it, and how much your lease payment should be. As I mentioned, there are so many things that affect lease price. So much so, that we don’t put prices on our website, the price can vary that much person to person. But what sort of things determine lease price?

Car leasing, everyone has an opinion on it. For some, it’s the best thing since sliced bread. For others, it’s the worst idea ever. We believe that you should be as knowledgeable as possible about car leasing before you make a decision. So, is it a good idea? In this article we look at the advantages of car leasing, and why it could be the best thing to happen to your motoring needs. Firstly, let’s look at the general advantages to leasing a car
You get a new car every few years
Probably the main advantage to leasing is that you get to get a brand new car every couple of years.
You don’t have to worry about depreciation
Depreciation starts the minute you drive a new car
The chances are that if you buy the car and sell it on, you will end up making a significant loss.
If you lease, you don’t have to worry about this because at the end of the contract, you hand the car back…

When looking for lease deals online, you will probably come across some lease deals that seem just too good to be true. Are they?

There are times when lease deals are too good to be true. And sometimes there are deals that actually are just that good. But how can you tell the difference?

It’s important that you do know how to tell the difference between a not so good lease deal and a great one. So we’re going to talk you through why some lease deals are cheaper than others, and how to tell if a cheap lease deal is legitimate. Sometimes, lease deals are based on how much of a discount vehicle brokers can get. Different brokers have different levels of buying power and therefore can access different levels of discount. Buying power can depend not only on the amount of cars sold, but also the quality of the service, relationships with manufacturers, finance companies or dealerships…

One of the most important things about business leasing is deciding which leasing option to go through.

We get asked about the differences between contract hire and contract purchase quite a bit. And it’s easy to see why, they are quite similar. However, there are some major differences that could be the decider in which is the best option for you.

So, in this article we’ll be looking at the main differences between the two, and the pros and cons of each. It should be noted here that this article is aimed at business lease, if you want to look at the differences between personal contract hire and personal contract purchase then you can head to our article here…

Despite its increasing popularity, there is still the view that car leasing is a bad idea.

Of course, we understand that for some people, car leasing is a bad idea. We aren’t going to sit here and tell you that car leasing is the best thing since sliced bread and you must do it immediately. Because for some people, it’s not and they shouldn’t.
At OSV, we are completely transparent when it comes to car leasing. And that even means writing an article about the bad things about car leasing.
So, in this article we’ll look at when car leasing is a bad idea, and why it might not be for you. Firstly, let’s look at the disadvantages of car leasing;
You don’t own the vehicle…

When you lease a car you have to pay an initial payment. This is essentially a deposit that you put down at the start of the contract. This can also be referred to as the down payment.

The down payment of a lease car historically used to be a number of monthly payments. This could be anything from 1 to 12 monthly payments. However, in recent years this has changed to a cash amount of £1,000, £2,000 or even £20,000 depending on the vehicle. However, how much you put down is up to you, but more on that later.

So, what is the initial payment? And, when do you have to pay it?

We get asked about this a lot at OSV and it’s understandable, you want to know exactly where your money is going. So in this article we’re going to explain what an initial payment is, how it’s calculated and when you need to pay it.

Finance lease is not the most popular lease, but it is perfect for some requirements.
But, what exactly is it? And who is it best for?

In this article we give you an overview this option, its pros and cons, and who it’s suited for. Finance lease, or FL, offers a more flexible way to finance a vehicle.

The contract is similar to contract hire in which your company pays fixed monthly rentals for a certain amount of time. However, the difference comes at the end of the contract.

At the end of the agreement, you will have a final rental. This is larger than your monthly rentals…

So, you’ve signed your order form for your car. What now?

Now, the rest of the document process begins. To ensure this process runs as quickly and as smoothly as possible we’ve written an article outlining the process, and what sort of things may delay the process. Once your order form has been signed electronically, the finance team take the reins. However, at OSV, if you need to talk to your sales advisor about anything other than the agreements and delivery, they will always be available to you.

We will send you the finance documents pack. You will also receive an email detailing how to fill out the relevant documents. The documents pack will include…

At the start of your lease contract, you have to pay an initial payment. Or, initial rental, or down payment, whichever you choose to call it.

Typically, this used to be a number of monthly payments, and was anything up to 12 months’ worth of rentals.
When you have to pay this depends on how you pay for this initial payment and the terms of the finance approval.
So, how can you pay for your initial payment?
In this article we look at the ways you can pay this, and how this affects when you have to pay. You will know how much your down payment will be before you sign your contract.

There will be some finance houses that stipulate you have to put down a certain amount. This could be down to their policy, your financial circumstances or your credit history.

When thinking about the deposit for your lease car, you might want to consider using your current car.

It’s understandable why this would be an attractive option. And one of the questions we get asked a lot at OSV is ‘can I use my current car as a deposit for my lease car?’

The answer is yes, you can. Most of the time. There are some exceptions. In this article, we’ll be looking at whether you can use your current car as a deposit, and how exactly to go about doing it.
Yes, you can. You can do this either by part-exchanging your car through your broker or dealership. Alternatively, you can do this through websites such as webuyanycar, or through a private buying website such as Autotrader.

When selling through a broker or a dealer you can either use the full amount as a deposit or you can use some of it, and get the remainder in cash…

So you’ve found your car. And you’ve decided which agreement is best for your situation. Now, it just comes to signing the documents.

This is so important. I know we say everything is so important when it comes to car leasing, but this really a very vital part of your leasing journey. Admittedly, it’s also one of the more boring parts of the leasing journey. It’s a lot of reading and checking and ensuring you understand what you are reading and checking. But, it’s worth it.
As soon as you sign the terms and conditions you are agreeing to everything in it. Everything. This is why it’s so important.
If there is something wrong, then you will need to flag it up before you sign.
But, what’s included in the terms and conditions?
In this article we’ll talk about what sort of things are covered, what things you should be looking out for and what you should do if you are not happy with your order. There is a lot of important information covered in your terms and conditions, so it’s vital you read them carefully. Some of the things that are included are…

So you’re halfway through your lease contract and unfortunately, you lose your job.

What happens next?
It’s not an ideal situation to be in by any means. And we understand that your lease contract is probably the last thing on your mind in this situation.
But you do have to do something about it. So, what happens if you lose your job during your lease contract?
In this article we will talk you through your options, and the process you have to go through. You’ve lost your job, and you’re just starting to think about your car. What do you do?

The first thing to do would be to call your vehicle broker. They will be able to advise you on what to do next. Then, you need to ring your finance house. They will present you with your options. Unfortunately, your options are pretty limited when it comes to this situation. Unless you are sure that you will be able to continue to make those monthly payments you need to think about getting out of your contract.

And there are ways you can do this…

Business leasing is becoming an increasingly popular form of leasing as of late. It’s cheaper than buying, you can change your fleet regularly and there are a range of benefits. But, what exactly are the benefits of business leasing? We explain these benefits every day at OSV so we’ve written an article on the different types of business lease, and the benefits. There are three different types of business lease options available to you. And those are…

Personal Contract Hire is one of our most popular lease agreements.

But, why? What is personal contract hire about?

In this article, we’ll explain exactly what personal contract hire is, it’s pros and cons, and whether it’s right for you. Personal contract hire, also known as PCH, private contract hire, private lease or personal lease, is designed for private individuals. Over 70% of our lease agreements are contract hires, so they are pretty popular. You can read our article on the contract hire agreement for businesses here.

Essentially, a PCH agreement is where you have a car for a period of time, usually 1 to 5 years. You pay a series of monthly payments and once that time is up, you hand the car back with nothing else to pay (as long as you keep within the terms of the contract, of course). Think of it like renting a car.

The amount you pay monthly is set at the beginning of the contract…

Sometimes, you start to have second thoughts about something. A house, a job, or your new car. It happens.

And we understand that sometimes you do change your mind about things, even your lease agreement. But, what happens when you change your mind about your lease agreement?
There are quite a few things that could happen. And while this is quite rare, it has happened in the past. So, we’re going to talk about what happens if you change your mind about your lease agreement at the different points of the order. If you change your mind before your car has been delivered, then there are a few things that could happen. There are different stages in which you can change your mind.

If you want to change your car before it has been ordered from the dealership, then you can do so. In regards to our process, this will be at no extra charge to you as long as you are ordering another vehicle.
If you want to change the car after the car has been ordered from the dealership, then you may face charges. Say you have ordered a BMW but you’ve changed your mind and want an Audi instead, then the dealer now has a BMW without an owner. So, there may be dealer charges.

Taking care of your lease car is extremely important. You don’t need us to tell you that. Of course, you have to stick to your mileage, you have to get it serviced, and you have to keep the car in a condition in line with the BVLRA Fair Wear and Tear Guide.

But, what happens if something is wrong with the car that is down to a manufacturing fault? Is the warranty included in your lease contract?
Yes, it is.
We talk about this every day at OSV so we’re going to talk you through what your warranty includes, and where you can find it in your agreement. When you lease a car, you don’t actually own it. So it’s understandable as to why you might be questioning whether you get a warranty with your car.

The warranty tends to last for three years. However, it varies between mileage terms and manufacturers. So for example, the warranty on a Nissan lasts for three years with 60,000 miles. But, a warranty on a Mercedes lasts for three years with unlimited mileage.. And let’s not forget Kia’s warranty of seven years with 100,000 miles…

There are so many options to choose from when financing your vehicle. And one of the more flexible options of the lot is contract purchase.

Contract purchase is primarily for businesses. There is a contract purchase for private individuals, aptly named Personal Contract Purchase.
So, what is contract purchase? In this article we’ll be looking at what contract purchase is, its pros and cons, and whether it’s right for you. A contract purchase, or CP, is essentially where a company pays monthly payments for a set period of time. At the end of the agreement, you have three options…

When you lease a car, one of the things you have to really consider is the annual mileage.

Your annual mileage determines how many miles you will be doing (obviously) and it also has an impact on the monthly payments. We’ll discuss this in a minute. Also, if you go over that annual mileage, you will incur charges.
But, what happens if you have already gone over your miles? Or you think you might be over your mileage when your contract is up?
We advise people on this matter every day at OSV, so we’re going to talk you through the advantages and disadvantages of leasing a car when it has gone over its mileage. Firstly, let’s talk about what excess mileage actually is.

Excess mileage is when you go over your annual mileage. Your mileage is set at the start of your agreement. This can be anything from 5,000 miles to…

You want a new car, and you aren’t sure whether you are going to lease or buy.

How do you choose?
There are pros and cons to both leasing and buying. And they are suited to different people.
Getting a car is a big decision and is not one you make on a whim. The most important thing is that you are fully educated on each of these options so you know you are making the right decision.
We talk people through this decision-making process every day. So we thought we would make a comprehensive guide comparing leasing and buying. First thing’s first; what is the difference between leasing and buying?

The answer is pretty straightforward. When you lease a car, you hand it back. When you buy a car, you…well, own it…

You want a new car. Except, you don’t want to buy it outright. And, you don’t really want to lease it. What are your options?

Well, you could buy second hand, but you really would prefer a new car. So, that leaves you with a finance option.
One of the questions we get quite often at OSV is, ‘can I afford to finance a new car?’ and the chances are, yes you can.
In this article we’ll talk about your finance options, what you should think about when budgeting, and how to lower the cost of the payments. If you want a new car to own outright then you can go for a hire purchase. A hire purchase is essentially where you pay for your car monthly. Once those payments have been made, you own the car outright.

You may also want to consider personal contract purchase. At the end of a contract purchase agreement, you have three options…

You’re looking for a new car, and you might be considering leasing it. Except, one of the worries many of our customers get is that they can’t afford to lease.

The chances are, you can afford to lease a car. There’s a common misconception that leasing is more expensive. But, it’s actually not.
However, there are some things that you should consider first. We advise people on this every day. And, it’s important to us that we put some of these misconceptions to bed. So, we’ve written an article on lease prices, what affects them, and how you can afford a lease car. The price of a lease car can vary depending on a number of factors. However, we can tell you how the monthly lease price is calculated. This should give you an idea of how that monthly figure has come about…

When people talk about leasing a car, they generally tend to be talking about contract hire. This is because contract hire is one of the most common and popular lease agreements.

But, what is it?
Unsurprisingly, contract hire is also one of our most popular lease agreements. So, we’re going to talk you through what contract hire is, who it’s for, and the pros and cons of each. Firstly, what is contract hire?

Contract hire is designed for businesses. There is one for private individuals which is aptly named private contract hire.
However, contract hire is essentially where a company rents a car for between 1 and 5 years while paying a monthly rental. After that time is up, they hand the car back. Firstly, what is contract hire?

Contract hire is designed for businesses. There is one for private individuals which is aptly named private contract hire.
However, contract hire is essentially where a company rents a car for between 1 and 5 years while paying a monthly rental. After that time is up, they hand the car back. Contract hire is perfect for…c