Are any extras included
A typical lease will include your annual road tax and often breakdown cover. Youll have to pay for your own insurance, servicing and maintenance costs.
Youre also responsible for keeping the car in good nick, even though the finance company remains the registered owner. Youll have to stick to an agreed mileage and have the car serviced on time. You may also be obliged to have work carried out by a dealer or garage specified by the finance company. Some lease providers offer additional optional maintenance cover, which generally includes the cost of servicing, batteries, tyres, exhausts and even an MoT test if the lease lasts for longer than three years.
What about mileage?
Lease agreements almost always involve a mileage limit, which can often be adjusted according to your needs. Be realistic about your anticipated mileage, because youll be penalised for every excess mile the car is driven. This can be costly at an average of 9p per mile. For example, if you agree a 30,000-mile limit over a three-year lease and hand back the car with 35,000 miles on the clock, youll be looking at an excess bill of 450. In the case of maintenance-inclusive lease deals, the excess fee can be double.