LONG TERM CAR RENTAL

As most car leasing agreements are valid for around two-three years, if you require a car for a shorter term you may prefer a car rental. Though most car hire agreements last for short periods – days, weeks, or months – there are long term car rental options available that can last for six-eighteen months.

However, how do you know which is right for you – a car lease of a long term car rental?

Generally speaking, car leasing is one of the most cost effective methods of securing a new car as you pay the difference between the car’s retail price and its residual value – that is its worth after depreciation, which is usually around 50% of the original retail price after three years.

However, over a period of approximately six-12months the depreciation rate is most rapid which makes leasing less cost effective. Consequently, long term car rental is a valuable option.

There are many important factors to bear in mind when you take out a long term car rental. The car is never yours and is therefore subject to inspection on its return. You will need to set up comprehensive insurance and be aware of any mileage limits and petrol restrictions that the rental company may place on the vehicle.

Consider what you need the car for – perhaps you own a company and are taking on staff over a limited period, or perhaps your job requires you to temporarily travel an excessive distance. Search around for the best long term car rental deals and bear in mind that a car rental company will usually drop its daily or weekly rate if you take out the car over an extended period. Use online directories to find the best long term car rental deals in your area and if you need a car for more than a year look into leasing as an alternative.