Car lease is a common option for individuals who are not capable of buying a car. This is also an option for individuals who want to switch vehicles every now and then. Just like buying a car through a car loan, lease involves monthly payments, interest rates, and credit checks. There are also differences between the two. In financing a car purchase through loans, you can actually own the car as soon as you pay the loan off while in leasing you need to return the car to the leasing company where you obtained it when the lease term ends. Besides these, there are other disadvantages involved in a car lease. Some of these are included in this article to provide you with greater understanding and this includes the following.
Payments and costs involved
Leasing a car is actually expensive compared to buying a vehicle through auto loans. This is because there are many fees involved in leasing that are not found on car loans. These fees include leasing costs and financing charges.