Car leasing/subscription has never been a popular choice for private car buyers in India as the options were quite limited until now. There are now quite a few leasing options in the market at present to choose from like the Revv and Zoom’s ZapCar services. But does paying a subscription fee every month for a vehicle makes more sense than buying the vehicle? Well, it just might if your needs suit it. Let’s find out if you’re the type of person who should buy the vehicle or just take it on a lease, which allows you ownership-like feeling without actually buying the vehicle.
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Want to try out new vehicles every now and then: Subscription
If you’re the type of person who gets bored vehicles after staying with it for a few years then leasing is something you should explore. Leasing plans allow owners to lease vehicles for a definite time and once that period gets over, one can always take another vehicle on lease or continue with the same vehicle by extending the lease plans. Owning a vehicle and then selling it to buy a different vehicle is a much more tedious process and takes a lot of time and effort.
Go on road trips: Buying
The leased vehicles come with commercial numberplates. These are different from the white background and black letters on the regular private numberplates. The tax structure of these vehicles are different and whenever such vehicles cross the state borders, they have to pay a tax. If you’re someone who goes on a lot of road trips then leasing is not the best idea as you will have to pay extra tax and will have to spend a lot of time on the state borders.
Want to customise: Buying
If you plan to customise your vehicle and make it more suitable for your needs, buying is always a better option. Most of the leasing contracts would not allow changing the stereo system or upgrade the speakers. So if you plan to make changes to the vehicle, buying the vehicle is always a better option. Even options like extra lights, different seat fabric and different alloy wheels are not allowed under most leasing options in India.
Initial cost: Subscription
Leasing allows you to experience the vehicle like an owner without spending too much initially. One just has to pay lower upfront charges for leasing while to buy a new vehicle on loan, a downpayment plus charges like taxes and insurance have to be paid.
Getting a chauffeur is not always unavoidable for many who commute over long distances daily. If you’re someone who is an enthusiast and do not like to give the driver seat of the vehicle to someone else, you can always get a leased vehicle for the chauffeur. You will not have to worry about various things like how the driver is handling the vehicle and other similar things as you can always give the vehicle back after the end of the leasing term.