Tips for leasing a car

eyeofthetiger999

Hi everyone. I have previously always purchased used cars but I have now been informed that leasing is the way to go to minimizing costs and for tax purposes. I am looking for a small saloon car with low running costs being essential. So as a start looking for something like say a bmw 320 audi a4 etc. Can anyone give any hints on the best way to minimize costs or any websites that offer the best deals? I have been told to get the car before the 1st April to avoid the new road tax regulations.

Thanks

neilmcl

You definitely mean leasing and not PCP/HP?

In which case, the best advice I can give is to shop around for the best lease deal for the general car sector your're after, rather than pick a specific car and see which is cheapest.

ratrace

eyeofthetiger999 wrote: »

Hi everyone. I have previously always purchased used cars but I have now been informed that leasing is the way to go to minimizing costs and for tax purposes. I am looking for a small saloon car with low running costs being essential. So as a start looking for something like say a bmw 320 audi a4 etc. Can anyone give any hints on the best way to minimize costs or any websites that offer the best deals? I have been told to get the car before the 1st April to avoid the new road tax regulations.

Thanks

Well to be honest who ever told you that leasing a brand new car is a way of minimising costs over a used car needs their head testing

for example:
a toyota yaris 2005 1.4 diesel full mot 85,000 on clock for £1,500, good mpg and only £30 to tax!!!

same with a ford fiesta and a renault modis etc... all used and low running costs

forgotmyname

Who said leasing was cheaper? A leasing company?

Guessing a Skoda Rapid or a Mazda 3 can be found cheaper than your 320 or A4.

andrewf75

as others have said leasing can be favourable to buying a new car, but buying used is most certainly the best way to minimise costs.

motorguy

eyeofthetiger999 wrote: »

Hi everyone. I have previously always purchased used cars but I have now been informed that leasing is the way to go to minimizing costs and for tax purposes. I am looking for a small saloon car with low running costs being essential. So as a start looking for something like say a bmw 320 audi a4 etc. Can anyone give any hints on the best way to minimize costs or any websites that offer the best deals? I have been told to get the car before the 1st April to avoid the new road tax regulations.

Thanks

Not sure on the "for tax purposes" bit?

You cant claim back all the vat on a lease (i think you can claim back half of it), but it may well be more tax efficient - and cheaper overall - to buy your own car and then claim back the 45p per mile business miles.

Also, dont forget if you've a leased car through your business, then you're going to pay significant personal tax on it as your company car.

If you're otherwise planning on buying a new car and keeping it for a set timeframe of say, 2, 3, or 4 years and selling it, then yes it may well be cheaper to lease a car, but its certainly not cheaper than running a used car in its place.