Are you planning to buy a car, a motorcycle, a motorhome or even a boat? Are you hesitating between private credit and leasing? Certainly, leasing offers are often very attractive at first sight because of low interest rates and low monthly payments. But, don’t be fooled by advertising and opt for the best solution in all knowledge!
The characteristics of each solution are as follows:
Private credit
• The purchased item belongs to you from the beginning of the contract!
• You have the right to resell your property at any time, since it is yours ,without having to repay your credit in advance.
• You have the option of repaying your credit at any time, while saving a portion of the interest on the advance period.
• You have a variety of insurance options and can choose the one that works best for you.
• You are making significant tax savings.
• The interest rate remains unchanged for the duration of the contract.
• You may be covered for death, involuntary unemployment and incapacity to work.
Leasing
• The purchased item belongs only to the leasing company, not to you!
• At the end of your contract, or in case of early termination, you must pay the residual value of the vehicle… and this one can cost you a few thousand francs!
• You must opt for full casco insurance and it is more expensive!
• Interest paid is not tax deductible…so no savings!
• In addition to the monthly leasing payment, additional costs may vary. When these are increased, your monthly payment can very quickly double!
• You do not receive any coverage in the event of death, unemployment or incapacity for earnings.
To conclude, leasing is an attractive choice for your budget, but reckless. Private credit is therefore the best solution for you!
CEA Credits offers you the best offers at the most advantageous rates!
