Myths about renting a car
Have you considered about all the myths in the world of rented cars? Do you think that you should avoid renting if you want to keep the car long time or if you drive a lot? Do you believe the excess mileage charges are expensive? Continue reading to get answers to your questions.
Renting saves you taxes
Read Also: Renting or buying a family car
Are long term car rentals beneficial?
In recent years, the long-term lease had very bad press. However, it was not banned in all circumstances. Even it can be an interesting way of financing.
"Those who want to keep their cars longer should buy it from the start, never hire." You have probably heard this advice. And that makes sense. But on certain occasions, renting may be a good deal - especially if the interest rate for a given term is more advantageous than that called for funding.
Read Also: Additional driver service when renting a car
Always getting new cars
For those who like to change cars every three or four years, the rent is usually more advantageous than buying.
Invisible, but expensive: depreciation
As we just said, lease "in perpetuity" hurts the wallet as indeed the resale of vehicles after just a few years. And for good reason: always riding a new car (or nearly new). In addition to repeatedly absorb the most expensive automobile expense, that is depreciation.
This last fact, although invisible, is nevertheless very real. More repairs and maintenance, and much, much more than the fuel cost are the depreciation costs. It makes up to half the value of the car after three or five years, depending on the model.
In other words, the loss of value of a car during its first years of existence, even a compact car, is much more important than cost, for example, a new transmission. This means that those who want to ride only vehicles covered by the original warranty pay high for this insurance policy. It is literally the luxury to constantly pay the full protection and material of construction to the vehicle manufacturer.