Are You Thinking About Buying a New Car?

Are you thinking about buying a new car? Well, hopefully you have come to the right place as buying a car can be stressful and more than a little tricky. That's without even thinking about the practicality and safety of a car for any special cargo you may have to chauffeur around. My husband and I have always purchased our cars. We have brought a couple of cars outright and had some on finance. So you could say that over the years we have picked up a few tips and tricks when it comes to buying a car and perhaps this post will give you some ideas or at least give you some questions to think about. 

There’s a wide range of options when it comes to purchasing a car, and sometimes it can be confusing and stressful trying to figure out the best deal for you. There's so much to consider from researching, booking test drives, understanding the best models and manufacturers and that's all before one of the most important factors, the cost. It's easy to get over-eager about a new car without reading into the fine print. The easiest and most obvious way to get a new car is to buy one outright, but that's not always an option for everyone. More people are choosing to get the cars in different ways, such as using personal loans, hire purchase and leasing. Today I thought that it would be a good idea to talk about leasing as a way to get access to a car with monthly repayments without the hassle.

As you know over the years both my husband and I have changed our cars every few years. We have brought cars outright or used a personal loans but one way that we haven't really thought much about is leasing. At a glance, it could be just what we are looking for when it comes to getting a brand new car without any hassle with trading in selling the car on when the time comes. Leasing is a brilliant way of driving a brand-new car and accessing the many benefits that entails. However, you do need to be happy that it’s right for you and be comfortable with the company you’re dealing with. 

Leasing a car can vary from company to company, but generally, they specialise in car leasing where a financial agreement to made and set over a period of time such as 18 months, 2 years or more, where you pay a monthly contract for the car. But you don't own it. Instead, you reach an agreement with the car leasing company to pay a deposit (typically between three and nine months payments) and then recurring monthly payments for the term of the lease. At the end of the lease you return the car to the leasing company with nothing more to pay. So consider a few things before heading down the leasing road.

Before committing yourself to a car lease its necessary to shop around and get the best quotes, and actually understand them. I think that the most important question you should be asking yourself when it comes to a car lease is the cost. Would you be able to afford a monthly repayment? With any purchase, you must budget to make sure you can comfortably afford the monthly payments. Car leasing can offer the advantage of fixing many of your motoring costs as you know exactly what you will have to pay and when you have to pay it, helping you to budget. Leasing arrangements may include other costs, like servicing, tyres, tax and insurance. You don't have to worry about depreciation. Any value the car loses over time is not your problem as you don't own it. At the end of the term you simply hand the keys back to the dealer. So you need to ask yourself, how comfortable will you feel about never owning the car? 

Whether business contract hire or personal leasing, there will be an annual mileage limit. At the start of the lease, you will set an estimated annual mileage with the leasing company. It is therefore important to choose the right deal, as should you exceed the mileage over the agreed term there will be more to pay at the end of the leasing deal. As you don't own the car when you use contract hire and leasing you will need to have fully comprehensive insurance. Third party insurance only covers damage to other people's property in the event of a claim, leaving you liable to the cost of repairs for damage to your vehicle. You should also consider things like the length of your lease. Before taking out a lease, you need to feel confident you will see out the lease term, because terminating early can incur additional fees. So keep these in mind when choosing the length and type of lease. 

Due to the fact that you would be leasing the car, you are more than likely to lease it over a period of time. So will the car you choose continue to suit your lifestyle? So if you're planning in having a football team with your partner, you may need to consider a mini bus instead of the BMX 4 series Coupe. So when taking a lease, think about what you’ll need from a car for the next few years to help you make the right choice.

Is it Best to Loan or Lease a Car?

Well that's the question really, because it all depends on a number if factors financially and personally. With loans there is a lot more to consider such as your personal finance, your credit rating and how much you borrow and at what rate. However, because of this reason a personal loan isn't always an option for everyone. With car leasing the most important benefit is financial. As they offer the advantage of fixing many of your motoring costs and you know exactly what you will have to pay and when you have to pay it. And there are no worries about depreciation as at the end of the term you simply hand the keys back to the dealer. Leasing is the simplest way to drive a new car. Blue Chilli Car are independent specialists at providing competitive vehicle leasing and financing solutions to small businesses and individuals alike. So if you are considering leasing a car then go over and browse their extensive selection of vehicles and perhaps even those BMW leasing deals that will sure to tempt you with no hassle.

This post is written in collaboration with Blue Chill Cars. 


  1. This is really interesting! We are currently looking at getting a bigger car and will be having exactly this discussion :)

  2. A useful post for someone trying to weigh up the options for buying / leasing a new car.

  3. I don't think I would have thought about leasing a car but it could be a good idea.

  4. A car is a big decision and can be tricky to choose what is best. Great options here, some that I wouldn't have considered.

  5. We've never owned a car. We get around on foot or by public transport. Sometimes I do wish we had one, but mostly I'm glad not to have to deal with the stress of having a car in a city that is totally congested.

  6. I have never thought about leasing a car, always loved the idea of buying it on loan and paying it off.