The Most Important Aspect of Autoliising

autoliisingAutoliising is the act of financing the use of a vehicle. The term generally means paying to use a vehicle for a period of time. A lot of people confuse autoliising with renting a car. However, autoliising is very different from renting a car. You can rent a car for as less as an hour. However, with autoliising, the minimum amount of time you get to stay with the vehicle is 24 months. Another major difference is the fact that with renting vehicles, it is possible to have a termination of the agreement or have a vehicle swap. This is not possible with autoliising.

When it comes to autoliising, the most important aspect is price. When buying a vehicle, negotiation is a very important aspect for the buyer since this is the only opportunity they get to convince the dealer to sell the vehicle at an affordable price. The same thing applies to autoliising; the person interested in getting the vehicle negotiates with the dealer until they reach an agreement. The price is important because, the agreed price is what the dealer sells to the leasing company which sells the vehicle to the buyer. The price is also what determines what the person will be paying on a monthly basis.

Difference between the leaser and dealer

A lot of people mistake the vehicle dealer for the leasing company. There is a great difference between these two people. The dealer acts as an agent who is responsible for dealing with all interested companies until the vehicle is leased out. The leasing company n the other hand is the company that made the vehicle and the one to whom you pay the monthly payments after autoliising. Therefore, the dealer simply acts as an intermediary between you and the company in the initial stage. After the ca has been given to you, you deal directly with the company since you are required to make direct payments to the company.

Process of autoliising

The first step of autoliising is for you to decide which vehicle you want to go for. Once you have made your decision, the dealer tells you the price of the vehicle in order to give you a chance to negotiate. Once you have reached an agreement, the dealer calculates the total price by adding up the total price and other non-negotiable factors given by the leasing company. once this is done, you are told what your monthly payments will be and given a chance to make a down payment if you wish to reduce the cost of your lease.

What autoliising means

When you agree to autoliising terms and conditions, you are basically agreeing to take care of the vehicle for the specified period of time. You are required to pay the license fee, taxes, the monthly payments to the company and other costs that may come while the car is in your ownership. Above all, you agree to keep the vehicle in good condition until the contract expires. It is also important to know that you cannot give back the vehicle before the contract expires.

Join our newsletter

If you like Critical Financial, subscribe and get our latest content via email.

Powered by ConvertKit

Share this post:

Recent Posts

Leave a Comment


May the 4th Be with You: Star Wars Swag on Amazon

May the 4th Be With You: Star Wars Day Swag

It began as the punniest holiday ever but quickly grew into an earnest (if somewhat random) celebration of the long-running (and still... more →
People count the money to buy a house in future success.

Avoiding Mortgage Scams: Don’t Fall for Unreasonable Promises

If it sounds too good to be true, it probably is. That’s sound advice for almost all aspects of life, including the search for... more →
Eat for free for a whole month via the meal kit companies discounts for new customers.

How To Get a Month of Free Food: 9 Meal Kit Companies Offering Discounts to New Customers

Play your cards right and you might be able to line up a month’s worth of free meals if you were to try out all nine of the meal... more →
Generate extra cashflow -- here are 97 ways.

96 Awesome Ways to Generate Extra Cashflow

Who doesn’t want more money nowadays? We’ve got you covered on that front. Here comes a long list of different ideas on... more →
Valentine's Day gifts that won't destroy your budget

Valentine’s Day Crafts Are Romantic Rescue from Crazy Inflation

Fall for the hype this week and you’re out an average of $143.56 for Valentine’s Day. Crafts and other do-it-yourself tactics... more →

Ultimate Guide to Bitcoin — FREE Ebook!

Have we got something for you: a free ebook about bitcoin! more →
Get a flu vaccine.

Why You Need To Get a Flu Vaccine Right Now

Flu vaccines aren’t just for the elderly  anymore. Here are 25 reasons you should go get vaccinated. more →
Financially successful

Acquire the Trait All Financially Successful People Have

Financially successful people tend to all have a lot of self-discipline. Improving your discipline in one area of your life often spills... more →

What’s the Best Free Recipe App?

The Apple Store and Google Play together offer more digital cookbooks than you probably have room for on your mobile device. So which... more →
New tax law might slow down housing market.

What Will the New Tax Law Do to the Housing Market?

The new tax law will have a profound impact on the housing market, although in ways that go beyond the deductibility of mortgage interest... more →

4 in 5 Households Will Get a Tax Cut in 2018

Four out of five U.S. households will get a tax cut as a result of the legislation that President Donald Trump signed into law today. more →
Will bitcoin reach $100,000?

When Will Bitcoin Reach $100,000?

Bitcoin has accelerated its pace of appreciation in recent months, and if the current levels between $15,000 and $19,000 make you itch... more →
The Dow Jones topped 24,000 -- now what?

The Dow Jones Crossed the 24,000 Threshold. Now What?

Stocks appear to be increasing in volatility, yet the markets closed on Monday, December 4 with the Dow Jones Industrial Average is... more →
Peer mortgage

Should You Get a Peer-to-Peer Mortgage?

If you can’t get approved for a home loan from a bank, you might want to look into applying for a peer-to-peer mortgage. more →
Investment gifting is awesome.

4 Things To Know Before You Donate an Investment

While donations of any kind are appreciated, gifting investments benefits both the giver and the receiver. Here are four key things... more →
Are you wondering: What's the Relationship Between the Stock Market and Federal Debt?

What’s the Relationship Between the Stock Market and Federal Debt?

Wouldn’t it be wonderful if gains in the stock market could actually reduce U.S. government indebtedness? If that were true,... more →

Do You Need Active Investment Management?

Just like anything in the investment industry, there are winners and there are losers. This is no more apparent than when looking at... more →