Long-term car rental
The long-term rental is an alternative to buying , financing or leasing a vehicle . It is a special type of car rental and is used by almost all car rental companies available.
The process is the same as you know it with rental cars . The customer concludes a contract with the car rental company and then picks up the vehicle at a rental station. Just as with leasing , with long-term car rentals, the rental company buys the vehicle and makes it available to the customer in return for a monthly or annual rental payment. The minimum rental period is usually negotiated individually (from one month upwards) and can be up to 24 months.
As with leasing , long-term rental contracts are calculated with a residual value at which the renter can purchase the car after the rental period has expired.
Advantages of long-term car rental
- individual vehicle equipment like when buying a new vehicle
- Frequent change of vehicle to a new one possible
- financial flexibility through low monthly rent payments
- No residual value or repair risk
- Vehicle tax, vehicle liability and fully comprehensive insurance are included in the rental price
- In the event of damage (e.g. accident, theft), the rental company takes over the handling
- the costs for transfer and vehicle registration are included in the rental price
- The rental company bears the expenses for maintenance and repair work
- Mobility guarantees or the like are often included in the rental price
- Particularly suitable for businesses and companies
- Calculation of a monthly fixed price over the entire rental period
- the rental payments are fully deductible as business expenses
Disadvantages of long-term car rental
- no acquisition of ownership of the vehicle (analogous to leasing)
- only possible from the age of 21
- u. U. more expensive than buying , financing or leasing
- u. U. restrictive rental conditions
- Mileage limit (as with leasing)
- u. U. repair costs in the event of improper use (such as leasing)