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A lease is a contract in which one party conveys the use of an object to another party. The lessor is the legal owner and allows the lessee to use the object. In return, the lessor receives payments in the form of lease instalments for an agreed period of time. Unlike a personal loan, leasing involves the lending of an object rather than money. In Switzerland, leasing agreements are primarily used for cars and motorcycles.
During the period of the lease, the lessee is obliged to take care of the vehicle. In other words, lessees are responsible not only for taking out fully comprehensive (full casco) insurance, but for arranging service and maintenance as well. At the end of the agreement, the object is transferred back to the lessor and the lessee has no right under civil law to ownership of the leased object.
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With a personal loan, the car belongs to you from the start. Once you’ve paid off the loan, you get to keep it. At comparis.ch, you can find out whether leasing or a personal loan is the right choice for you.
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