Questions about leasing a car

  • Can I buy the vehicle at the end of the term?

    If nothing else has been contractually specified, usually the vehicle goes back to the lessor. Depending on the form of the contract, however, there is a possibility of purchasing the leasing object after the contract period. Therefore, a purchase option should have been contractually specified.

  • Is a termination before the end of the leasing contract possible?

    According to legal regulations for consumer credit, the lessor can terminate the contract with a notice period of at least 30 days, however, only 3 months after contract conclusion.

  • Is leasing more expensive than purchase?

    Outside financing is always more expensive than self-financing. In the case of self-financing, however, the evaded earnings of an alternative investment of the cash purchase price which is no longer possible have to be considered. In the case of outside financing in car leasing, you also avoid any kind of ownership risks of a cash purchase (loss at resale, conversion).

  • What happens if I can no longer pay my rates?

    You should get previous information from your lessor if a rate coverage is offered. Meanwhile, many providers offer insurances for rates in the cases of death and other no-fault cases (unemployment, inability to work, inability to earn an income).

  • What happens in the case of damages on the vehicle?

    Generally, damages from an amount of CHF 500 have to be reported to the lessor. The details on this are regulated in the respective leasing contract.

  • Which tax-related effects does leasing have?

    If you use a vehicle as a private individual, you cannot deduct the leasing costs - in contrast to commercial use - from taxes.

  • What happens to the leased vehicle in the case of death?

    The lessor does not automatically terminate the contract in the case of death. If there is only one surviving dependent, the lease contract is automatically signed over to him/her. The surviving dependent has the possibility of rejecting this "inheritance". However, he/she cannot only reject one part - in this case the contract - but has to reject the whole inheritance. However, if you would like to accept the inheritance, you should contact the leasing firm for more information, i.e. if there is a special termination right in the case of death included in the General Terms and Conditions - so that you can terminate the contract without previous notice within a certain time period. However, keep in mind that a premature pullout is not always worthwhile.

  • What do I need to keep in mind in the case of premature termination of contract?

    It can get expensive. A termination of contract is expensive because the leasing company can increase the rates with retrospective effect, as the loss in value is not constant. In the beginning the car loses value faster than after a few months. If the leasing contract is terminated ahead of time, the difference of the amortisation has to be compensated by the lessee until the end of the contract period. Each leasing contract contains a chart wherein the surcharges in case of premature termination are listed. However, usually the amounts in this chart are too high. Therefore, it is recommended to have the amortisation chart checked by an expert.

  • When do I have to pay my rates?

    Depending on the provider they have to be paid at the end of the month or on the 1st of the month. With most providers it is common to pay the individual leasing rates monthly ahead; the first time when taking over the car and then monthly ahead, on the first day of the month.

  • How does the maintenance of my leasing object take place?

    Please read the instruction manual for your vehicle carefully. Especially the maintenance and inspection services which are required by the manufacturer have to be timely carried out by your vehicle dealer. A careful attendance of the vehicle has positive effects at the end of the lease contract. Vehicle flaws that did not result from normal wear and tear or exist due to omitted maintenance work, have to be paid by you when returning the vehicle.

  • Which further costs do I have to expect?

    Apart from the monthly leasing rate, you should keep in mind that you have to take out a comprehensive insurance which brings further costs.

  • Which vehicle insurance do I have to take out?

    When leasing a vehicle, a comprehensive insurance is compulsory as well as a third party insurance. In order to find out the cheapest rate for your vehicle use our Car Insurance Comparison.

  • Do I have a right of withdrawal when leasing?

    Yes. You have the right to withdraw your contract within seven days. Within these 7 days you have to have sent the declaration of right of withdrawal. Therefore, it is always recommended to send such a declaration with registered mail.

  • How is the leasing rate composed?

    Included in the leasing rate is the respective part of the purchase price of the leasing object, reduced by a possible one-time payment in the beginning and the residual value. Therefore, through the leasing rate, a balancing of the value loss during the leasing results. In addition, interests for the provision of capital through the lessor are calculated into the leasing rate - as well as administration costs, a surcharge for the risk of default and, of course, a profit margin. Therefore, the calculation of the leasing rate can be quite complex. How the leasing rate is composed in detail, the lessee usually does not find out. In order to receive more detailed information, you should contact your provider.

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