Searching for the perfect car: Should you rent or buy a car?

20Should you rent or buy a car? It is mostly our own needs that guides this decision – and our finances too, of course. A ready-made answer does not exist. Each person must look into their needs and take their budget into account before making such a large expense.

Assess Your Needs

To make an informed decision, you must first consider your needs and habits. For example, if you drive a lot in a year is a major factor to consider. If you rent a car, at the end of a lease you, will have to pay a certain amount if you have exceeded the number of kilometers provided. Know the rates charged by different companies such as Discover car hire for every kilometer exceeded to make a decision here. Also, damages that exceed normal wear and tear are billed to the tenant at the end of the lease. Scratched paint, damaged seats or door panels, dented bodywork: you will have to pay the dealer or have them repaired yourself before returning the vehicle. The advantage is that if you want to have a new car every three or four years, and thus avoid mechanical worries, leasing remains your best solution. The same is true if you know in advance that you will have to change your car at short notice, for example with the arrival of a new child.

A Question of Budget

The monthly payment requested for a rental is generally less than the monthly payment required for a purchase. It is therefore economical for those who do not have a large budget to spend on their vehicle. But, when you rent, you only buy the use of the automobile. Therefore, at the end of the lease, generally 36 or 48 months, if the vehicle is not returned, it must be purchased at the residual value provided for in the contract, and possibly a loan.

What About Insurance?

Does buying or leasing make a difference to auto insurance? Insuring a rented or purchased car usually costs the same. But what if the rented vehicle is stolen or considered a total loss after an accident, and the insurer does not reimburse its full value? The variance guarantee clause protects the lessee against this type of difficulty: it is then simply necessary to hand over the keys to the vehicle and the insurer’s check to the lessor, who will himself assume the loss. It is therefore necessary to verify that this clause appears in the rental contract.

How to choose the best car rental

The contract/terms and conditions

It can be long and tedious, but try to read the rental agreement/terms and conditions carefully, and make sure you are satisfied with the contract before you agree. Most agencies like EasyRentCars tend to exclude border crossing from their rental contracts, which could generate significant costs to pay from your pocket in the event of an accident or breakdown.

The mileage package and options

It is quite easy to find cheap rental cars on the internet. Be careful to check the mileage conditions before booking! Take a good look at the packages and choose the one that best suits the route you have planned.

The choice of insurance

Inevitably, the lessor whoever he is, will offer you his insurance at the time of rental. The question will be, for you, if you should take it and which one to choose. In a basic rental contract, third party insurance and theft / damage insurance are generally included. You must therefore pay the deductible in the event of a problem, a sum which can quickly amount to (more than 500 euros).