Do you live in Portugal? Do you want to buy a new car, but you can't afford it? Leasing is a system that will allow you to acquire a vehicle by paying monthly installments according to the conditions of the contract. In this text, we will inform you how to lease a car in Portugal?
In general, the leasing system happens between 3 entities:
- The tenant ;
- The lessor;
- As well as the dealer.
At the end of the contract, the lessee has two options, either he returns the car or he decides to buy it back.
What exactly does leasing mean?
Leasing is also called Rental with Option to Purchase or LOA. It is a leasing, consumer credit. The tenant pays monthly installments to have a vehicle at his disposal. At the end of the contract, the lessee can return or buy the vehicle. The car rental period is generally between 24 to 72 months, depending on the terms of a contract.
Leasing, how does it work?
Here's how car leasing actually works:
- The borrower is called the tenant;
- The organization that buys the property, also called the lessor, will own the vehicle.
The lessee will rent the car for a fixed term from the lessor. The rental will be governed by conditions defined by the contract. On the other hand, it is important to make the difference between the Long Term Rental and the Rental with Option to Purchase. The LLD does not provide for a surrender option at the end of the contract.
Is it possible to lease without financial proof?
Indeed, it is possible to lease without financial proof for a private or professional account. The documents to be provided are the same for these two cases, essentially:
- An ID ;
- A rib ;
- A guarantee check;
- As well as proof of address.
Professionals on their side must provide a certificate of activity to the lessor. In general, leasing contracts without supporting documents are almost the same as for classic formulas. However, the duration of the contract is a little shorter, it is between 6 to 12 months.
As a reminder, there are organizations, and therefore lessors, who offer leasing without financial proof. A function that is suitable for individuals and professionals. This easy solution is practical if you have just found a job or businesses that have just been created.
Why car leasing?
The biggest advantage of leasing is that it allows you to buy a vehicle in the future, and enjoy the property at the same time. It is an interesting financing, mainly if you do not have enough money to finance your car loan. If the contract does not require the deposit of a guarantee check or other contributions, the investment in leasing is less expensive than a car loan. If you also want to have a well-maintained and insured car, opt for car leasing.
