What is No Deposit Vehicle Leasing?
A ‘No Deposit Lease’ allows you to take out a car leasing agreement, but with no large deposit costs upfront. The chances are your monthly rental will be slightly higher as you have only had to pay one months payment upfront.
How do I apply for no deposit car leasing?
To apply for a no deposit car leasing agreement you will need a really good to excellent credit rating. Ideally you will need to have a credit score of around 700 or above. The higher your score the better chance of success in securing a no deposit lease. Car lease companies will see you as a lesser risk as you can prove that you will be more likely to make the payments in full.
No deposit terms are ideal to give you more flexibility with your finances, as you will not need to outlay large sums of money upfront. The drawback to this is usually a higher monthly payment, but with a fixed amount each month it can make your budgeting easier.
At Pure Vehicle Leasing we do not refer to our schemes as ‘No Deposit’ as this could be a little misleading as we do actually take 1 months payment upfront. So as an example it may be 1 + 23 for a 24 month contract or 1 + 35 for a 36 month contract. Ultimately they are the same thing.
Prices may vary from those advertised if you take out maintenance and servicing packages but it will give you the piece of mind that everything has been budgeted for and you will have no additional running costs.
Is 0 down car leasing the same as no deposit car leasing?
The simple answer is yes. Any scheme that has a monthly amount that stays the same throughout the contract were the initial payment is the same or lower, are ‘no deposit’ car leasing schemes. Car Leasing companies may call them different things and offer different terms, but they all mean the same thing.
Do I have to have a good credit rating to lease a car?
As with any finance offer this will depend on your individual circumstances as to whether you qualify for a no deposit leasing agreement.
As explained above if you have a good to excellent credit rating you should be able to get a quote for a no deposit option from your car leasing company. Just be aware that the more money that you initially put down upfront, the lower your monthly payments will be.
Can I lease a car with a poor credit rating?
As with any finance offer, Car Leasing companies are bound by the Financial Conduct Authority (FCA) and are required to carry out checks to see if you can afford the credit. If you have a poor credit rating the chances are; you will be turned down for a ‘No Deposit’ leasing agreement. You will probably struggle to get any finance deals on a leased car and if you were to manage to get an agreement the monthly costs will be extremely high, as you are more of a risk to the finance company. Always make sure that your leasing company are members of the BVRLA (The British Vehicle Rental and Leasing Association)
Can a business lease a car on a no deposit scheme?
Of course but as with personal customers it would rely on your business having a good credit rating.
New businesses may struggle to get a car lease finance deal as they will have no credit history.
Should I choose a no deposit car leasing deal?
You should at least consider a no deposit car leasing contract, as it will allow you to free up your spare cash by not having to outlay a large sum of money at the initial rental stage. Your monthly payment will be higher though than if you made a larger deposit at the outset of the contract.
How do I apply for a no deposit car lease?
As we stated earlier here at Pure Vehicle Leasing we do not call our car leasing agreements ‘No Deposit’. Instead search for the car that you would like to only pay 1 months payment upfront on and select the 1 month initial payment to view the price. It is always worth giving us a ring as we can sometimes beat the price on the website depending on the manufactures deals available.