When you enter into a novated leasing agreement, many people have the mentality that the car will be returned to the dealership at the end of the leasing term. However, this is not the case.
Here, at Vehicle Solutions, we understand the importance of giving our clients choice when it comes to their car. Which is why we will always present you with many options that will allow you to either own or move on from the vehicle. Working with you, we will help you assess your current situation for you to make the wisest choice when your novated car leasing agreement comes to an end.
To find out more about your end of lease options with Vehicle Solutions, keep reading:
Payout and Own Your Vehicle
We get it; sometimes you become attached to your car which is why we give you the option of purchasing the vehicle at the end of your novated lease program. This one-off payment is known as the vehicle’s residual value, otherwise known as a balloon payment.
This payment amount is set at the beginning of your novated car lease and is based on the cars drive away cost, as well as the term of your novated lease. A set percentage of the car’s value is the general basis, which goes down, the longer the car lease is.
Should you choose this option and also once you have made your final residual payment, there will be a title transfer of the vehicle from the leasing company to yourself.
Re-Lease Your Residual Amount Over a Further Leasing Term
One of the fantastic benefits of novated leasing is that you pay all of the additional costs of owning a car from your pre-tax income. If you are still happy with your vehicle, but still want to benefit from the convenience of novated leasing, why not lease your car again over a term that suits you? You are still able to make the most of having all your on-road costs, insurance and petrol taken care of, while still able to make the most of the tax benefits!
Payout Your Residual Amount And Sell Or Trade-In Your Car!
If you have taken extra care of your car over the time of your lease, why not pay out your residual amount and sell the vehicle or trade it in. The best way to ensure that you make money at the end of your novated lease is to select a car that holds its value well, as well as making sure it is not a model that is purchased by large fleets or government departments.
If you have any questions in regards to Novated Leasing and your options, don’t hesitate to give the Vehicle Solutions team a call today on 1300 990 880. If you’re looking to enter into the novated leasing game why not use our free online novated lease calculator to see your leasing power.