What Does Initial Rental Mean?
Your initial rental is the first payment you make towards the lease on your new vehicle. The amount is calculated in multiples of the monthly rental and will usually be either 1, 3, 6, 9 or 12 times the monthly payment which will be due for the term of your agreement.
What’s the difference between initial rental and payment?
The initial rental or initial payment is only paid once at the start of your lease agreement. Each month thereafter, for the term of your agreement, you will make a set monthly payment.
Is the initial rental a deposit?
An initial rental is not the same as a deposit as it goes to towards paying for your rental agreement and so will not be refunded when the contract comes to an end.
Do you get the initial payment back?
Your initial payment is in respect of your leasing agreement it pays off a portion of the entire amount which is due over the course of your contract. Because this payment is going towards paying for your car you will not get the initial payment back at the end of your leasing agreement.
How much is an initial rental for a car lease?
The size of an initial rental is calculated in multiples of the monthly rental, and will be either 1, 3, 6, 9 or 12 times its value, you can decide which works best for your circumstances. Therefore the initial rental will vary depending on the monthly rental of the vehicle and the number of multiples that you choose to pay upfront. However much you choose to pay in an initial rental, you can drive the car of your dreams for less with one of our brilliant offers. Check out our latest car lease deals available now.
When do I pay the initial rental?
Your initial rental will usually be taken between 1 and 3 weeks after your vehicle has been delivered direct to your door. This will vary depending on the finance company which is being used for your lease agreement. You can learn more about car leasing with our simple online guide, we explain everything you need to know about the whole process, from finding a car, finance and delivery of your brand new vehicle!
Who do I make the payment to?
Your initial payment is made to the finance company which is acting on your lease agreement. As Leasing Options is a broker we do not handle your payment, if you’d like to know more about the leasing process, why not speak to one of our expert account managers and they will explain all you need to know.
Benefits of paying a higher initial rental
Paying more upfront for lease agreement has a number of benefits:
- Reduces the ongoing monthly amount for your rental
- Makes managing your payments easier of the course of your contract as they are lower
- In some cases may reduce the overall amount that you pay for your rental agreement
Do you want to find the best deal possible on your next car lease? Read our helpful guide to finding the best offers.