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What is contract hire leasing all about?

Posted On : Feb-28-2013 | seen (1175) times | Article Word Count : 397 |

Contract hire leasing is a process of hire purchasing with an outstanding value guarantee. This is calculated taking the mileage intended to opt for under consideration. There is something called balloon payment to keep down the monthly payment of the client.
Contract hire leasing is a process of hire purchasing with an outstanding value guarantee. This is calculated taking the mileage intended to opt for under consideration. There is something called balloon payment to keep down the monthly payment of the client. In case your company has hired the vehicle, it has no commitment or administration issues in relation to the vehicle. The driver enters into a private credit agreement and straight out profits from the purchasing authority, competitive charges of interest, and squat preliminary expenditure. The monthly charge would include the vehicle’s cost, duration of contract, any additional services opted etc.

Vehicle maintenance service is available to cover your vehicle. This service gives complete guidance and support of any kind to the drivers and the convoy managers through a helpdesk. They can get their queries related to the technical issues coupled around the everyday management of their vehicles clarified within no time at all.

Advantages of contract hire leasing service are:

• Swift resolution of problems
• In-depth facts of characteristic producers’ issues can be traced and undone with
• Reduced management and overhead issues
• The vehicle downtime is kept to a bare minimum
• Maintenance helpline is always available for the drivers
• Near to the ground preliminary payment
• Deposit required is in general between one and six months of agreement hire payment
• This sort of funding consents to having the vehicle to remain as a business expenditure and it will by no means come into sight on your company’s balance sheet
• You can always reclaim the VAT on the purchase value and the financial cut back obtained this way is passed to you
• An upholding wrap up can be chosen which diminishes the risks allied with running a vehicle
• All the costs are predetermined and hence you just require adding fuel and insuring your means of transportation

Finance leasing is a fixed payment scheme that is paced on a monthly basis. This is preferable if you do not plan to own the vehicle after the rental duration is over. If the vehicle is used as a private means of locomotion also, then 50% of the charge is claimable and can be recovered. The rebate you get is subject to VAT. You can consider these factors when you go for it in the future.

Article Source : http://www.articleseen.com/Article_What is contract hire leasing all about?_253464.aspx

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Category : Travel and Leisure : Cars

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