The document addresses common misconceptions about car leasing through a list of frequently asked questions. It clarifies that ownership depends on the lease type, the leasing company handles taxes and maintains the vehicle, excess mileage charges are typically 2p-30p per mile, minor scratches and dents are covered under fair wear and tear, and options can be added to the vehicle lease. The document aims to ease concerns about leasing by providing transparent answers to common questions upfront.

1. COMMON
MISCONCEPTIONS
AND FAQS ABOUT
CAR LEASING

2. Many people are wary of leasing a car.
Somehow we have all heard a story where
someone has had a really bad experience. There
are horror stories of enormous charges for going
just a few miles over the agreed mileage limit
or thousands of pounds in charges for a tiny
scratch by a wheel.

3. These stories are actually very rare but have been retold
so many times that a £50 excess mileage charge has
somehow grown to become £5,000! Any worries that
you have prior to leasing your first car can be eased by
making sure you know exactly what you are signing up
for… something that always ensure happens at Rivervale
Car and Van Leasing.
To help clear any misconceptions and help answer your
questions in advance, we’ve put together this list our top
10 most frequently asked questions:

4. Who owns the car / van?
The most common cause for confusion that we come across is
the issue of ownership. Who owns the car and gets the V5?
Answer
The answer to this depends on which type of lease you have entered into. If you
are in a Contract Hire Lease (business or personal), then you will never own the
vehicle. The company funding your lease will be the owners and so therefore
have the V5 document. If you are entering into a Contract Purchase agreement
then you’ll receive the V5 once your payments are complete.
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5. Who pays the road tax on
a lease car?
If you don’t have the V5 how will you tax the car?
Answer
In a Contract Hire agreement, the funding company will tax your vehicle for you and
send notification by post to confirm that this has been done. The cost of your road
tax will be included in your lease and will reflect the price of road tax at that time.
Should the price of road tax be raised, you’ll automatically be sent an invoice to pay
the difference. If, on the other hand, the road tax is reduced then you’ll be sent a
cheque to cover the difference. For Contact Purchase agreements, your first year
of tax will generally be included. The funding company will then tax your vehicle for
you whilst they hold the V5 and send you an invoice for this amount.
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6. Will there be a massive excess mileage
charge at the end of the contract?
The scariest car leasing horror stories relate to massive charges
for excess mileage at the end of the leasing contract...
Answer
Our account managers will discuss how many miles you estimate you’ll drive over
the course of a year. It is really important to try and give an accurate figure as the
monthly payment cost will reflect the number of miles that you estimate you’ll cover
over the lease of your car / van. Prices will generally increase as the vehicle mileage
goes up, to take into account the additional wear and tear on the vehicle. The exact
excess mileage charge will depend upon several factors including the make and
model of the lease car / van and the inclusion / exclusion of a maintenance package.
Charges vary but can range anywhere between 2p-30p for every extra mile over the
course of your contract. We’ll let you know the exact amount at quotation stage.
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7. Is it worth taking out a vehicle
maintenance package?
Many customers would like to know whether it is worth taking
out a maintenance package on their vehicle. This is entirely the
customer’s choice...
Answer
Maintenance packages will generally increase the cost of monthly payments
and there are slight differences between the packages provided by the funding
companies. Generally you can expect a vehicle service to be included, as well as any
general maintenance such as tyres, windscreen wiper and battery replacement. The
majority of funding companies will also include breakdown cover as part of their
maintenance package. There are slight differences in what is included between each
funding company - our Account Managers will explain exactly what is included in the
maintenance package.
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8. Is it possible to get out of a
contract early?
Answer
Vehicle leasing agreements are not designed to be ended early. They are much like
a mobile phone contract, in that if you want to upgrade early or end your contract,
then there will be a termination charge. The charge will depend on the vehicle make
/ model and the length of time left on the contract. The cost will also vary between
each funding company.
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9. Is there a charge for every slight dent
or scratch?
Many people believe that they will be charged for every slight
dent or scratch on their car when they come to return it.
Answer
There is a fair wear and tear policy that ensures you will only pay for damage that is
not seen as arising from day to day use. Our Account Managers provide a detailed
explanation as to what this covers. As a general rule, a small scratch will be fine but
if the wing mirror is hanging off then you can expect to get charged!
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10. Is it possible to keep the car at the
end of the leasing contract?
As the contract end date approaches, the customer realises
that they love their car and decide that they cannot bear to
be apart...
Answer
Should you decide that you want to keep the car, we will do everything we can
make this happen. Unfortunately though we cannot always guarantee that we will
be able to. It will depend upon the funding company who make the decision as to
whether the car can be bought. It’s definitely best to decide whether you would like
ownership of the vehicle prior to choosing your contract type.
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11. Is car leasing only available
to companies?
There are some who think that car leasing is only available
to a business. NO!
Answer
Every car is available for personal or business users. Our website allows you
to select from business or personal leasing so that only the prices relevant to
you are displayed.
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12. Can factory fitted options be added
to a lease car or van?
It’s a common assumption that lease cars cannot
be customised...
Answer
A wide range of factory fitted options can be added to most vehicles. We will be
happy to provide a tailored quote to include your chosen options and specification.
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13. Will there be any hidden charges?
Most car leasing companies charge documentation or
administration fees... Not us!
Answer
Unlike the vast majority of our competitors, Rivervale don’t charge any
documentation or admin fees. The only payments you’ll make are your deposit
(initial rental) and the regular monthly payments thereafter.
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14. CONTACT US
Rivervale Contract Hire and Leasing
Address: Unit 8, Victoria Road Ind Estate, Portslade,
Brighton, BN41 1XQ, UK
Email: info@rivervaleleasing.co.uk
Telephone: 01273 433 480