Owning a car in Singapore is expensive, adsorbing a high percentage of income from most Singaporeans. However, the pros of owning a car means that transportation is always easier and convenient. From heading to work, shopping or even ferrying family members made simpler. However, some may choose to rent or lease a car in Singapore to minimise inconveniences such as maintenance of the car.
Lets look at the differences between renting and leasing a car.
Rent A Car
Car Rental in Singapore are usually short termed, ranging from 1 day to less than a year. Many rental companies provide short term rental, for the purpose of either a temporary substitute of the owner’s car due to repair in the workshop, Private hire purposes, or other purposes such as for Wedding whereby the couple and their brothers and sisters require them.
Car Rental prices depends on the brand and model of the car required, usually the newer or luxurious the car is, the higher the price. Companies will provide insurance coverage, maintenance coverage and other add-ons such as 1 week rental free provided you rent the car for a few months.
Lease A Car
Leasing a car are long term commitments, ranging from 1 to 3 years. These commitments require signing of contracts with the company, and breaching of this contract could result in a penalty. Comparing to renting a car, it is usually cheaper in long term, coupling with similar benefits in renting a car, with additional benefits.
Always ensure that you are able to commit at least 1 to 3 years before signing a contract, as things might change in the long run where cash flow is tight and forfeit of contract is required, a penalty sum will be incurred.
Two different ways of owning a car temporary in Singapore, ensure that you have sufficient cash flow before committing, and take extra caution in handling the car because ultimately, the car still belongs to the rental company.