Which Is Which: Car Leasing or Car Renting?
Car leasing is more of often than not mistaken as car renting, which is close to apartment renting. The most basic difference is the length of time the vehicle is put into use. For car renting, it is usually for transient or short-term use, about only for a day or even less, while car leasing would require about twenty-four months under contract.
In car leasing, you have the privilege of choosing the make and model of the car you want. With car renting, you only have to choose from among the available models the dealer has.
The price you need to pay for car renting is based on an hourly or weekly basis. These prices are set by the rental company. For car leasing, the leasing company buys the car from the dealer with a price that has been negotiated with the customer. It then loans the car back to the customer.
These are basic differences that a prospective customer must know before he blunders on using either of the words, giving away the impression that he’s an easy prey to double-crossing dealers.