5 Key Questions to Ask Before Leasing a Car

Leasing a car can be a practical and smart choice, but let’s face it: navigating all the fine print and understanding the terms can feel overwhelming. From unexpected costs to confusing terms, it’s easy to make a decision you might regret later. That's why asking the right questions is essential! Before you sign that dotted line, make sure you ask these 5 key questions to avoid any nasty surprises and drive off with confidence.

1. What Are the Total Costs of the Lease?

Nobody likes hidden costs, especially when it comes to something as big as a car lease. So, one of the most important questions to ask is: What’s the full financial commitment? Sure, there’s a monthly car leasing payment, but what about the upfront deposit, taxes, admin fees, or potential penalties for things like early termination or excessive wear and tear?

Also, check if there's a down payment required. A lower monthly fee might sound great, but if it’s because of a hefty upfront payment, you need to know how it affects your overall budget. Get everything laid out clearly before you commit because surprises are great for birthdays, not car leases.

2. What Are the Mileage Limits, and Are There Penalties for Exceeding Them?

Most vehicle leasing companies love mileage limits, but if you’re not paying attention, they can turn into a costly headache. Most leases in Singapore come with restrictions, usually between 10,000 to 15,000 km per year. Go over that, and you might be paying per extra kilometre, which adds up fast.

So, here’s a question to ask: What happens if I exceed my mileage limit? Some companies offer higher mileage packages for a slightly higher lease amount, which could be a better deal if you’re planning to drive a lot. Better to plan ahead than get stuck with a big bill at the end!

3. What Services are Covered in the Lease Agreement?

Picture this: You’re cruising around Singapore, and suddenly a warning light pops up. Panic sets in, do you have to pay for this? That’s why another crucial question to ask is: What services are included in the lease agreement? 

Some leases cover regular servicing and maintenance, while others leave you to foot the bill. Also, check if wear-and-tear items, like brake pads and tyres, are included. If the lease doesn’t cover these, you’ll need to budget for potential repair costs down the line. The last thing you want is to assume everything’s covered, only to be hit with a hefty maintenance bill!

4. What Happens at the End of the Lease?

It’s easy to focus on getting the car now, but what happens when your long-term car leasing plan is up? This is one of the smartest questions to ask before signing. Can you buy the car, or do you have to return it? If you’re returning it, what condition does it need to be in? Some companies charge for “excessive wear and tear,” which can be subjective.

Make sure to also find out if you can upgrade to a new model at the end of your lease. If you’re someone who loves driving the latest cars, this could be a major perk. 

5. What Are the Early Termination Penalties?

Life is unpredictable. Maybe you get a new job overseas, or your lifestyle changes and you no longer need the car. That’s why this question is important to ask: What happens if I need to end my lease early?

Some leasing companies charge steep penalties for early termination, while others offer more flexible options. If there are fees involved, ask how they’re calculated. Are you paying for the remaining months in full, or is there a partial refund policy? This question might not seem urgent now, but if your situation changes, you’ll be glad you asked!

Leasing a car is a fantastic way to drive a new vehicle without the long-term commitment of ownership but only if you know what you’re signing up for. By asking the right questions, you can avoid unexpected costs and make the most out of your lease.

At Eurokars Leasing, we believe in making car leasing simple, transparent, and hassle-free. With no mileage restrictions, you can drive as much as you need without worrying about extra charges.

Ready to lease with confidence? Get in touch with Eurokars Leasing today and find the perfect car for your needs.