What is Flexible Lease?

What is Flexible Lease?

What is Flexible Lease?
13 May 2022

Flexible Lease is basically a Finance Lease, but without the balloon payment at the end of the contract.

Your initial rental payment will be followed by regular monthly payments for the duration of your agreement. The Flexible Lease covers the use of the vehicle up to an agreed mileage and includes road tax for the first year.

Since there is no large payment at the end of the van leasing agreement to defer a part of the vehicle cost, you will have to pay off the total cost of the van in monthly instalments. As a result, your monthly rentals will be higher when compared to Finance Lease. 

When the agreement ends, you won't be able to keep the van. In the same way as with Finance Lease, you'll have to sell the van to a third party, but you won't be paying the proceeds to the funder. Instead, you'll keep it. When you sell the van for more than the funder estimates it will be worth at the end of the agreement, that is where you win.

Click the button below to learn about other business van finance options.


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