Private lease or car loan ?
Should I finance my car with a loan or a lease?
There are different ways to finance a car, but is it better to go for a lease or a purchase loan? The answer to this question will depend on your specific needs.
Our special package for civil servants!
Do you work for the Luxembourg government? Discover all the benefits of the BGL BNP Paribas bank account for civil servants.
Offer subject to terms and conditions and approval of your application by the bank.
Financing your vehicle without dipping into your savings
Private Lease(1) is the ideal alternative to buying a car. For a fixed monthly lease payment, you can drive a new car of your choice with all services included(2).
Convenience:
- repairs and maintenance on your car: regular servicing, mechanical repairs, tyre changing and storage, mandatory technical checks;
- insurance, assistance and material damage cover: civil liability and legal protection, breakdown cover throughout Europe, driver and passenger repatriation, replacement vehicle in the event of an accident, etc.;
- taxes: tax disk, registration tax and road tax.
Private Lease, a new motoring solution which combines:
Simplicity:
- you choose your car: manufacturer, model, colour, options, etc.;
- you define the mileage and the term of your contract (from 36 to 60 months);
- a single point of contact to meet your needs: Arval Luxembourg;
- at the end of the contract, you return your car without having to worry about reselling it and can choose a new vehicle.
Affordability:
- knowing how much you will spend on your car over the course of your contract makes it easy to fit it into your budget;
- You won’t dip into your savings and will only pay for using your car.
There’s no risk for you when it comes to your car’s resale value.
Good to know
If you haven’t used up all the kilometres specified in your contract once it expires, you’ll be refunded for the remainder.
Make your car your own
Do you have something very specific in mind for your new car? Do you want to have control over all aspects, from the insurance to the colour? If so, a car loan(3) is for you.
This solution means you can:
• own your vehicle;
• customise it;
• set up a repayment plan based on your personal and financial situation;
• deduct insurance premiums and interest expense from your taxes;
• drive an unlimited number of kilometres per year;
• keep the vehicle as long as you want.
So, will you lease or buy?
| Benefits | PRIVATE LEASE | CAR LOAN |
|---|---|---|
| You own the vehicle | X | |
| A single contact person who takes care of everything for you | X | |
| You can get tax deductions(4) | X | |
| You can choose your own service providers (insurance, tyres, etc.) | X | |
| Your fixed monthly payment covers all vehicle-related costs(4)* | X | |
| You keep your savings for other projects | X |
(1) Offer reserved for retail clients living in the Grand Duchy of Luxembourg. Subject to the review of your application by BGL BNP Paribas and approval by Arval Luxembourg. Insurance, tyres, material damage cover, taxes and regular servicing included. Fuel not included.
(2) Insurance, tyres, material damage cover, taxes and regular servicing included. Fuel not included. Services provided by Arval Luxembourg, subject to terms and conditions.
(3) Offer subject to terms and conditions and approval of your application by the bank. Your salary must be paid into your account with the bank.
(4) Interest, insurance, tyres, material damage cover, taxes and regular servicing included. Fuel not included. Services provided by Arval Luxembourg, subject to terms and conditions.
