What is a car lease?

A lease is a civil law agreement on the basis of which the lessor transfers the right of use of a car to the lessee without transferring the ownership. As a consideration for temporary use of such leased vehicle, the lessee agrees to pay lease rentals to the leasing company. Upon agreement expiry, the lessee is entitled to purchase the car. A lease agreement is governed by the regulations of the Civil Code and combines features of rental/lease/credit.

Our lease offer includes:

  • From 0% own contribution;
  • From 24 to 84 months for repayment;
  • Lease of new and used cars;
  • Currency options: PLN or EUR;
  • Fixed, degressive or seasonal rentals;
  • Flexible terms and conditions of contract and payment;
  • Personal account manager serving each client;
  • Operating lease and financial lease to choose from.

Types of lease

Operating lease is the most common type of financing a car purchase in the form of a lease. It is most frequent in cases of cars sold on the basis of full VAT invoices (23%). During the lease period, the vehicle is considered an asset of the lessor and it is the lessor who is entitled to record depreciation. However, the lessee is entitled to include the lease rentals in the business costs. Each rental is subject to VAT, so the lessee may deduct full VAT charged on an LGV and, depending on the intended purpose of the vehicle, 100% or 50% of VAT charged on passenger cars. Once the lease agreement expires, the lessee is entitled to purchase the object of the lease for a previously agreed amount.

Financial lease is mostly used for the purchase of cars sold on the basis of the so-called VAT margin invoice. The special feature of the product is the fact that the object of the lease is included in the lessee’s assets, while the cost of revenue in this case is the interest and depreciation of principal installments.

Financial advantages

  • Depreciation and interest included in the cost of revenue;
  • Financing of up to 100% of the asset;
  • Improvement of financial liquidity of your company;
  • The lessee becomes the owner of the asset at the price agreed at contract execution and applicable at the end of the lease period;
  • Financing source for short and long-term investments.