Leasing

Also known as Personal Contract Hire (PCH).

A way to run a new car without actually owning it. The lessee can choose a vehicle, for which they will pay a monthly lease payment, usually varying from around £100-£400. They will be expected to take out comprehensive insurance to cover damage, and, unlike contract hire, they will also be responsible for maintaining the car during the lease period. At the end of the term, the driver may simply hand back the car, or buy it outright. This is in contrast to standard Contract Hire, where the car is always returned to the leasing company.

See also Contract Hire.