LEXUS CONNECT CONTRACT HIRE

With Lexus Connect - Contract Hire you simply drive your Lexus for an agreed period, then hand it back – subject to mileage and condition charges if applicable. You can even include a maintenance package. It is a straight forward and low risk option to keep your business moving, particularly if your business is VAT registered. Budgeting is made easier with fixed affordable rentals and by including optional maintenance you can avoid many unexpected costs and charges.

Lexus Connect Contract Hire affords you the convenience of not having to worry about disposal or depreciation concerns. It's risk free - leaving you free to focus on enjoying your Lexus driving experience. Lower monthly rentals (as we reclaim the VAT on the vehicle price and pass the saving on to you)

BENEFITS

• No depreciation or residual value risk
• Protection against any fall in used vehicle prices
• Rentals are allowable against tax
• 50% VAT reclaimable on rentals (VAT registered businesses only)
• Fixed cost motoring making budgeting easier
• Optional maintenance package covers unexpected costs (100% VAT is reclaimable on maintenance charges)
• No responsibility for the disposal of the vehicle
• Road Fund Licence - renewal included for the period of the contract
• Off balance sheet funding

HOW IT WORKS

You choose the Lexus you wish to drive, agree the repayment period and the maximum annual mileage that you expect to undertake. Based on these three factors we will arrange a fixed number of rentals some of which you will be required to pay in advance. Lexus Financial Services take care of much of the administration for items covered under a maintained contract and you have full use of the car but never own it.

LEXUS CONNECT CONTRACT PURCHASE

Lexus Connect - Contract Purchase is a convenient, low risk method to finance the Lexus you want to drive today. You choose the Lexus you desire and we give it guaranteed value with Lexus Financial Services at the end of your agreement, giving you valuable protection against fluctuations in the car market. This Guaranteed Future Value is deducted from the selling price, so all you have to do is take care of the difference plus the cost of borrowing.

Lexus Connect offers a number of advantages including fixed affordable payments, an accessible deposit and 3 flexible choices at the end of your agreement.

BENEFITS

• A proportion of the amount you’re borrowing is deferred to the end of your agreement, which means your monthly payments are often more affordable than with other forms of borrowing.
• With affordable monthly payments you may be able to upgrade your choice of vehicle, or add extras like accessories or pre-paid servicing.
• Your payments are fixed, so there are no hidden financial surprises, and you can choose a term to suit you, from two to three years.
• The future value of your car is guaranteed with LFS, so you won’t lose out if trade-in values drop – and you could even benefit from some equity if they rise.
• You can enjoy all the benefits of driving a brand-new car more often, and your maintenance costs will be much lower – in fact, you may never be out of warranty.
• Non -VAT registered businesses will find Lexus Connect especially advantageous as will customers opting out of company car schemes.
• Interest charges are tax-allowable, writing down allowances can be claimed and your car can be shown as an asset on the balance sheet.

HOW IT WORKS

Agree a suitable deposit amount to suit you. This can be as little as you want, up to as much as 35% of the price of your chosen Lexus. We set a minimum guaranteed future value for your car. This guarantees how much your vehicle will be worth with us in the future. Along with the deposit, this amount is deducted from the cash price. Your monthly payments are then calculated on the difference, plus interest charges, which means they will often be more affordable than a standard Hire Purchase agreement. At the end of your agreement you can choose one of three outcomes. If you wish to keep the car, you simply pay the Guaranteed Future Value and it’s yours. Alternatively, you can upgrade by part-exchanging your car for a brand new Lexus. Or you can simply return the car after your final monthly payment and, subject to mileage and vehicle conditions, walk away.