As John Paul Getty, the billionaire oil tycoon said ‘If it appreciates buy it. If depreciates, rent it’. Well, the last part was changed a bit by us (pun intended). However, we strongly believe that renting a car for your travel escapades is always a better option than buying one, even if you already own a car. The benefits of renting a car are both tangible and intangible and one of the major reasons to rent a car is that once you buy a car its value depreciates by 40% within the 1st year and by 60% within 3 years of buying the car. Here are some of the reasons why renting a car is better:
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Source: si.wsj.net
Better value at less price: You might say that owning a car is better as there is a sense of ownership. You can take the car at your own convenience at any time anywhere. However, if you factor in the various expenses associated with an owned car vs a rented car, you will definitely start to feel the pinch. First, you must pay a hefty amount for the down payment and the rest via monthly instalments which includes 9-12 % rate of interest. All this comes under your monthly expenses even when you are not using the vehicle. Then comes the extra costs like fuel cost, servicing cost, tyre replacement cost, insurance and some miscellaneous costs. All these costs add up to a lot over time. In the case of a rented car, you don’t have to worry about insurance, tyres, servicing or any other random costs. Just book a car rental, pay the booking amount and head out to your favourite destination.
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So, renting a car is the perfect option for those who don’t want to put down a big deposit while buying a car or don’t want the added burden of monthly payments. Hire a rental car now and drive a new car every time with complete peace of mind.
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