Can You Lease A Car Without A Provisional Licence?
It’s understandable that when you are learning to drive you are eyeing up that perfect vehicle for when that special day comes, and you can get straight out on the open road.
Buying a new car outright can be a huge cost and buying a second-hand vehicle can come with its own worries and costs such as expensive wear and tear and lack of warranty, so leasing may seem like the perfect solution.
Leasing comes with a range of benefits
Fixed monthly payments
An agreement to help build your credit score
Not MOT costs
No road tax costs
The ability to change your car as your lifestyle changes
However, there are also some disadvantages for young drivers to consider when leasing a car. There can be quite substantial return charges for damages to a vehicle or exceeding the mileage agreement at the end of a lease. The lease is a fixed term once agreed so you will need to make the payments for the full duration of the contract. You may be able to hand your car back early depending on your agreement, but this will come with early repayment charges.
You will also need to have a good credit score as a lease is a financial agreement. Although having a car lease in your name will help to build up your score, you will need a good credit rating to get an agreement in the first place. This can sometimes be quite challenging for young drivers if they have never had financial agreements in their names to impact their credit ratings before.
I start my Car Lease agreement before I pass my driving test?
Unfortunately, you will find it difficult to obtain a lease in your name with a provisional licence, this is the case for both a personal or business lease. Most finance companies will only lease to drivers who hold a full driving licence. There are some specialist brokers out there that may accept you with a provisional licence, but they are few and far between.
Contact our team of specialists to discuss your options.
How old do I need to be to lease a car?
In the UK you need to be 18 years old to lease a car. This is because at 17 you are still classed as a young person and unable to take on financial agreements. So, if you are one of the lucky ones that pass your test at 17 years old you will still have to wait a bit longer to take on a lease agreement. The upside to this is that it will give you time to build your credit rating, which is an important part of being accepted for a lease agreement as well as giving you more time to research and choose your perfect car.
FAQs
In the UK you need to be 18 years old to be accepted for a car lease agreement. A person under the age of 18 cannot usually be held to a contract.
Once you are 18 and hold a full driving licence you will be able to apply for a lease agreement.
When you take out a lease on a car you need to name the main driver. If this is not clear when you take out the lease you are not holding up to your end of the agreement and it creates a risk for the finance company not being able to get the money owed or vehicle back in the event of a contract breach. This could also implicate insurance policies, as usually, the policy will need to be in the name of the person leasing the car.
Having a good credit score is an important factor to consider when looking into leasing a car. This can create an issue for young drivers as lenders lean towards lending to people who have a proven track history of making payments on time. However, no financial company will use your credit check rating alone, so if you are wanting to lease a car in the future you can improve your chances of being accepted by setting up some direct debits now to establish a positive credit history.