Used Cars By Lease
Sir,—The report on “used cars by lease” appears to contain a discrepancy in the price that the car could be purchased for at the end of the
two-year term. The original cost of the car was quoted as £950. To arrive at the residual value, depreciation at the rate of 20 per cent per year on the diminishing value would be approximately £340. The residual value would therefore be about £6lO. If, as stated, the car could be purchased at the end of the twoyear term for “about £150” it would appear that the lessee under the terms of the lease which require the lessee to make up the difference between the residual value and the actual selling price, could be asked for a further £460. “FIGURE IT OUT.” February 25, 1967. [The report mentioned a “bond deposit" of £475, to be paid by the lessee, as well as his 24 monthly payments of £l9 10s.— Ed. “The Press.”]
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Bibliographic details
Press, Volume CVI, Issue 31305, 27 February 1967, Page 12
Word Count
163Used Cars By Lease Press, Volume CVI, Issue 31305, 27 February 1967, Page 12
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