Lease Guide Turns dreams into reality.

Transcription

1 Lease Guide Turns dreams into reality.

2 The ideal solution You have made a carefully considered decision on the kind of car you want. Now give your financing the same careful consideration. Financing through Mercedes-Benz Financial gives you a wide range of financing and leasing options. In fact, we can offer you a one-stop service with financing, leasing and insurance coverage developed for different needs. Take a look at this brochure to get an overview of the options open to you. Then come in and talk to us. We are constantly trying to provide the best customer service on the market and we will gladly answer all of your questions. If you wish, we can even discuss customised contract terms and monthly payment schemes that fulfill your very personal needs. Talk to us today and discover how we can make financing your new car easier than you had ever thought. To know more about leasing, visit or call (Toll Free).

3 Finance vs Leasing. What option suits the best? Finance After you paid your deposit, you make your monthly payments. When all of the payments have been made, you own the vehicle. You can choose between fixed or variable interest rates. Leasing You only pay lower monthly rental for using the vehicle and decide on whether you would want to own the car at the end of the tenure. Our financing products Standard Financing Balloon Financing Bullet Financing Our leasing products Operating Lease (with or without services) Insurance For driving your Mercedes-Benz carefree, we offer you adapted and attractive insurance products. Everything from one hand. Our insurance products: STAR Gold STAR Protect STAR Platinum

4 Customer Decision Tree Balloon Lower monthly payment + fixed lump sum Yes Loan Lower payment Bullet Lower monthly payment + yearly lump sum MBF product option No Std. Loan Fixed payment over agreed term Lease Operating Lease Low monthly rentals based on RV

5 Lease Compared with other options Car Model Tenure C-Class 36 months Loan Lease 90% Funding 100% Coverage Insurance and Registration upfront in both scenarios C 200 CGI Elegance BE Loan Outright Lease Benefits of Lease Outflow Down Payment 2,95,145 29,51,448 0 No Down Payment Per month EMI / Rental 87, ,899 Lower Monthly Outflow Tenure (months) Total EMI / Rental 31,44,744 29,51,448 23,00,364 (a) Total Outflow ( EMI + DP ) 34,39,889 29,51,448 23,00,364 Tax Gains Depreciation 3,83,350 3,83,350 0 Interest 1,60, Rentals 0 0 7,74,303 (b) Total - Tax Gains 5,43,350 3,83,350 7,74,303 Higher Tax Benefits (*c) Interest Loss on Down 10% 88,544 8,85,434 0 (a + c - b) Net Outflow 29,85,083 34,53,532 15,26,061 Lower Net Outflow Estimated value of the car at end of tenure 14,00,000 14,00, ,85,083 20,53,532 15,26,061 STAR Lease benefit over 3 years 59,021 5,27,471 Total Savings for 3 years Other Benefits: 1. Opportunity to invest saving of up to Rs. 23,455/- per month. 2. Lower outflow resulting in higher cashflow savings. 3. No risk on resale of the car. 4. Easy upgrade every 3 years. For detailed comparison on total cost of ownership under both options please speak to our representatives * Indicative rentals. Conditions apply.

6 Operating Lease What is it? A flexible business solution whereby the vehicle is leased to you for your chosen period and mileage, with the option of including insurance, registration and maintenance in the monthly rental. The ownership remains with Mercedes-Benz Financial and so does the liability. Your monthly outflows are significantly lower than making an outright purchase or taking a loan. What happens during your agreement? Simply pay your monthly rentals and enjoy driving your Mercedes-Benz. Read your enclosed wear and tear guide. It tells you in what condition your Mercedes-Benz needs to be in when you return it, in order to avoid paying additional charges. What happens at the end of your agreement? Near the end of your agreement, we will remind you that it is about to end We will arrange for the collection of your Mercedes-Benz at your convenience, or you can deliver it yourself. Please be aware, excess mileage and damage charges may apply You can then lease another Mercedes-Benz or buy one of your own You may also be able to extend the length of this agreement Savings on EMI can be further invested for better returns Income Tax benefits in case payment is done by employer Increase in cash in hand Benefits to businesses Off Balance Sheet transaction. Eliminates capital expense Tax Benefits on the entire rental amount Seamless disposal of car after end of tenure, without worry of resale value Rental amount can be inclusive of expenses like insurance, maintenance and RTO charges for the tenor Zero down payment option Pay for use model Option to structure your monthly rentals with product options Total value of Mercedes-Benz Benefits to individuals Reduction in monthly outflow Vehicle can be changed more often Monthly rentals calculated based on only a proportion of the Mercedes-Benz s value Return of Mercedes-Benz

7 Key Benefits of Leasing Pay for what you use Leasing means paying for the vehicle, only as much you use it. The ownership remains with Mercedes-Benz Financial and so does the liability. Your monthly outflows are significantly lower than making an outright purchase or taking a loan. Pay as per usage No liability of ownership Lower monthly outflows A hassle free drive A big deterrent in making the buying decision is the intrinsic costs like service & maintenance. STAR Lease is all about worry free driving as you have the option of including all costs like service, maintenance, registration and insurance as a part of your monthly rentals. Zero maintenance and service costs Fixed monthly payment Complete mobility solution

8 Upgrade to a new vehicle every 3 years With STAR Lease the customer just returns the car at an agreed date and dealer location, selects new Mercedes-Benz car at the showroom, signs a new contract and that s it. No more trade-in price negotiations, vehicle checks, discussions with numerous potential buyers, bank transfers, registration amendments etc. This protects you from uncertainties on your market price of the vehicle. No risk on car resale Easy upgrade to a new vehicle Tax benefits & Off-book funding As per accounting standards lease is treated as an off balance sheet transaction, hence the vehicle does not appear on your books. Therefore you can use your capital for your business needs rather than utilizing it for the vehicle. Also monthly lease rentals are treated as expense, and so you get the income tax benefit on the total rentals that you pay for your vehicle. Off-balance sheet treatment Higher tax benefits Better savings

9 Lease Product Options Who can avail Tenure Kilometers Individual, Business Owners, (SME), Corporates 12 to 36 months 48 months for corporates 10,000/15,000/20,000 per year Other Charges Insurance Registration / Road Tax Car Models covered Payment mode Option to include in rentals Option to pay in PDC s Option to include in rentals Option to pay upfront A-Class, B-Class, C-Class, E-Class, E-Class Coupé, R-Class, ML-Class, GL-Class, S-Class ECS / PDC s Security Deposit / Advance EMI s will be applicable as per credit guidelines. Credit at sole discretion of DFSI

10 Stay in control with Lease Factors determining market price of the vehicle Non Controllable Economy Accidents Controllable Usage Mileage Style Change Technology New Car Models Why buy when you can lease? When you decide on the procurement of your dream vehicle there are various factors that are uncontrollable and difficult to preempt such as changes in economy, automobile technology, condition of vehicle, possibility of accidents, etc. These factors not only affect the market price of the vehicle at the end of lease term, but also influence your decision on your next purchase or upgrade. With the option of STAR Lease you can stay in control of these factors as the market price benefit for your vehicle is already passed on the date of contact.

11 Please do not hesitate to contact us! Our name is a promise experience our service. Our dedication to continuously deliver the highest service levels can only be deemed successful with your participation. Any questions or suggestions you may have will assist us to serve you better and will be handled with the utmost attention by Mercedes-Benz Financial. For more details, please feel free to contact us during office hours from Monday to Saturday. Address Or feel free to direct your inquiries to your local Mercedes-Benz dealer who is looking forward to being of assistance to you. Or you can write to us at starleaseindia@daimler.com

12 The illustrations in this brochure can also include accessories and special equipment that are not part of the standard scope of delivery. Colour deviations are possible due to printing techniques. The stated financing offers are based on the current capital market interest rates. They are subject to change, and do not obligate any party to conclude a contract. To know about the current offers, please ask your Mercedes-Benz Financial representative or visit Mercedes-Benz Financial, Daimler Financial Services India Pvt. Limited, RMZ Millennia Business Park, Campus 3B, Unit 301 & 302. No. 143, Dr. M.G.R. Road, Perungudi, Chennai , Tamilnadu, India, Phone , Fax , dfsindia@daimler.com,