Car Subscription vs Leasing: Which should you choose?

Car subscription vs leasing: two popular alternatives to car ownership that offer various benefits and drawbacks.   

The concept of leasing a car gained popularity in the 40s, and whilst leasing has been around for decades – the idea of subscribing to a car is a very new concept to most.  

So, what are the differences between car leasing and a car subscription? Most importantly, which is the perfect option for you? Read on for a full investigation of car subscription vs leasing…

Pros and Cons of Car Subscription   

A car subscription is a flexible alternative to car ownership that allows you to switch between cars, usually for a monthly fee.   

So, what do you need to know about car subscription vs leasing? How do they compare?


  • No long-term commitment: Unlike leasing, a car subscription doesn’t require a long-term commitment, so you can switch between cars as often as you want. (Hooray for car fanatics!) 
  • Flexibility to switch between cars: A car subscription allows you to drive different cars depending on your needs and preferences, which is particularly useful for people who like to try out new cars and test going electric before taking the plunge. 
  • Convenience: A car subscription typically includes maintenance, insurance, and other fees, so you don’t have to worry about additional costs.  
  • Lower upfront costs: A car subscription usually requires lower upfront costs than leasing or buying a car outright.  
  • Option to try out luxury cars: Car subscription often includes high-end cars that you might not be able to afford to lease or buy outright.  
Person in suit shaking hands with another person whilst holding car keys - car subscription vs leasing


  • Higher monthly payments: A car subscription can be more expensive than leasing or buying a car. The higher monthly costs are due to the all-inclusive “package” drivers get. This usually includes insurance, maintenance, and various other things.  
  • Limited mileage: A car subscription usually has mileage restrictions. So, if you’re planning to take spontaneous trips across the country, you could face fees for going over the agreed mileage. 
  • No equity or ownership: With a car subscription, you don’t own the car, so you can’t build equity or sell it later on. 
  • Potential for additional fees: Car subscriptions may come with additional fees, such as cancellation fees, maintenance fees, or excess mileage fees.  
  • Limited availability in some areas: Car subscription is not available in all areas, so you may have limited options depending on where you live.  

Pros and Cons of Leasing   

If the idea of committing to a long-term relationship with a car gives you cold feet, fear not, for leasing has emerged as the knight in shining armour!  

With leasing, you can seize the wheel of a pristine set of wheels for a fixed period, usually spanning two to four years, all in exchange for a modest monthly fee.  

So, if you’re keen on sparing your wallet while indulging in the blissful joy of driving, leasing might just be the sleek and economical choice you’ve been yearning for.  

Here’s what you should know… 


  • Lower monthly payments: Leasing typically requires lower monthly payments than buying a car outright, so it can be a good option if you’re on a tight budget.  
  • No long-term commitment: Like a car subscription, leasing does not require a long-term commitment. This gives you the opportunity to drive a new car every few years without having to worry about selling or trading in your old car. 
  • New car every few years: On a car lease, you get to drive a brand-new model every few years. This means you always have a reliable and up-to-date car! 
  • Tax benefits for businesses: Leasing can provide tax benefits for businesses, as the monthly payments may be deductible.  
  • Option to buy: With car leasing, you have the option to buy the vehicle at the end of the agreement. This is a fantastic option to have if you like the car to begin with and you’re considering keeping it at the end. 


  • Mileage restrictions: Leasing typically has mileage restrictions, so you may have to pay extra if you exceed your allotted mileage. 
  • Potential for additional fees: Leasing may come with additional fees, such as maintenance fees, excess mileage fees, or wear and tear fees.  
  • Early termination fees: If you terminate your lease early, you may be charged an early termination fee. 
  • No equity or ownership: At the end of your lease, you will not own the car. 
  • Wear and tear: If you decide not to buy the car at the end of the lease agreement and return it instead, the vehicle must not exceed standard wear and tear conditions. If this happens, you are likely to face surprise fees. 
  • Limited customisation options: With leasing, you may be limited in customising the car to your liking. 

Factors to Consider When Choosing Between Car Subscription vs Leasing 

When embarking on the thrilling journey of choosing between a car subscription vs leasing, there are a few key factors that deserve your attention. Let’s dive into the pit stop of considerations, shall we? 

Smiling woman holding car keys in front of car - car subscription vs leasing

Flexibility: Car subscription shines in the realm of flexibility, allowing you to switch between different models whenever the road beckons.  

If you crave variety and enjoy the thrill of driving a new set of wheels frequently, a subscription might be your turbocharged choice.  

On the other hand, if you prefer a more consistent and predictable driving experience, leasing offers stability with a fixed vehicle for a specified period. 

Budget: Rev up your financial engines and consider your budgetary constraints. Car subscriptions often involve a higher monthly fee since you’re essentially paying for the flexibility and convenience it offers.  

Leasing, however, typically comes with lower monthly payments, making it an appealing option for those who want to keep their wallets from running on empty. 

Mileage and Usage: Take a pit stop and assess your driving habits. Are you a long-distance road warrior or more of a weekend explorer?  

Car subscriptions often have mileage restrictions, meaning excessive road tripping might incur additional costs.  

Leasing, while still having mileage limitations, tends to offer more generous allowances. Consider your anticipated mileage and choose the option that aligns with your driving style. 

Maintenance and Repairs: Pit crews and car maintenance go hand in hand. With a car subscription, the provider often takes care of maintenance and repairs, sparing you the hassle and extra expenses.  

On the other hand, leasing usually requires you to handle maintenance responsibilities, although warranty coverage might still apply.  

Consider whether you prefer the convenience of having someone else handle the upkeep or if you’re comfortable taking the wheel when it comes to maintenance matters. 

Long-term Commitment: Are you a commitment-phobe or do you relish in long-term relationships? Car subscriptions offer the freedom to hop in and out of different vehicles without a long-term commitment.  

Leasing binds you to a fixed term, typically lasting a few years. Evaluate your affinity for commitment and choose accordingly. 

Cost Comparison of Car Subscription and Leasing  

When it comes to choosing between car subscription and leasing, one of the most significant factors to consider is the cost.   

Here, we’ll break down the costs of both car subscription and leasing, so you can make an informed decision.  

Calculation of costs for both car subscription and leasing   

With a car subscription, you pay a monthly fee that covers various costs, including insurance, maintenance, and roadside assistance.   

Leasing, on the other hand, typically involves a down payment, monthly payments, and potentially other fees, such as taxes, registration, and insurance.  

Comparison of total costs over time   

Although a car subscription may have a higher monthly fee, it can be more cost-effective in the long run, as it includes all the costs associated with car ownership.   

With a vehicle lease, you could face additional costs, such as maintenance and repairs. This can add up over time.   

Ultimately, the total cost of car subscription and leasing will depend on various factors, including the car model, the length of the subscription or lease, and your individual driving habits.  

Car subscription vs leasing – which is ideal for me? 

Picture this: a car subscription is like having a personal concierge for your automotive needs. You pay a monthly fee and gain access to a fleet of cars, allowing you to switch between models whenever your heart desires.  

It’s like having a never-ending buffet of automotive delights, where commitment takes a backseat and flexibility reigns supreme. 

On the other hand, leasing is the seasoned veteran of car arrangements. It grants you the pleasure of driving a brand-new car for a fixed period, typically two to four years, all while keeping those monthly payments in check.  

It’s a more structured affair, offering stability and a sense of ownership without the long-term commitment of buying outright. 

So, which road should you take? It all boils down to your personal preferences and driving habits.  

If variety and flexibility tickle your fancy, and you can’t resist the allure of switching cars like a chameleon changes colours, then a car subscription might be your ticket to automotive bliss.  

But if you prefer a more traditional relationship with your vehicle, one that offers stability and a fixed set of wheels, leasing could be the highway to your driving dreams. 

Ultimately, the choice is yours, dear driver. So, buckle up, weigh your options, and let your automotive adventure begin! 

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