---
title: Leasing Car
description: What exactly distinguishes a leasing car?
---

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# Leasing Car

## What exactly distinguishes a leasing car?

A leasing car is a vehicle that is used under the terms of a leasing agreement between a lessee (the user) and a lessor (the owner, often a leasing company or financial institution).

In this arrangement, the lessee pays monthly leasing rates to use the car for a predetermined period, typically ranging from two to five years. However, the lessee does not own the vehicle.

This leasing rate covers the use of the vehicle and its depreciation, as well as an interest rate. It may also include other services such as maintenance, insurance, and road tax, depending on the specifics of the lease agreement.

Theoretically, any car can be a leasing car, no matter the age. However, most leasing companies and banks only accept certain cars.

gowago.ch, for example, only accepts a car for leasing if it is no older than 7 years at the end of the lease and has no more than 150’000km of mileage at the end of the leasing contract.

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