Car subscription: the difference to classic car leasing

Netflix for the car, car flat rate, all-inclusive mobility, long-term rental for the car or subscription to a car: there are now various descriptions for the car subscription mobility concept. Nevertheless, the idea of a monthly flat rate for a vehicle in mint condition, which includes all cost factors except for fuel, is still unknown to many people. But this is exactly what is changing at the moment, and fast. In this article, we present the advantages of the auto-abo and explain the difference between it and classic car leasing.

The all-inclusive car subscription

The car subscription is best placed between spontaneous car sharing and long-term leasing. The basic idea is very simple: you pay a monthly fee and in return you can use a new vehicle for the period specified in the contract. The monthly rate covers all factors such as tax, insurance, maintenance, inspection and seasonal tires. The driver only has to refuel or top up the oil in between at his own expense. With most providers, there are also no additional fees such as down payment or final installments.

In addition, the contract terms are significantly shorter than those for leasing. As a rule, terms of between 6 and 18 months are offered. However, some companies have special offers such as "get-to-know" subscriptions or selected vehicles with much shorter terms starting at one month.

"the monthly flat rate is much better to estimate than leasing and financing offers. Curious natures can always switch to current models." – jorg maltzan, auto bild

Car subscription VS car leasing, comparison of subscription and leasing, comparison chart Automobility

What’s the difference between a car subscription and a car lease??

the main difference between the two mobility offers is the length of the contract terms and the monthly rates. A car leasing customer usually signs a contract for 24 months or longer. A car subscription, on the other hand, is much shorter and therefore more flexible, as already described. The monthly fees for leasing are usually lower than for a car subscription, but the customer also has to pay for winter tires and maintenance themselves. An all-inclusive car subscription already includes all the additional cost factors in the monthly rate. This keeps costs more calculable for subscription customers.

Classic leasing car subscription
cost model monthly leasing rate monthly all-inclusive rate
down payment/start premium ✘ extra ✔ is not charged
factory freight costs ✘ extra ✔ included
insurance ✘ extra ✔ included
car tax ✘ extra ✔ included
inspection/maintenance ✘ extra ✔ included
winter tires ✘ extra ✔ included
final installment ✘ extra ✔ is not charged
operating materials ✘ extra ✔/✘ depending on the supplier

Table: many costs are not included in the leasing rate. The situation is usually different with a car subscription, which makes financial planning easier. Companies such as CONQAR even offer a fuel flat rate, for example for vehicles with electric or CNG drive systems.

The advantages of a car subscription

Car subscription: the difference to classic car leasing

car bought or leased and then only refueling? Unfortunately it is never that simple. The maintenance costs of a vehicle are usually much more expensive than one would estimate. Insurance and vehicle tax, inspection and maintenance costs, down payments, start-up premiums or final installments – these factors increase the total cost of a car.

With a car subscription, things are much simpler and clearer: almost all costs are covered with one monthly rate. Only fuel and operating supplies still have to be paid for by the customer in the case of a car subscription.

Car subscription: the difference to classic car leasing

Our society is becoming more and more dynamic and changes are part of our everyday life. A change of residence, job or new family circumstances require flexible mobility that adapts quickly and easily to the new situation.

With a car subscription, you can be as flexible as you like: thanks to short terms starting at 6 months (and significantly less in the case of special offers), a comparatively spontaneous change of vehicle is no problem. With like2drive you are much more flexible and ahead of the rest.

Car subscription: the difference to classic car leasing

"ownership not only creates obligations, it creates so many that an abundance of them is torture," already said the irish writer oscar wilde. Car owners can sing a song about it. Because there is always something coming up: a payment has to be made, the tires have to be changed again, the alternator is about to give up the ghost, and sometimes the car makes very suspicious noises.

A car subscription means no worries: maintenance and inspections are already included in the monthly payment. Even annual tires are taken care of. not to mention bureaucratic burdens such as registration and insurance.

Car subscription: the difference to classic car leasing

Changing your car more often than your winter jacket – normally unthinkable. In the case of new cars, the sharp drop in value within the first year makes frequent car changes far too expensive. Leasing involves long contract periods and even used cars are subject to bureaucratic and practical hurdles.

most auto-abo offers allow for an annual, or even semi-annual change. And because you are not obligated to anything, you can also test a vehicle that you might otherwise never have chosen.

Car subscription: the difference to classic car leasing

Since 01.05.In 2020, the like2care rate protection will apply to every car subscription contract concluded with like2drive. If you find yourself in the difficult situation of being laid off for operational reasons and can no longer afford a car subscription, the car subscription pioneer allows you to return the vehicle early. In this case, a notice period of two months applies and written proof of termination for operational reasons is required. Further information

For whom is the car subscription worthwhile??

The most important argument for a "car flat rate is the flexibility. let’s imagine the following situation: you have accepted a temporary position and need a vehicle for this new life situation. It’s clear in advance that you won’t need a car after your six-month contract is over. A car subscription is the best option here, because you do not take any incalculable risks and long-term commitments.

Even people with a preference for variety in vehicles are right at home with this mobility concept. A sports car in the summer, a spacious SUV in the winter – no problem.

Maybe your current living situation suddenly requires significantly more storage space. Here, too, you can simply take a minivan on a car subscription and use it as long as you need to.

As already mentioned, the costs of a car subscription can be calculated down to the euro from day one. Since the monthly installments of the so-called flat-rate offers include all costs except for the fuel, subscribers are not in for any nasty surprises. Even the wear and tear of the vehicle, which is often underestimated as a cost factor, does not play a role here, as it is already included in the monthly rates.

Finally, the uncomplicated model allows you to test new technologies such as e-vehicles or CNG cars. If you are thinking of buying a car, you can get to know the vehicles here and decide later whether it really makes sense to own a car with a new type of drive. The short terms of a car subscription make the decision easy, whereas leasing usually involves a commitment for several years.

"A car subscription is the perfect way to familiarize yourself with the topic of e-mobility and to move from theory to practice. After that you can have a completely different say in the matter." – joachim eichler, zurich insurance

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