No Deposit Personal Car Lease Offers

Are you looking for a way to lease a car without paying a deposit? CarLease UK offer affordable no deposit car leasing options for drivers on a budget.

366 models

Volkswagen Touran

8 versions available from

£532 per month inc VAT

Toyota BZ4X

13 versions available from

£533 per month inc VAT

Kia Sorento

15 versions available from

£535 per month inc VAT

Hyundai Ioniq 6

5 versions available from

£544 per month inc VAT

Lexus Rz

18 versions available from

£545 per month inc VAT

Ford Tourneo Connect

26 versions available from

£547 per month inc VAT

Peugeot 508

14 versions available from

£547 per month inc VAT

Audi A6

102 versions available from

£549 per month inc VAT

Citroen Space Tourer

50 versions available from

£551 per month inc VAT

Land Rover Range Rover Evoque

23 versions available from

£553 per month inc VAT

Mercedes-Benz Gla

18 versions available from

£554 per month inc VAT

Honda CR-V

4 versions available from

£554 per month inc VAT

Ford Grand Tourneo Connect

29 versions available from

£556 per month inc VAT

Subaru XV

2 versions available from

£558 per month inc VAT

Kia Soul

1 version available from

£560 per month inc VAT

Ford Explorer

6 versions available from

£561 per month inc VAT

Volkswagen Caddy California

6 versions available from

£567 per month inc VAT

Ford Mustang Mach-E

11 versions available from

£571 per month inc VAT

Ford Capri

6 versions available from

£582 per month inc VAT

Genesis G70

4 versions available from

£582 per month inc VAT

Jeep Compass

11 versions available from

£584 per month inc VAT

Skoda Elroq

16 versions available from

£585 per month inc VAT

Suzuki Across

1 version available from

£591 per month inc VAT

Subaru Forester

3 versions available from

£592 per month inc VAT

BMW X2

6 versions available from

£593 per month inc VAT

Jaguar XF

10 versions available from

£597 per month inc VAT

Volkswagen Caddy California Maxi

6 versions available from

£600 per month inc VAT

Peugeot Traveller

32 versions available from

£601 per month inc VAT

C10

1 version available from

£608 per month inc VAT

Abarth 500

6 versions available from

£608 per month inc VAT

Hyundai Santa Fe

20 versions available from

£609 per month inc VAT

DS DS 7

22 versions available from

£612 per month inc VAT

Volkswagen Arteon

6 versions available from

£613 per month inc VAT

GWM ORA 03

2 versions available from

£614 per month inc VAT

GWM ORA ORA Funky CAT

1 version available from

£614 per month inc VAT

Mercedes-Benz Glb

12 versions available from

£618 per month inc VAT

No Initial Rental (“No Deposit”) Leasing

One of the commonly asked questions (and most searched for queries) in this industry relates to a no initial rental (no deposit) style lease car arrangement. To confirm, in most cases it is perfectly possible (and legitimate) to lease a new car on a no deposit basis. However, before making any firm conclusions, you need to consider a few relevant points which should help you in this process.

Most credit brokers/ contract hire companies will advertise with a higher initial rental, generally a “6-spread” arrangement. For reference, depending upon the financial product you choose, the first amount payable will be known either as the Initial Rental or the Initial Payment.

For usership (non-ownership style) products such as contract hire CarLease UK describe this as an Initial Rental. For ownership style products like personal contract purchase (PCP) and finance lease CarLease UK describe this as an Initial Payment.

Please note that in both cases the amounts payable are NOT Refundable Deposits. Any monies paid will form part of the funding arrangements and will not be returned to you at the end of the contract – CarLease UK do try avoid (or clarify) the term “deposit” for completeness.

If you do see a 6-spread initial rental on an advertisement and the monthly-rental is £100 (including or excluding Vat) then this will mean that a customer would have to pay £600 (including or excluding Vat) either on the day of delivery or more commonly 7-10 days afterwards. This is almost always taken by direct debit.

Some modern websites will allow you to change the initial rental (deposit) to an amount which is more suitable for your requirements. You will notice that the lower the initial rental, the higher the monthly rental will become. Do not be perturbed by this; you are not getting a “worse” deal.

The total amount payable on the agreement is actually the same because contract hire is not an interest-led product. Therefore there is no cost-saving with a higher initial rental. Fundamentally, you are choosing an initial rental which will be suitable for the requirements for you or the business.

Why Do Businesses Choose No Deposit/ No Initial Rental Leasing?

A no initial rental / no deposit leasing option is a big consideration for those drivers using a car allowance from their employer. With the growing company car tax rates and also with contract hire due to become an “on-balance sheet”, many employers are converting their fleet into a car allowance or, for drivers who cannot use “eco” options, employees are opting-out of the scheme.

While a car allowance is a great benefit, as an employee is given a flat amount per month a higher-initial arrangement is not always ideal. Many car allowance users will be trying to work towards 24, 36 or 48 flat rentals which include the vehicle and all servicing, maintenance and tyres (funder-maintained). For many businesses, cash-flow is king and undertaking to take vehicles which a high initial rental/deposit is not always a pragmatic option.

Why Do Personal Customers Choose No Deposit/ No Initial Rental Leasing?

For personal customers who are not receiving a car allowance, it is still possible to look at a no-initial rental / no deposit contract hire transaction. To manage everything effectively, identify this to your credit broker/contract hire company at the outset.

The issue is that some companies do not offer a no initial rental/deposit approach; in some cases a finance company will only proceed with an initial rental of a “3 spread” or more. This is down to the credit criteria of the finance company.

You also need to be aware that by having a no initial rental, you must have positive credit. As contract hire and leasing are credit based products, you must undertake a credit check before you are able to procure a vehicle.

With zero deposit, you are effectively asking for more credit from the finance company and so the underwriting criteria will be stricter. This means that this is NOT appropriate for those with poor/bad credit.