How to lease a car in Switzerland

Written by kenneth w. michael wills | 13/05/2017
How to lease a car in Switzerland
Car leasing in Switzerland offers tax benefits. (yellow car image by Rade Cojbasic from

Leasing a car in Switzerland is tax deductible, easy to do and, according to some, makes the most sense financially. It will usually require a deposit from an individual wanting to lease a vehicle, but other than that, a valid driver's license is all you need. The hard part is figuring out what type of vehicle to lease that makes the most sense for your budget, who to lease the car from and the duration of the lease.

Decide whether leasing a vehicle in Switzerland makes sense for your financial situation. If you purchase a car with cash upfront, you will spend a sizeable portion of money and you can't write this off on your taxes or invest it. With leasing, however, you retain a large portion of the money and can write off all lease payments and associated expenses on your taxes in Switzerland. This includes fuel and maintenance for the car and you have the option to buy the car at the end of the lease. The drawbacks include no equity in the vehicle and you are stuck with the lease unless you want to pay a large penalty for early termination, in most cases.

Decide what type of vehicle you want to lease, whether it is a four-door sedan, a sports car, a luxury vehicle or an SUV. Consider the makes and models you want and can afford.

Get multiple quotes from car leasing companies in Switzerland. Pay close attention to the kilometres offer each month, the type of maintenance you are responsible for, the condition in which you will need to return the vehicle at lease end and the amount of interest you will pay to lease the car. All these terms can vary considerably from company to company. In addition, you will need to scrutinise the type of deposit required and how the company will handle that deposit.

Sign your lease once you settle on the contract that best meets your needs. Make sure you understand the terms before you sign the contract and can commit to the terms. Breaking a lease early means paying substantial early termination fees, and failure to adhere to the terms usually carries steep penalties as well.

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