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The novated lease is another car financing method that offers combined features of traditional ways of financing a car. Many people still do not understand What is a Novated Lease. This procedure provides benefit to both employees and employer alike. The employee is allowed to pay the vehicle by taking considerable amount of money from his salary. The vehicle financer, employer and the employee are the three parties involved in novated lease. The mutual financier will supply the vehicle based on the preference of the employer who decides according to the employee鈥檚 needs. A complete understanding on What is a Novated Lease will help an individual purchase a car in a very cost effective way. In this option an employer agrees with the financier to pay for the cost of the car and will be responsible to keep the payments on time. The employee can use the car for both personal and business purposes but is in charge of the running cost of the car.
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