Lease & Finance
The differences between leases, rentals, and installments
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- The differences between leases, rentals, and installments
See the differences between leasing, rental, and installment purchases.
| Area of comparison | Finance leases | Operating leases |
Rentals | Installment purchases |
|---|---|---|---|---|
| Customer | Specific corporations or individuals (mainly corporations) |
Specific corporations or individuals (mainly corporations) |
Unspecified large groups (corporations/individuals) |
Specific corporations or individuals (mainly individuals) |
| Property | Machinery and equipment for businesses (usually new, for specific or generic functions) |
Limited to general-purpose machinery or equipment (usually ready-made products) |
Limited to general-purpose machinery or equipment (usually ready-made products) |
Machinery and equipment for businesses (specific/generic functions, new/used) |
| Intended use | Suitable for long-term, continuous use | Suitable for relatively short-term use | Suitable for temporary use | Suitable for long-term, continuous use |
| Selection of models | Customers can choose models freely | Customers can choose models freely | Selected in accordance with the inventory status of rental companies | Customers can choose models freely |
| Contract period | Relatively long-term (two to six years) | One to three years | Short-term (days, weeks, months, etc.) |
Relatively long-term (one to three years) |
| Cost | Cheaper than rental, equal in price to installment purchase | Often cheaper than leasing, rental, or installment purchase | More expensive than leasing and installment purchase | Cheaper than rental, equal in price to leasing |
| Midway cancellation | Generally not possible (possible after payment of any outstanding fees) |
Can be allowed for a specific period of time | Allowed after a specific period of time | Generally not possible (possible after payment of any outstanding fees) |
| Ownership | Leasing company | Leasing company | Rental company | Generally belongs to the seller |
| Upon contract expiry | Return or re-lease property for a small fee | Return or re-lease property for a small fee | Return property | Transfer of property ownership |
Inquiries regarding leases
New leases and financing
Department in charge: Each individual branch
Hours: 9:00 to 17:00
Monday to Friday (excluding holidays and year-end and New Year holidays)
Inquiries regarding transfers, changing payment methods, cancellations, pricing, customers facing issues after natural disasters, and other matters
Department in charge: Business Support Center
Hours: 9:00 to 17:00
Monday to Friday (excluding holidays and year-end and New Year holidays)
