- No depreciation cost, maintenance or insurance cost – all covered
- Return the car after 1 or 2 years
- Switch between a 5-seater Captur or a 7-seater Koleos at no extra charge
- Mileage cap applies - 20,000 km per annum, but extended mileage can be purchased
TC Euro Cars, the official distributor of Renault vehicles in vehicles in Malaysia have announced a novel alternative to the traditional car financing model.
Dubbed ‘Renault Subscription,’ the plan allows customers to drive away with a Renault Captur or Koleos with zero down payment, and the freedom from lengthy lock-in periods as well as costly depreciation and maintenance that a traditional car ownership model entails.
Renault Subscription’ offers customers a choice of two plans – Fixed and Switch.
The Fixed Plan is closer to leasing solutions offered by many European premium brands but with a twist – it has a much shorter 1 or 2 years subscription period.
The Fixed Plans allows customers to use a Captur or a Koleos for up to 20,000 km a year (additional 10,000 km available for 200 per month). It also covers road tax, insurance and maintenance cost but replacement of wear and tear parts will be charged to the customer.
However for an additional RM100 per month, TC Euro Cars will waive any charges for replacement of wear and tear parts, thus providing a truly hassle free driving experience (applicable to Fixed 2-year plans only).
Depending on the subscription period, a deposit of between RM2,500 – RM3,500 is required but this will be refunded back to the customer at the end of the subscription period if the vehicle is returned in good condition.
Alternatively, the Switch Plan offers an even shorter one-year term, truly commitment free alternative. The customer has the freedom to terminate the 1-year subscription at any time with no penalty fee. Unlike the Fixed Plan, customers opting for the Switch Plan will not have to pay for the replacement of wear and tear parts. There’s also also no annual mileage cap.
On top of that, the customer also has the option of switching his/her Captur for a bigger seven-seater Koleos, for a maximum usage period of 4 months.
The downside? The monthly fee for the Switch Plan is higher than the Fixed Plan.
Yes, the charges are still higher than the monthly installments of traditional auto financing, but remember that value does not include insurance, road tax, and maintenance cost. Depreciation should also be factored in too.
The Renault Subscription plan is ideal for those who are fine with paying a monthly fee and yet not own the car once payment terms are fulfilled, because maintenance and depreciation cost will inevitably go up as the vehicle ages.