What is leasing?
Leasing means payment of a sum each month in return for the use of a vehicle or
an asset instead of buying it outright.
Is leasing an Islamic instrument?
Yes leasing is an Islamic instrument. It has been approved by Islamic ideology
of Pakistan.
What is IRR?
IRR stands for Internal Rate of Return. The discount or interest rate at which
the net present value of an investment is equal to zero.
What is rental?
The sum paid by a lessee at regular specified intervals during the period of the
agreement in return for use of leased vehicle or an asset is called rental.
What is LKM or down payment?
LKM stands for lease key money. It is the down payment made by the lessee to the
lessor for the lease of vehicle or an asset.
What is residual value?
It means the expected or pre-determined value of a leased vehicle or an asset at
the end of the lease contract.
What is lease term?
The period of time for which a lease agreement is written.
What is principal outstanding?
It means the amount still owed on the borrowed amount. This doesn't count money
you paid towards the interest.
What is rental outstanding?
That is the amount you still owe on the borrowed amount. This does count money
you paid towards the interest.
Do Askari Leasing Limited lease
recondition or second-hand cars?
Yes, Askari Leasing Limited does lease reconditioned and second cars but these
must not be older than three years.
Will the vehicle be insured?
Yes the vehicle will be insured and it is mandatory.
Can I arrange my own insurance?
Yes, the client can arrange his/her own insurance but the insurance company must
be approved by Askari Leasing Limited.
How long will it take to process the
case?
If all documents are correct and complete, it will take 7 to 10 days to process
the case.
What are floor vehicles?
Floor vehicles are the vehicles bought by ALL and available for instant
delivery.
Will the vehicle or asset be in my
name?
In a lease transaction the asset is in the name of the leasing company.
How the rentals will be collected?
The rentals will be collected through post-dated cheques.
What are postdated cheque?
Post-dated cheques are cheques given by the lessee with future dates on. ALL
presents these cheques every month to collect monthly rentals.
Can a lease be terminated early?
Yes lease can be terminated early.
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