The opportunity to change cars like you change clothes is now possible. For a monthly fee, car subscription services are an alternative to motor vehicle buying and leasing.
With an upfront fee is usually involved, the monthly fee covers the car payment, insurance, maintenance, and roadside assistance. Subscribers can manage their plan online with the vehicle delivered to your home.
Car manufacturers that offer this service are Cadillac, Ford, Volvo and Porsche. Other companies specializing in offering a variety of makes and models are Fair, Flexdrive, Clutch and Carma.
Unlike leasing for 24 or 36 months, car subscription can be for as short as a month. However, some programs require a two-year contract, and only allow a trade-in (exchange) after 12 months.
The greatest benefit is the “negotiation-free” way of obtaining a car. And, if you don’t like the car, you can get a different vehicle. Car subscribers are reminded it’s not your car. Smoking is usually prohibited and pets should be kept in carriers. Not all cars are brand new but most are low mileage and less than six years old.
For additional information on car subscriptions, click here.
- Have students talk to two or three others to obtain their opinions on the benefits and concerns of car subscription services.
- Have students compare cost of various car subscription services with buying or leasing a vehicle.
- What do you believe are the benefits and drawbacks of using a car subscription service?
- Describe life situations that might be most attracted to using a car subscription service.