A personal car lease, sometimes called a consumer lease, is one intended strictly for personal use and is always a “closed-end” type of lease (not an “open-end” lease, which is used only for business leases). Such leases specifically require that no commercial or business use be made of the vehicle. Doing so would constitute a “fault” and would be grounds for a lease finance company to terminate the lease, repossess the vehicle, and sue for all due amounts.

There are no tax advantages to a personal car lease, as there might be in a commercial lease.