Cancellable contracts - only benefits for the customer? Beware!
Why cancellable contracts exist: Leasing can only be structured in compliance with regulations with a term between 40-90% of the depreciation period of the asset. The contract can be set up for a longer duration if a cancellation right is granted to the customer within the aforementioned period (40-90%).
👉 Early termination may then be possible, but that does not make it economically sensible by any means!
👉 A cancellable contract does not end automatically. As the customer, you must actively cancel it!
👉 Please note the notice periods in both cases!
