How we're changing the novated leasing industry for the better

Once again, leaselab has been made aware of a novated leasing provider doing the industry a disservice through an article published on news.com.au yesterday.

The article describes a situation we hear of all too often – a driver being misled with hidden fees and charges, and their lease being mismanaged, resulting in bill shock.

Unfortunately, providers like this can attract clients with too-good-to-be-true deals that end up losing them money over the term of their lease.

That’s the very reason we started leaselab back in 2019 – to change the novated leasing industry for the better.

It drives us crazy to see people being taken advantage of, so we are on a mission to spread the word, share the knowledge and help Aussie drivers get the car they want while saving money.

Because novated leases are a complex financial product, we wanted to take this opportunity to address concerns raised in the article so that you can choose the right provider.?

Budget

A good provider will help you understand the impact of leasing on your overall financial health.

At leaselab, we take our financial responsibility seriously and prioritise our drivers’ financial wellbeing.?

Once it is decided that you’re a good fit for a novated lease, your provider should align your initial budget with your expected usage and spend. They should also keep an eye on your account over the duration of your lease, ensuring you are informed every step of the way.

It is important to select a provider who can actively manage your lease and work with your needs as your circumstances change.

Insurance

When it comes to insurance, carefully examine the proposed budget. If it seems too good to be true, it probably is.

Unforeseen gaps in coverage could leave you vulnerable, should you ever need to make a claim.

Transparency

Unfortunately, we have heard of many cases where drivers make payments for years, only to discover they have been under-servicing their lease. It drives us crazy, as it does the whole industry a disservice.

As a financial product, it’s important that you have the option to check your novated lease balance as needed.

leaselab's system allows clients to access live account statements, meaning you can view your account status at your convenience.

Fees

Keep an eye out for hidden fees and charges embedded in your agreement.

Unlike others, our quotes are inclusive of our management fees – what you see is what you get.

When it comes to extras, we take an opt-in approach, meaning you get to decide what is included in your lease.

Compliance

The Australian Taxation Office (ATO) provides very clear advice on acceptable residual values due at the end of a novated lease period, depending on the lease duration.

Significant deviations from standard ATO-defined residual values in a quote should trigger deeper scrutiny.

A cheaper monthly cost isn’t worth the ATO penalising you and your employer at residual time.

Don’t be a stranger!

Let us know if you need advice around novated leasing or want us to review a quote you’ve received from another provider.

We’re here to help.