FML Administration

FML [Full Maintenance Lease] Administration

Full Maintenance Lease [FML] is a comprehensive financial and maintenance package. It allows you to outsource the administration and maintenance of your vehicles to the finance provider and its administrator. It is a simple way of acquiring vehicles at a fixed monthly cost. An FML is offered to corporate and commercial customers.

AutoCon provides full administration of FML plans for Finance Companies, which enables them to offer a lease scheme with the following features.

  • The Finance Company owns the vehicle, at the end of the agreement Client must return it or negotiate to become the legal owner.
  • The Administrator will source and buy the vehicle on the client behalf, once the finance company approves the loan
  • The repayments are based on the period of the agreement and estimated distance to be travelled.
  • Repayments are adjusted if the average monthly distances travelled change by more than 10% from the estimated distance agreed upfront, or you could be charged an excess amount at the end of the contract.
  • Monthly rentals, not interest rates, are quoted and are subject to variations in the prime lending rate.
  • You are required to have the vehicle comprehensively insured for the period of the contract.
  • Payments include all taxes and document fees.
  • The asset is not reflected on the client's balance sheet. The rental is, however, shown as an expense on your income statement.
  • On termination of the agreement the vehicle is returned to the Finance Company, so there are no other hassles.