What is the rent to own model?
Rent-to-own car plans in Australia offer a path to car ownership by charging a weekly or fortnightly payment over a term and don’t require a traditional downpayment or a good credit history.
Rent to own models are considerably more accessible than traditional leasing or long term rentals. However, they come with a host of terms and conditions and potential penalties for termination. The weekly costs are also significantly higher than standard loans and finance.
Some rent to own models offer an all-inclusive package which covers the cost of registration, insurance and service and maintenance. However, setup and account fees are charged.
Considering rent to own?
Why choose car subscription over a rent to own car model
- Flexible commitment
Karmo’s car subscription allows you to cancel or adjust your plan with just 30 days' notice unlike rent-to-own programs with lengthy contracts. Enjoy the flexibility to adapt to life’s changes without being tied down.
- Lower upfront costs
Rent-to-own often demands high initial payments and hidden fees whereas Karmo eliminates these barriers with low upfront costs and transparent, all-inclusive pricing.
- All-inclusive convenience
When you choose Karmo, everything is included from insurance, registration, maintenance and roadside assistance. Forget the stress of additional expenses; just drive and enjoy.
- Drive the latest cars
While rent-to-own car programs limit you to older or select vehicles, Karmo’s fleet includes new cars from a wide variety of brands. You can refresh to the latest model whenever you’re ready, without the hassle of selling or trading.
Beware of the rent to own trap
- High overall cost
While there’s often no interest charged, the weekly repayments and various fees (like late payment fees, account keeping fees and early termination fees) can really add up. You’ll likely end up paying significantly more for the car than if you bought it outright or with a traditional loan.
- Limited choice and restrictions
Rent-to-own car providers usually have a limited selection of vehicles, they are often vehicles that manufacturers and dealers are trying to get rid of. You might not find the exact car you want, and it is worth being mindful of any restrictions included.
- What are you really owing
You don’t actually own the car until you make the very last payment. If you complete your rent to own term, after often paying twice the value of the car, you are left owning a car with high kilometres and reduced resale value.
Karmo vs Other Subscriptions vs Rent To Own
Drivers trust Karmo for a smarter alternative to rent-to-own. With no hidden fees, no long-term commitments and access to a wide range of vehicles, our car subscription service puts you in control of your driving experience. Our car subscriptions are all-inclusive, flexible and transparent making them the perfect choice for individuals looking for reliable car access.
Features
Other Subscriptions
Rent To Own
New cars
No application, sign up or swap fees
No credit check
New car rotation
Registration & Insurance
Maintenance & Servicing
No long-term commitment
No hidden costs
Features
Other Subscriptions
Leasing
New cars
No application, sign up or swap fees
No long-term contracts
New car rotation
Registration
Maintenance & servicing
Insurance
No hidden costs
Ineos
Grenadier Stat...
$545
Per Week
Zeekr
X
$349
Per Week
Mitsubishi
Pajero Sport
$390
Per Week
Subaru
Forester
$315
Per Week
Mazda
2 Hatch
$219
Per Week
Jaecoo
J7 Track
$285
Per Week13,000+ satisfied drivers on the road
Here’s what our customers say about their Karmo car subscriptions.
What do we mean by all-inclusive?
New car experience
The cost of your vehicle is included. Karmo ensures that our vehicles are always new, with mileage limited to 15,000km, providing you with a permanent new car experience.
Vehicle registration
Karmo takes care of all the necessary paperwork and registration costs ensuring that each car is properly registered.
Maintenance & servicing
All servicing, maintenance and tyre costs are covered by Karmo, ensuring that your vehicle remains in optimal condition and saving you money.
Roadside assistance
Karmo offers 24/7 roadside assistance, ensuring that help is just a phone call away in case of emergencies.
Vehicle insurance
Full insurance coverage is included, providing you with financial protection in the event of an accident or damage.
Flexible plans
No more 3 year contracts! You can sign up for the duration you need and have the option to stop or swap at the end of your plan, providing you with flexibility and freedom from lengthy commitments.
Generous mileage
Karmo’s car subscription plans include a generous allowance per week of driving. Any overages are simply charged per KM.
Less fees & no hidden costs
Unlike competitors, Karmo won’t charge you for choosing us! At Karmo you will enjoy zero application, signup and swap fees, making it more accessible and cost-effective compared to other providers.
No long-term commitments
We believe a car subscription service should be just as flexible as any other subscription service. That’s why we provide our drivers a convenient cancellation policy.
New car experience
Vehicle registration
Maintenance & servicing
Roadside assistance
Vehicle insurance
Flexible plans
Generous mileage
Less fees & no hidden costs
No long-term commitments
What do we mean by all-inclusive?
New car experience
New car experience
The cost of your vehicle is included. Karmo ensures that our vehicles are always new, with mileage limited to 15,000km, providing you with a permanent new car experience.
Vehicle registration
Vehicle registration
Karmo takes care of all the necessary paperwork and registration costs ensuring that each car is properly registered.
Maintenance & servicing
Maintenance & servicing
All servicing, maintenance and tyre costs are covered by Karmo, ensuring that your vehicle remains in optimal condition and saving you money.
Roadside assistance
Roadside assistance
Karmo offers 24/7 roadside assistance, ensuring that help is just a phone call away in case of emergencies.
Vehicle insurance
Vehicle insurance
Full insurance coverage is included, providing you with financial protection in the event of an accident or damage.
Flexible plans
Flexible plans
No more 3 year contracts! You can sign up for the duration you need and have the option to stop or swap at the end of your plan, providing you with flexibility and freedom from lengthy commitments.
Generous mileage
Generous mileage
Karmo’s car subscription plans include a generous allowance per week of driving. Any overages are simply charged per KM.
Less fees & no hidden costs
Less fees & no hidden costs
Unlike competitors, Karmo won’t charge you for choosing us! At Karmo you will enjoy zero application, signup and swap fees, making it more accessible and cost-effective compared to other providers.
No long-term commitments
No long-term commitments
We believe a car subscription service should be just as flexible as any other subscription service. That’s why we provide our drivers a convenient cancellation policy.
Apply now
Our application process is quick, easy and completely online. We have no application fees, so you can subscribe to your dream car risk-free with Karmo.
- Apply in minutes
The application can be completed in under 5 minutes, and with our quick affordability check you get the added bonus of accessing pre-approval instantly.
- We get in touch
Our team will contact you to find the most suitable car and subscription plan for your needs.
- Drive away, within a day
If your car is in stock, you can drive away the same day and begin your subscription journey!
- 5 min to complete
Can I cancel my Karmo subscription anytime?
Karmo’s car subscription is flexible, ensuring you’re not tied to a car that doesn’t suit your needs. Once you complete your minimum term you can cancel your car subscription with a 30-day notice. You will need to provide the 30-day notice by emailing info@karmo.co.
How much does a Karmo car subscription cost?
Karmo has a wide range of vehicles to suit your needs and you can find which vehicles are available near you by visiting https://karmo.co/inventory-subscription/
Managing toll payments for your Karmo subscription vehicle
Karmo’s terms and conditions require that tolls be paid directly to the toll operator. This helps keep variable weekly costs to a minimum and help our customers budget for their subscriptions with ease. To make it easier for you, we strongly recommend fitting a toll tag to your vehicle, otherwise an administration processing fee of $5 is applicable to any unpaid tolls that we receive on behalf of your vehicle. In such cases, you will be charged the unpaid toll charges and the administration processing fee on your next weekly payment.
Who is covered by Karmo provided insurance in my subscription car?
To ensure compliance with our insurance policy, it’s important to note that coverage is limited to the person listed on the contract, as well as any additional drivers who are explicitly mentioned on the subscription agreement.
This means that only the primary subscriber and any additional drivers specifically listed on the contract will be covered by our insurance policy during the subscription period. It is essential to adhere to this requirement for the protection and safety of all parties involved.
Please remember that driving without the appropriate coverage may result in liability and potential financial risks. The safety and security of our subscribers remains a priority and we provide comprehensive insurance coverage as per our policy guidelines.
What is included in a Karmo car subscription plan?
At Karmo, we take pride in offering comprehensive car subscription plans that cover a number of services and expenses related to your vehicle. Our subscription plans include:
- Cost of the Car: The subscription fee covers the cost of the vehicle itself, allowing you to enjoy driving without the burden of car ownership.
- Registration Fees: We handle the registration fees associated with the vehicle, ensuring that it remains legally compliant throughout your subscription period.
- Roadside Assistance: Our car subscription plans include roadside assistance services, providing you with peace of mind in case of any unexpected breakdowns or emergencies on the road.
- Damage Cover: We provide damage coverage for the subscribed vehicle, safeguarding you against potential damage and accidents.
- Servicing and Maintenance: Servicing and maintenance of the vehicle are included in the subscription plan, ensuring its optimal performance and reliability.
By bundling these services and expenses together, we aim to offer a hassle-free and all-inclusive car subscription experience.
Is fuel or charging included in a Karmo car subscription plan?
Fuel and charging expenses remain the responsibility of the subscriber. This means that you will need to bear the costs associated with refuelling or charging the vehicle during your subscription period.
