'MyCar Free Return Premium' product expands eligible vehicle lineup
48-month contracts allow penalty-free returns after 24 months
Eight models available, including Genesis, BMW and Mercedes-Benz
Lotte Rental has added the Genesis GV80 Hybrid — the brand's first hybrid model — to its long-term car rental lineup, offering customers the option to return the vehicle after two years without an early-termination penalty even under a four-year contract.
Lotte Rental announced Thursday that it had added the Genesis GV80 Hybrid to its new-car long-term rental product, MyCar Free Return Premium.
MyCar Free Return Premium is designed for individual customers looking to lease imported or high-end vehicles over an extended period, with reduced early-return burdens. The product launched in October last year, and the Genesis GV70 was added to the eligible lineup in June this year.
With the addition of the GV80 Hybrid, the total number of available models has grown to eight. The lineup now includes four Genesis models — the G80, GV70, GV80 and GV80 Hybrid — along with the BMW X3, X5 and 5 Series, and the Mercedes-Benz E-Class.
The product's defining feature is the elimination of early-termination penalties after a set period. While the standard contract runs 48 months, customers can return the vehicle after 24 months with no penalty. The annual mileage allowance is up to 20,000 kilometers.
Under typical long-term rental agreements, returning a vehicle before the contract ends triggers an early-termination fee. For imported cars or large sport utility vehicles with high sticker prices, that cost can be substantial.
This product is structured to let customers return the vehicle or switch to a different model after a certain period, targeting those who prefer shorter vehicle replacement cycles or are uncertain about their long-term transportation needs.
Monthly rental rates vary by contract year. Using the base rate as 100 percent, customers pay 105 percent in the first and second years, 100 percent in the third year and 90 percent in the fourth year. In other words, customers pay a 5 percent premium above the base rate for the first two years in exchange for a 10 percent discount in the final year.
The GV80 Hybrid is Genesis's first hybrid vehicle, which the brand launched Oct. 6. Based on the existing GV80 with a hybrid powertrain, its inclusion in the long-term rental lineup was timed to coincide with the model's market debut.
MyCar, Lotte Rental's long-term new-car rental brand, provides vehicle leasing, maintenance and management services to individual customers and sole proprietors. The product includes a complimentary annual engine oil change with a home-visit service as standard, and customers can also access a tiered membership program with Standard, Premium and Prestige levels.
"Many customers hesitated to sign contracts for high-end vehicles because of the heavy penalties for early returns," a Lotte Rental official said. "Now that customers can return the car without a penalty after two years, we hope they will feel more comfortable choosing the vehicle they want — including the new GV80 Hybrid."
Meanwhile, Lotte Rental is also pursuing digital transformation in its car-sharing service. Lotte Rental G car, operated by subsidiary Greencar, launched a conversational AI-powered vehicle reservation service last month. The system allows users to type or speak their preferred time, location and vehicle type in natural language, with the AI recommending suitable options and completing the booking.
kwater@heraldcorp.com
