Car leasing is a financial arrangement where a person pays to use a vehicle for a specified period, typically two to four years. Instead of buying the car outright, the lessee makes monthly payments to the leasing company, which owns the vehicle. At the end of the lease term, the lessee usually has the option to purchase the car or return it. Leasing often requires a lower down payment compared to buying, making it an attractive option for those who want to drive a new car without the long-term commitment. However, there are mileage limits and potential fees for excessive wear and tear on the vehicle.