Made my decision.... American Central Transport (ACT) it is

I know that there are a few threads on here about ACT, but I didn't want to hi-jack other peoples threads. I am starting orientation on Nov. 28th and wanted to share my experience with the company. I am very excited, and nervous all at the same time because I am going to do the L/P program with them.

It will not be the first time as a small business owner for me, I owned two successful businesses 8 years ago, so I think that I am going into this with a little more in-site then some individuals that do Lease Purchase. I did go the route of purchasing an older truck and leasing on to a carrier earlier this year. The problem was that the truck nickeled and dimed me to death in the three short months that I was leased onto Landstar Ranger. The stray that broke the camels back was when the transmission went out. In three months, I did not have the funds to repair the truck, after all the money that I had paid out before this to repair the truck. I was very happy at Landstar, I really enjoyed having access to the load boards and finding my own loads. I developed a great network with their brokers and was able to stay running. I have also been an OTR company driver for 6 years before that, so I do know what the whole trucking lifestyle is about and the time and dedication that it takes to be successful. I know what some of you are thinking, you weren't successful with your truck leased to Landstar, and you know what? I agree with you, but I am a fast learner and have learned from those mistakes.

Now with all of that said, yes I have decided to go the L/P route. I have spoke with quiet a few drivers, both in person and on here, and know that you can be successful with ACT... If anyone has any advice or is possibly going to orientation on the 28th, I'd love to hear from you. Wish me luck!!

 

Al, I know that it might seem as if I am going backwards to you, but the way that I look at it is that I got burned buying an older truck that left me high and dry with no support when it really come down to the truck continually breaking down. There are many on here that continually say to save and buy a $15000-$20000 truck and run and make money. Well, been there done that and I lost my arse to a truck that broke down every time that I turned around. I have researched many companies and their L/P plans and I found that ACT has the best opportunity for success.

With ACT, I will get a truck with much lower operating costs (lower fuel costs due to increased fuel economy, less break downs, trucks are equipped with APU's and lower maintenance reserve). ACT pays .98 cpm plus fuel surcharge, $35/hr detention time, $50 additional stops, and $100 unloading pay. Payments on the truck run on average about $500-$560 a week, and at the end of your 18-48 month lease, you have a low balloon payment (around $10,000). The truck prices are based on the average retail price of similarly equipped and spec'd used trucks currently on the market.

In my case, instead of financing my truck thru a bank, I am financing it thru the carrier. And lets face it, while there is a loan on the truck thru the bank, you really don't "own" the truck neither. You are renting your truck from the bank until it is paid off and you have title in hand free and clear. It is the same way for us as well, we will not actually "own" the truck neither till we have the title in hand. I do not have the credit I used to have which means that I would have to pay a much larger interest rate, and have a larger down payment then I would be comfortable with. After losing so much money on my previous truck purchase, I don't have the funds or the nerve. On a lease, if it does not work out I can walk away. If the truck was financed, I am stuck and not able to do so. BTW, I did look into going to a dealer and purchasing a truck, I could not see putting $8000 down and still have a payment between $1500 to $2000 a month. My interest rate would have been around 15-17%.

I know that some of this post is going to catch hell from some of you that are really opposed to lease purchase but believe me, this is not a decision that I came to easily. I have done A LOT of research into l/p deals, and true many of them are scams and a lose/lose situation for the l/p operator, but there are a few of them out there that really do work and the driver in the end takes ownership of their truck.

Just my .02

 

LOL, I don't want to sound bad about Landstar, because as I said I enjoyed my time there. I have to ask you this tho, is that $2.00+ pm before or after you get your 65% of the 98% of the line haul? True, there was a few loads that were high paying and believe me, those were few and far between. Most of the loads that I was finding when I was with Landstar, didn't pay much more then $2.10 or so p/mile with the fuel surcharge. Sounds good on paper, but actually equalled out to the truck about $1.50 a mile with the fuel surcharge. True, that is a higher mileage rate then I would be receiving at ACT...... but, you were not paid dead head miles, so it rather equals out.

As for the discounted fuel costs, after speaking with some ACT drivers and the recruiter, ACT's fuel is discounted at about .30 a gallon at some truckstops. True, I have a $10,000 ballon at the end, but I currently do not have the $8,000 for a down payment, and still have a small reserve for incidentals. The truck by the way is a '10 KW T660, equipped with an APU.... Just say'n.

ACT is not forced dispatch, but yes you do have a dispatcher.... A dispatcher that gives you three loads to choose from, and if none work for you, you can turn them down. I wouldn't suggest doing that often, but you do have that option.

Just my .02