Best lease ever - A must read for everyone!

Discussion in 'Lease Purchase Trucking Forum' started by freightlinerman, Jul 6, 2014.

  1. freightlinerman

    freightlinerman Road Train Member

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    I found this really good deal on a lease, just curious what you think. They pay for:

    • Tolls
    • Permits
    • Tires
    • Maintenance
    • Lay over pay
    • Break down pay
    • They guarantee a paycheck, I will never be in the hole, sorta like if you get crappy miles, you still get paid.
    • I can turn the truck in at any time with out any penalties
    • They take out my taxes and I can get medical benefits
    • They still govern your truck
    • You cant take the truck any where else if you want to quit
    • They make the truck payment EVEN if I don't make the miles(NOTED)
    • The truck is all shiny and new
    • After four years of leasing, they require the truck to be retired from the fleet or bought out
    • COMDATA card is given to you for fuel purchases
    • PrePass
    • Free truck washes at the terminal

    Anyone care to take a guess at which company this is? It starts with an J! I did all the deductions, but will only make about .40 - .45 cents a mile. What do you think?









































    Got ya! This is not a lease! This is for a company driver! What's the difference between the two? YOU pay the bills! You take the risk! You go 2-6 MPH faster than the company trucks! Why do you want to lease a truck? Go buy your own truck.
     
    Last edited: Jul 6, 2014
    skellr, jbatmick, Shaggy and 2 others Thank this.
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  3. Kevin_L

    Kevin_L Light Load Member

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    During my time lurking here I will never understand the hatred for leaser's,you gain tons of flexibility in your work ethic and can choose you're own loads.Lease purchaser's even have better since at the end they just pay a balloon and now also own the truck and will end up making $10,000+ extra a year.



    The thing is leasing is obviously not for everyone and I think thats the problem ,you NEED to be able to put away a large amount of money to sustain yourself in hard times and with alot of truckers having wifes,kids,mortgage etc its just not feasible for them
     
  4. thelushlarry

    thelushlarry Road Train Member

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    You are WRONG.:biggrin_25513:
     
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  5. jbatmick

    jbatmick Road Train Member

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    My thoughts on signing a lease.
    For most O/O operations they simply are geared towards the company (lessor ) making more money than the driver ( lesee ). That is why these companies push the new hands to sign a lease. More money for the company. Anybody want to argue that point ?
    There are some drivers that can make a good lease profitable, but it takes a combination of a business minded, experienced O/O, and a company offering a good,sound lease for both parties to be happy.


    For most drivers, especially newer hands, leasing is not a good business decision. I have seen far more failures at leasing than success stories. We do not 'hate ' leases, it is just that we have seen the sad stories that evolve, and try to keep others from getting stars in their eyes,signing a lease, and wind up with a terrible situation.
     
    Last edited: Jul 7, 2014
  6. freightlinerman

    freightlinerman Road Train Member

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    EXACTLY JB! If you miss a week or two of work, you're in trouble and your profits QUICKLY disappear. If you want flexibility, go buy a used truck. If you can't, then just be a company driver.

    The only advantage to being a lease driver, you can pick your own loads, turn down your own loads, bob tail home, go 2-6 mph faster than your company trucks. That's not a win.

    As far as gaining flexibility in your work ethic, well you are FORCED to work! If you don't, you wont make any money! You will just cover the truck payment. So yes, you do gain work ethic as a lease operator.

    As far as the lease paying a balloon payment at the end of the year...well, instead of leasing for 4 years and making a balloon payment...Why don't you just go out and buy a used truck and make the payments on it. You will be building equity in the truck paying it off, after 4 years you have sometihng to show for it. Let me explain

    In 2010, you lease a truck for 4 years. It is 2014 and the truck is a 2010 model. The lease company will want MORE than the truck is worth. So what ever you spent on the truck, you don't get anything out of it.

    SCENARIO 2: In 2010, you buy a used truck and finance it. You pay it off in 2-4 years. $1,200.00 monthly X 12 = $14,400.00 X 2 years = $48,000.00. YOu can buy a 2009 Cascadia now, or any 2009 truck with a DPF for around $40k. Not only will your insurance be less, your truck payment will be less and you will actually be an OWNER operator and OWN a truck.

    SCENARIO 3: IN 2014 you lease a truck, $575.00 a week for the truck payment X 4 = $2,300.00 A month X 12 = $27,600.00 X 2 years = $55,200.00

    You can't argue with those numbers. Go finance your own truck. You can make more money that way. A lease is to benefit a company or a person, it's not there to help you. But people fall for it.

    I've given my reasons, counter me why a lease is better.
     
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  7. rickybobby

    rickybobby Road Train Member

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  8. thelushlarry

    thelushlarry Road Train Member

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    I care.........
     
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  9. skellr

    skellr Road Train Member

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    There are plenty of caring people around.
     
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  10. jbatmick

    jbatmick Road Train Member

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    I care. If a new driver wants to try a lease, listening to the company's B.S. can get him in financial trouble very quickly.
    It is hard enough for newer hands to make a decent living without having to go in debt to try and feed their family.
    I care for other drivers. Many others do not, they only worry about themselves.
     
  11. freightlinerman

    freightlinerman Road Train Member

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    I experienced first hand from my dad who leased a truck and barely made any money. It's devastating. I don't know if I would have made the same mistake as him or not, if I had not seen first hand or learned about it. Share the knowledge, that's what we are doing. If you didn't care, I don't know why you would even come on here. Sound's like the right hand for a lease company, "WHO CARES!" At anyone else's expense but their own.

    LEASES are almost a way to lock a driver in for fear of financial repercussion if they leave! For the carrier, they have a guy that pays for the equipment, AND they have him trapped and not able to leave! It's perfect for them! There is a reason there is NO CREDIT CHECK, NO MONEY DOWN. "If you got a pulse, sign and drive!"
     
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