BEST LEASE PURCHASE??? (to head me towards ownership)

I see all the "smart" drivers are posting now. SMH

 

well.....Mr 1 year man, the experienced drivers have been posting all along pay attention you just might learn something or you can lease a truck and find out for yourself..

 

i have been at this 20 yrs give or take. and it breaks your heart every time i see one of these lease purchase people get bent over. 90% of the time they end in ruin, heartbreak and bankruptcy. yet nobody ever listens when you try to tell them. they have their mind made up and are only looking for confirmation not information.

so here ya go. schneider you can buy a new truck. its more of a purchase but they also have a one year lease on.older trucks if you want to get some exp as an.owner before jumping into that $2500/mo payment. and the lease is a total walk away.

or you could do something like lone mountian truck leasing which is more like a dealership but they keep the title till its paid off. then you can put the truck on with any company. the biggest downfall of leases is being stuck with no.option to leave when the co starts playing games with you, which they all do. lone mtn you wont find truck under 100k,mi though

 

You could always throw alittle cash down on 18-20k truck and end up with a 300 a month payment. Might take some looking but there are some gems that can be found for under 20k. Might not be that large car but something you can establish yourself with. Then work to that nice truck. Every O/O that has that beautiful ride it wasnt their first truck.


Rome wasnt built in a day.

 

Why thank you

 

If you expect to be successful in ANY business, you need to do your research, save your money and make a commitment. When you lease a truck from a carrier where you get in without any down payment and you can walk away at any time, you don't have a commitment to your success. I don't know of another business where the one who wants to start the business would expect someone else to assume all of the risk. It would be like going to a lender and telling them that you have no money, poor credit, little or no experience in that industry, and yet expect the lender to give you money to see if you can fulfill your dream. Oh, and if it doesn't work out, they will forgive any debt that you have with them.

At one time Freightliner, through their Select Truck program would put just about anyone into a truck with $999 down, as long as you had at least 6 months experience. It started as a way to move over priced trucks that they had to buy back from some of the big carriers. If you bought through the program you would pay about 1/3 more than the retail price you could pay outside the program. They also had high interest rates that were as high as around 19%, depending on credit and experience. Yet, they had thousands of drivers who could not wait to buy one of their trucks. I don't know if they still have the program, but Freightliner moved a lot of trucks. They changed it several times over the years with only minor changes to the program.

If you really want to find success in trucking you don't have to buy or rent a truck to make good money. Company drivers can earn a very good livelihood. For those who do want to lease or buy a truck, you need to keep the emotions out of the equation and look only at the numbers. There are spreadsheets that are available from www.ooida.com for both lease and purchase of trucks. Plug in the numbers and see what happens. People who want to lease or buy, should use worst case scenario numbers to see if the numbers come out. For instance, like other industries, we have times when we do well and get a lot of miles and other times when business is down. When the economy is good, you could get 3,000 miles per week or more. During slow times, you may only get 1,500-2,200 miles per week. Using the numbers, you need to see if you can survive with only 1,500-2,200 miles per week. Whether you lease or buy, those payments go on regardless of what is going on in the economy. I don't owe money on any of my equipment. If the economy going in the toilet, I can survive and not have to worry about losing my equipment or livelihood. If you are paying out $650/week in lease payments, you may not be able to survive if the economy does a repeat of the last 4 years. But, you might be able to survive if you had a $650/monthly payment and had money saved to pay the bills for a few months until things turned around. You could be a company driver and make a $650 monthly truck payment.

Some of us have been in this business for many years. When you ask for advice you need to understand that we don't get paid for what we post. We take the time to share our opinions or experience with those coming into this business so that you won't make some of the mistakes that we may have made over the years. It makes no difference to us whether you lease a truck or not. We will go on about our business, regardless of what you decide to do. Although I have looked at most of the lease purchase programs over the years, I have never leased a truck from a carrier. I took the time to look at the numbers and could not see how I could come out leasing a truck rather than buying. I have been in business for most of my life. I know that no matter how much I may want to do something, that some things are not worth the time and effort. I feel that about leasing. Most who seem to want to do a lease expect to make a lot of money and own a truck with little or no effort or commitment on their part. It doesn't work that way. If you don't have the discipline to save money out of every paycheck to attain your dream of owning a truck, how do you expect to be successful? Contrary to what some of the politicians try to make you believe, success doesn't happen without effort or commitment. Those who are successful don't just sit around and wait for the money to pour in to their bank account. They save, plan and work to make their dreams a reality. It takes time to learn about any business.

I don't consider carriers who lease trucks to drivers as being the bad guys. These companies are in business to make money. Drivers want to own a truck and they do have a means to make that happen. They assume a lot of risk when they lease a truck to a driver with limited experience in the industry, no money and little or no credit. Many lease operators fail. When the carrier gets the truck back, it can be trashed and need detailed or even have a need for repairs. Trucks are expensive, as is insurance. Carrier's front all of the money. It is the carrier's who assume all of the risk. They deserve to make a profit for taking the risk. Granted, some carriers do seem to take advantage, but it is ultimately the decision of the driver as to whether he will lease a truck. So, if carrier's are willing to lease a truck to someone and take all of the risk, are they really taking advantage? If they list all costs involved with leasing their trucks, are they really taking advantage? All the terms and costs are listed on the contract. I would guess that most will ignore or not even read the contract before they sign on the dotted line. Carriers get the brunt of the criticism when it comes to lease purchase programs. But, if there were not a high demand to lease trucks, the programs would not exist. Carriers are meeting the need for a demand created by drivers who want to feel like an owner operator.

Drivers are not forced to sign a lease on a truck. Many seek them out. For those who come here and ask for advice, don't get offended when you don't hear what you want to hear. I have been around this business for many years. I have been on this and a couple of other trucking forums for a number of years. I see people asking the same questions over and over about lease purchase. I also see many of those who ask the questions, leave and move forward with the lease when they don't get the answers that they want. If you only want validation or agreement for what you want to do, then there is no need to even ask. You want to lease a truck, then go ahead and do it. You don't need to ask. You have made up your mind as to what you want to do. Just do it.

 

Funny how that happens, i had several friends "bite the hook" at former carrier years back they were lured in by being show how much they would of earned last 3 months if they were fleased on, then you never saw them cuz they were doing cheap freight while i was making 2 bucks a mile for the company. Out of 6, 1 paid his off there rest turned theirs in/ or lost it when Knight bought them and starved them out, to get away from the % deal.

 

Shouldn't judge people. I have been on the high side of logistics. I understand freight rates and how they develop. (Yes, freight rates develop) Too many O/O's blame carriers for low freight rates, forgetting that there is a market at work out there. Subject for a different forum, i am sure. I can say that there are markets for everyone, and leases are a part of that market. Leases bring predators that prey on weak people trying to get ahead, but not all leases are that way. Many O/O's got their start with a lease, either successfully or unsuccessfully. There are many successful lease operators, including repeat lessors. There are plenty of O/O's that got there through a lease purchase. There are also plenty of failed operators that couldn't figure out the business side of things.

So many comments here are exactly why people don't share lease info on this board. You (if the shoe fits) continue to bash the idea of a lease, instead of sharing legitimate info. My take is if you are not posting to help a driver out, your posts are worthless.

 

Much better success rate than small businesses in general. 82% of new businesses fail within 5 years. Not many people look at themselves as the cause of that failure.

 

ok.....There are plenty of helpfull posts in this thread and a million others on this site that warn people of leasing a truck from these bottom feeders that prey on people that don't know any better..Those posts are coming from people who have failed at a lease, experienced owner/ops, and seasoned drivers..

Yet, once a week some 72hr cdl mill wonder with no previous experience in trucking comes in asks the same questions over and over again..

Will I make money with Prime ??
Is JCT good to lease from ??
Which is the best lease program ??

Perhaps since you are the expert on all this you would be so kind as to share your wisdom on which is the best lease for these people who can't seem to figure it out for themselves ??

the stage is yours post up..