Want to avoid getting burned by a lease-purchase agreement?

Having done two myself, my advice is to make absolutely sure that you know what you're getting into. I signed up with TEL in 2019 and was given a brand new 2020 Cascadia Evolution. I was with SRT and was on one of the best contracts (XPO) until David "I'm a False Prophet "Parker saw fit to shelve that operation. I was then shoved to Star Transport and then LandAir. After the latter two, I went from having miles + fuel surcharge with guaranteed mileage pay and $0.05 extra for Hazmat, to flat rate. They took the Hazmat because they said they wouldn't give it to independent contractors. The money dropped from $2.5k+ after expenses, to sometimes nothing. I'm good with numbers and kept a tight budget alongside staying on the road 2-3 months at a time. As luck would have it, the new account (Echo Global).had me running over my mileage and yes, you were charged.
I decided then that I could no longer afford to stay with LandAir and wanted to depart for A&A Express. Even though TEL worked with that company, they still expected a $13k transfer fee. Even though A&A offered to front me the money, TEL refused. So I had to let go of the Cascadia. I'll submit my review for what happened after below this paragraph.
Transport Enterprise Leasing, LLC Google Maps

As far as A&A Express, you are welcome to read my journey from beginning to end. I was switched to a Volvo which cost me over $50k in just the year I was with the company.

The mistake I see when someone wants to lease a truck is that they only see money. They don't see all of the costs associated with running a business. I remember sitting through two lease pitches during my short time at Stevens Transport. The Alliance (now Paragon) recruiter was putting random numbers on the board. He wasn't issuing real world numbers at all. That's why I chuckle at those who sign on the dotted line and then piss and moan when they end up in the hole. I took economics and business math and knew the guy was full of something that wasn't knowledge. Think carefully before you make this jump.

 

I appreciate all of this. I think I would be in over my head if I took one of these on. Plus I wouldn’t want to be out more than 4 days at a time so I’m betting I wouldn’t be able to stay on top with that schedule if I had a truck payment and all other costs.

 

The number one reason drivers fail at leasing is they are in over thier head. Sometimes you get a bad truck, sometimes management changes the program.

But those are exceptions. Generally people jump in, don't know what they're doing, can't figure out how to fix it, give up and join the crowd crowing how companies screw you over on a lease.

The most damnable thing companies do to lease drivers is they will let anyone do it, regardless of their aptitude to run a business. And that is probably your number one issue. Running 4 on 3 off, for average rates, you'll go broke even if you had no truck payment. Fuel, maintenance, insurance and ancillary costs will barely be covered only running 4 days.

And for the record I completed 2 leases with Swift. Took possession of the second one. Ran for 20 months with no payment. But, at 1.2 million miles my break down costs plus down time were getting to be as much as a payment. Traded it directly to a dealer, plus some cash and ordered a truck to my specs. Ran that truck for 7 years, retired and sold it and my trailer.

 

I've been in trucking for over 14 years, as 100% independent owner operator.
if all you understand that everyone who get into this business is to make money, then, my questions to all of you guys is, who in their right #### mind get into driving trucks under someone else authority, leases, lease to own? seriously?
basically you guys become a donkey with someone else is saddle. not only that !! you also have someone riding on your back with a #### carrot holding it in front of your nose. do you get it ?
after more than 14 years in this industry, my advised is simple: either drive for someone who values your work and pays you what you are worth or become a 100%independent O/O. otherwise stay out of this industry.

 

I don't hear about any lease purchase drivers doing a consistent 4 days on, 3 off, either. Very few outright owner ops doing that. I met a woman o/o with her own authority running the same route from Indy to eastern PA every week. She was a former o/o leased on to Landstar for several years who wised up to how much they were taking from her money. She got tight with a broker in Indy to run that lane on her own. She was clearing after ALL expenses about $85k and home in Indy most every weekend. So it is possible but not with a carrier using you like a chump.

 

you sound like me when I was young lol
If you are only a truck driver and not a business person I don’t recommend going all in.