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

So SPYDER, if I gave you a lease for $1 a week (let's say a Cascadia Evolution, 2016), it would be stupid to take it, right? Utterly stupid.

 

That's a fairy tale. I stopped believing in the Easter bunny many years ago.
But sure let's play this game. That dollar a week lease comes with the stipulation I can only pull for you right? And your freight will pay me 90 cpm plus some piddly wink fsc. And I have to do maintenance on your schedule, using only the shops you specify, and do no adjustments to the truck unless you ok it. Oh and you won't trust me to have the funds for maintenance so you will keep x amount per mile in some "maintenance escrow" that I can't touch. That's the contract of the typical carrier lease purchase plan.

Sorry, you can keep that lease. I'll go to bank of America, put a real down payment, and buy that same cascadia from a dealer and sign it on with a company like Mercer or landstar and make double, if not triple, the income.

"But spyder, you won't get the miles there. We will give you 3500 miles every week". Ya sorry, I know the difference between revenue and income.

 

So your saying that a true walk away lease where I driver has access to his maintainance account, can book his own loads with just about any broker, can do what he wants to the truck so he doesnt void the warranty, and has a $1 buyout after 5 years. There is appsolutely no way in hell that it could be completed.?

 

My point is simply this: It depends on the terms. Doesn't it.

 

Stop generalizing without getting into specific terms!

 

Gunner, your quote was a little messed up there but I think I got the jist of it. Some guy you know completed a lease and got the truck.
Completing a lease in itself does not equate to better than traditional financing. I would pretty much bet my house that if he had gotten the truck from a dealer, with traditional financing, the truck would of made more money.
Re-read the post I made you quoted. I didn't say no l/p is possible to complete. I said I would love to see one that is as good as buying through traditional means. A bank loan for example.

 

Try turning your phone sideways. Not that your missing out on anything.

 

And show me one, just one, that has terms at least as good as traditional financing. Loan mountain comes close, but they are not a carrier l/p plan.

 

That creates a really bad crink in my neck trying to read things sideways.

 

By broker freight do you mean the carrier has no freight of their own and the lp guy must find his own loads? A guy never owning a truck before(therefore having no clue about freight markets)working the spot market off internet load boards. Ya that's gonna work great for him! In great economies that would be a bad idea. In today's market, enjoy that buck a mile freight.

Seriously tho, can we at least agree on limiting the conversation to carrier lease purchase plans that exists? If we are going to make stuff up to discuss, Peterbilt just sold me a new 379 with a Mac drop deck, ramps, chains and tarps included for twenty grand. the catch is I got to buy my own binders and straps.