Thinking about entering a Lease Purchase

Im not sure I see the point, why not just get a loan from the credit union to go buy a truck of your desired spec and lease on there or somewhere else?

I would think you can negotiate a better deal on a new or used truck that you find yourself vs the principle amount the lease purchase carrier sets on the one you would lease.

But if they wont lend to you right now, and it's a timing thing, I get that. I just dont see how you would come out ahead going that route vs purchasing outside of the company. I think when the smoke clears, doing it early will probably cost more than holding out a bit and just buying one.

 

One screwing wasn't enough?

 

Maybe because of the zero down that certain lease to own companies offer?

So he wants to lease through a company then get your credit union to buy the lease(refinance) so you can get better monthly payments? I wonder if they allow such a thing to happen...

 

because we all know why. if he cant do it now. how will it change later. he wouldnt be able to refinance the same truck. the lease purchase is too keep screwing people. most buy here pay here car lots. sell the car knowing the buyer will likely fail. so if the car cost $3000 and the owner wants $1500 down. then he more likely paid $1500 at action. so $1500 down plus 4 months of payments. then it gets repo, then its sold again for $1500 down. then you made $4000 off a $1500 car

 

You wonder, but you're inclined to think they don't, right?

 

will the company let you buy it from them early or at all

 

In a word no ... There isn't generally a buy out on a lease ... You will have pay off the entire lease amount to take possession. That amount is going to be more than the truck is worth ... especially in today's market.

But your problem isn't getting the truck. You're going about it all wrong. You're looking at leasing as way of purchasing a truck. It's not.

Leasing is a business. You have to approach it with a solid business model. Then do your due diligence to find the right company that works with your model.

 

This is true. My carrier, a subsidiary of a mega known for lease purchasing, is all independent contractors carrier. Many are driving the distinct colored trucks of our owner.

I was speaking with one lease purchase driver I had assumed was new driver. He told me he had been there for 10 years, and it was his third truck. He proceeded to tell me that he had no intention of keeping it after he paid it off. He said that it was the best way to be a company driver, ie, not having to worry about repairs, and still earn owner/operator rates.

Although I don't agree with him, he is approaching it as a business model, and understands exactly what he is getting into.

Just for the record, many drivers with my carrier have paid off their trucks and have run them afterwards.