Freightliners in the shop, I need a rental

They're all doing it. A year ago my Mack dealer offered a rental account with the condition of a $7,500 cash deposit. Of course I turned that down. It came up again two months ago, the deposit required is now $10,000. When I asked him why he thought I would agree to that after refusing the earlier, lower deposit offer, he blue screened. I let them all know I've rented two Kenworths in the mean time with a zero deposit, and even returned them undamaged.

 

Meanwhile, fools are out here lowering their rates. Everything is going up and they're coming down. Makes zero sense to me.

 

That means they are desperate for any work, they are failing in their business. You may see repos go up soon.

 

It is kind of ironic what's happening, or I guess you could say it just makes sense I suppose.

Before all of this the price of new trucks was not inexpensive. Like all things the prices keep going up.

The trucks become more sophisticated, there's more parts to buy, the parts that you have to buy are more expensive, and less and less you can work on yourself.

Insurance also keeps going up.

Now you have a situation where there are good rates and trucks are expensive and trailers are through the roof.

Fuel is going up thanks to you-know-who, and all of the things associated with the business are going up.

This supposed "Good Times" of the trucking business is actually pushing the line farther between who can actually be in business and who can't or who gets pushed out of business because the expense is just too great.

And when this cycle is over we may see more bankruptcies than ever because the great expense is going to continue as the rates fall.

 

No matter the conditions, it's the Corporatacracy that benefits from it. Government and Corporations orchestrate it and reap profits. Everyone else are just pawns no their chess game of world domination.

 

Fools or not...What would not being a fool mean under the circumstances... sit and wait? They can't just ask for 5 dol per mile when all others around take anything for $4.
I'd say, it is market forces.
A solo o/o with paid off equipment and $50-100 grand stashed over the last year and a half can sit, wait and watch, commenting about it here but those who acquired more equipment, hired drivers on 65+ c per mile have no other option but to take whatever comes their way to keep revenue going, wishing for this to be a temporary slowdown. They took PPP twice, EIDL twice - 20 years to pay it back at low%, starting in 2022...it'll be awhile before they will start sinking. I tell you, fools or not, they will go down to as little as 1.5 per mile even on an open deck, if need be. Throat cutting is an obsolete term now, the need to cut throats and take time to bleed out too.

 

Not around Chicago area...or depending which office you call (I wonder if they are a franchise of sorts). How long ago, have you established the account?
A month ago, I needed a rental too and I spoke with two local offices and they said they would not rent to anyone having their business registered at home. You need a separate "brick and mortar" office address.
Besides... They need $10 grand a deposit. Wow!

 

Sorry about the late response. I never got a notification. Anyway, I did the process about 3 months ago. I started with Penske's corporate office and was directed to my newest local location. Talked to my contact there and followed the instructions. My insurance company handled the rest and I added some coverage to my policy for when I rent one. Pretty simple. My premium went up a little but it's still cheaper than buying/registering another truck. Also, the 10k deposit can be held off a credit card so it's not a big deal for me.