LRM LEASING HAS ANYONE DEALT WITH THEM?

Aren't you the same one that told me about your 30 years experience working in a profit loss center,and major corporations don't believe in buying depreciating assets,but you turned around and did the opposite by purchasing a truck through a LP program..Now which one of those major corporations did a LP.?

 

I think you are confusing things:

20-30% doesn't get you a better interest rate. It might SLIGHTLY change your monthly payments bc theoretically there would be less to finance but you could accomplish the same by just leasing/financing a cheaper truck. The interest rate you will be charged, stays the same. And if you are stuck in the subprime world (and being there doesn't always have anything to do with credit or how much downpayment you have), you will NOT pay less than 14%. You are lucky to even see 18%

Nowhere in my post did I say all leasing companies within the subprime world are the same. I was very specific as to why I liked LRM compared to many of the other predatory leasing programs (usually offered direct through fleets): you can send the truck back without penalty and take your truck anywhere. We can discuss the differences between each but that would be a separate topic.....

 

I am trying to understand your point because you are all over the place. Maybe it helps if you tell me what you would do differently?

 

I said they didn't believe in paying cash for a depreciating asset. And I didn't pay any cash.

 

Well, good luck with that.

 

What are you calling slightly on a lower payment?on a $70,000 truck at %18 with %20 down will save you between 4 to 5 hundred a month but I notice you still aren't posting LRM interest rate.I didn't ask originally about sub prime loans I ask why are you looking to buy a truck the most expensive way thru LP.Which will be at a much higher interest rate then someone with good credit and a good down payment.If you want the most leverage pay cash for your truck.Guys use the term about tying up capital what that actually means tho is they don't have the cash to start a business.And best advice is wait and save get your credit in good shape don't just get involved with some LP company because they'll sell you a truck nowAnd companies that allow you to walk away what your not saying about those companies is they also don't report made payments to any credit bureau So if later you wanted to purchase a truck it will be next to impossible to show ever even making payments on a commercial vehicle you will be still at that 1st purchase level

 

How did you purchase it trade chicken eggs.Still waiting for you to give names of those major corporations that LP there equipment

 

I wrote your down payment changes the amount you finance. It doesn't change your interest rates. It is your interest rate and the term that will determine the monthly payment. Until you assign interest that says otherwise, the saving $500 is you talking out the side of your neck. Expect between $1200-$2200 a month in payments unless you plan to put half down on a truck and bring the total amount you are financing to no more than $20,000.

I'd rather NOT put half down on a truck. I'd rather put that in a business savings account with Wells Fargo and Bank of America and use that to help me open secured lines of credit that can later be used to help move me out of the subprime lending world where I can enjoy the kinds of perks the larger fleets have access to.

I'd also rather instead have access to a program that will allow me to send that truck back and with my newly improved access to credit, be able to invest in better. And Id like to be able to do that without taking 5 years.

 

Youre explaining the art of a painting to blind man who only believes art is sculpture.

 

How subprime lending came about was explained before you entered the thread. As a start up fleet, no matter personal credit (which is awesome btw) or how many years experience, I will only qualify for subprime lending/LP programs until I can show 2 years active MC # and 1 year of strong revenues.

Whether I go to CAG (which is not LP), LRM, or the dealership (Ive tried all three), because I am in the subprime category, I specifically am looking at monthly payments between $1500 to $2000. At any one of these programs, I could put down more than the required $8,000 to $10,000 per truck and lessen my monthly payment but for what?

That $500 savings you quote specifically only comes out to $6,000.00 a year. It would take me 3 years to see the benefit of that savings. And that $500.00 savings costs me in taxes so really Id be lucky to see $200.00.. The only awesome thing would be me being able to have equity in the truck and borrowing against that should I ever need it but any lenders at this stage would still be subprime, defeating the entire purpose.

If I can take the truck back, that money would serve me a hell of a lot better putting that towards a secured line of business credit at Bank of America.....