Lease Purchase Is Leasing from Ryder or Penske a bad idea?

em1984

Active Member
I've been entertaining the idea of leasing a truck. I get email from Ryder offering to lease me a truck for 1400 a month with free maintenance. Is there any money to be made doing this? Or would I have to run my butt off and never be home?
 

Tazz

Infidel
16,800 a year. And what maintenance does that cover?

Breakdown, standard service, tires? And where is this maintenance done. Specific facility, any Ryder?

Do they schedule and you have to follow or is it flexible?

Term of lease?

Now what does your current truck cost a year.

If Ryder<Current go for it

If Current<Ryder pass.

Also consider equity in the vehicle. 5-7 years from now you will could own a vehicle worth 50-60k. Leasing you will still be making payments.
 

GAnthony

Methuselah
Supporter
I've been entertaining the idea of leasing a truck. I get email from Ryder offering to lease me a truck for 1400 a month with free maintenance. Is there any money to be made doing this? Or would I have to run my butt off and never be home?
one company i worked for,rented thier trucks. it was due to the contract they had with the customer.

the customer renewed the contract for 3 years. my former employer then leased the trucks (Penske by the way).

it was ONLY the tractors. it was NOT including the tires.

about 6 months into the new contract with the customer, they folded up. (DHL) and all the trucks were returned. i am not sure if there was any penalty for early returns.

so watch out for any penalties for that as well as everything else.

yes, if one leases, they may be paying for a lease continuously, but you also get a truck under FULL warranty as well till you turn it back in.

the operating expenses "may be" the same over ownership, but after the warranty runs out on an owned unit, and if you're still paying a mortgage on it as well.......you're sunk in deeper muck.

at least, you would have nearly to none "maintenance accounts" to deal with leasing, money in YOUR pocket.
 

Electric Chicken

Jock
Supporter
I'd start considering whether I'd be the type to lease a car vs buy one.

At least psychologically. Then consider the math.

Sometimes the math doesn't matter if you can't wrap your head around never owning it.

Also when you compare against purchasing, make sure the trucks you're looking at are identical so you're looking at the same purchase price for financing.
 

ironpony

Professional Pot-Stirrer
Supporter
Ryder/Penske trucks have horrible specs in general. Don't expect anything better than mediocre fuel economy. They control the maintenance, so finding out the details of how and where are important, as is what you are responsible for financially.

You need to do the business plan for your situation. Coming here and asking us, "Is this a good idea?" - none of us can really answer that. On the financials, you need to build a profit/loss sheet that forecasts your anticipated revenue, and projects your costs. That will answer your question.
 

GAnthony

Methuselah
Supporter
I'd start considering whether I'd be the type to lease a car vs buy one.

At least psychologically. Then consider the math.

Sometimes the math doesn't matter if you can't wrap your head around never owning it.

Also when you compare against purchasing, make sure the trucks you're looking at are identical so you're looking at the same purchase price for financing.
i was talking with a math teacher at the barbershop. he did all the figures and came out saying leasing cars is way better than buying.

i am leasing a car now, this Dec, will be one full year. 2 more after this.

i'll know better in the end.
 

jimmywells

Well-Known Member
I've been entertaining the idea of leasing a truck. I get email from Ryder offering to lease me a truck for 1400 a month with free maintenance. Is there any money to be made doing this? Or would I have to run my butt off and never be home?
Is mileage included? I looked into this many years ago and I seem to recall something about having to pay per mile as well.
 

Blood

Driveler Emeritus
Supporter
i was talking with a math teacher at the barbershop. he did all the figures and came out saying leasing cars is way better than buying.

i am leasing a car now, this Dec, will be one full year. 2 more after this.

i'll know better in the end.
The world is full of academic screwballs that don't have sense to pour **** out of a boot.
There are a lot of assumptions made and variables not allowed for when considering a lease.
It's not something I would ever consider.
 

Electric Chicken

Jock
Supporter
The world is full of academic screwballs that don't have sense to pour **** out of a boot.
There are a lot of assumptions made and variables not allowed for when considering a lease.
It's not something I would ever consider.
Buy Japanese or American, lease German.
 

Tazz

Infidel
i was talking with a math teacher at the barbershop. he did all the figures and came out saying leasing cars is way better than buying.

i am leasing a car now, this Dec, will be one full year. 2 more after this.

i'll know better in the end.
Have you seen these millennials try and do math? Yeah take advice from one of the people teaching them:rolleyes:
 

GAnthony

Methuselah
Supporter
Have you seen these millennials try and do math? Yeah take advice from one of the people teaching them:rolleyes:
well that particular teacher was retired many years.

i was "floored" one time when i spoke to a rather younger teacher, that taught history.

i said that i liked that subject myself. like the great wall of china, the ming dynasty, the WWI and WWII, the Korean war, etc.

he said they do not teach that stuff anymore......"it's too old he said"


like duh...History IS ABOUT OLD......
 

GAnthony

Methuselah
Supporter
The world is full of academic screwballs that don't have sense to pour **** out of a boot.
There are a lot of assumptions made and variables not allowed for when considering a lease.
It's not something I would ever consider.
well considering that vehicle age and depreciate rapidly, and the cost of repairs, to me it makes sense to lease. one either has to drive a vehicle into the ground and junk it, or sell it for dirt cheap.

leasing you say is not a good idea? yet @Injun did just that, didn;t she..??? how about @ironpony ? is he with Prime as a lease operator? you guys may not want to lease a car, but thousands of others are doing just that.
 

Tazz

Infidel
well that particular teacher was retired many years.

i was "floored" one time when i spoke to a rather younger teacher, that taught history.

i said that i liked that subject myself. like the great wall of china, the ming dynasty, the WWI and WWII, the Korean war, etc.

he said they do not teach that stuff anymore......"it's too old he said"


like duh...History IS ABOUT OLD......
My kids had to do reports for me after I read a few of their history books.
 

GAnthony

Methuselah
Supporter
My kids had to do reports for me after I read a few of their history books.
frankly, i'd want as much knowledge of any subject i study. i was at one time deep into Greek Mythology........now, i can't remember all the Gods, and what they did...but if i take the time, i can re-learn that in no time.
 

ironpony

Professional Pot-Stirrer
Supporter
he said they do not teach that stuff anymore......"it's too old he said"


like duh...History IS ABOUT OLD......
It seems we're still squabbling over the same issues brought up by the Cataline Rebellion.

63 BCE (yeah, kinda old) Cataline tried to overthrow Cicero, one of the duly elected Consuls of Rome. Mostly because he couldn't get rich off of being elected Consul himself because everyone already knew he was a scumbag... no Wikileaks required.
 

ironpony

Professional Pot-Stirrer
Supporter
how about @ironpony ? is he with Prime as a lease operator?
I leased a truck from Prime, and then bought it. Still leased under their authority.

Leasing a truck as a business asset is completely different than leasing some personal transportation for basic git around and go to work purposes. I don't recommend that anyone lease a truck from a carrier or its leasing surrogate, because of the risk involved. That being said, each opportunity is different, and has to be evaluated by the prospective business owner. The numbers add up, or they don't. Just signing a lease you haven't really read and understood because a schlock trucking company is dangling a shiny new tractor in front of you is stupid.
 

Hammer166

Instigateur №166™
There is one big oft-overlooked advantage to leasing (and preferably not from your carrier,) and that is the difference in how lease costs and depreciation are handled tax wise. When you own a truck, it is generally depreciated out before it is paid off. This can result in an substantial increase in tax liability without a corresponding decrease in truck expenditures. Whereas leasing is just another business expense, and can be written off in full. It makes it tough for first time owners, who are often running tight on money the first few years, who then have to find a way to cover the taxes on another $30k+ come year three or four.

Carhaulers are currently flirting with $300,000 out the door, and all of ours are leased, though not through a full service lease like Ryder. We generally run them 3 years, buy out the lease and trade them in on the next batch.
 

Blood

Driveler Emeritus
Supporter
well considering that vehicle age and depreciate rapidly, and the cost of repairs, to me it makes sense to lease. one either has to drive a vehicle into the ground and junk it, or sell it for dirt cheap.

leasing you say is not a good idea? yet @Injun did just that, didn;t she..??? how about @ironpony ? is he with Prime as a lease operator? you guys may not want to lease a car, but thousands of others are doing just that.
I haven't even looked at any sort of lease for more than 30 years so I know nothing about them these days but you can take it on faith that nobody is doing it as a favor or to make less money than selling outright.

Thousands or even millions do stupid crap all the time.
That doesn't make it smart.
Hell thousands of people pay HOA & maint fees on a timeshare they haven't been to in 20 years.

Hindsight is 20/20 though.
There are a lot of bankrupted people out there who wouldn't be bankrupt if they hadn't been stuck owning emissions trucks.
Virtually everyone who ever owned a Prostar with a Promaxx engine wishes they would have never heard of it.
I saw a 2013 in the paper the other day for $18k and it didn't interest me the slightest bit.
Navistar lost a quarter BILLION in the first quarter of 2014.
 

Electric Chicken

Jock
Supporter
I leased a truck from Prime, and then bought it. Still leased under their authority.

Leasing a truck as a business asset is completely different than leasing some personal transportation for basic git around and go to work purposes. I don't recommend that anyone lease a truck from a carrier or its leasing surrogate, because of the risk involved. That being said, each opportunity is different, and has to be evaluated by the prospective business owner. The numbers add up, or they don't. Just signing a lease you haven't really read and understood because a schlock trucking company is dangling a shiny new tractor in front of you is stupid.
It's easier to come up with that tax money once the truck is paid off because you can lay that money aside.

Lease payments are forever, loans are for a specific period.

The key is not buying or leasing too much truck for your revenue. And staying out of Bosselmans.
 
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