TRUCK LEASE PURCHASE AGREEMENT:

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Truck Lease Purchase Agreement: Like with any lease agreement, before signing a truck lease purchase agreement one must be well aware of the implications of the contract. Why? Because these documents contractually obligate you to all sorts of terms you must be aware of. A truck lease purchase agreement is no different. One of the most important factors is to ensure you are taking into account long term advantages rather than short term advantages. Also to weigh pros and cons before signing away on an agreement you don’t fully understand. So that’s what we will be doing in the following article; taking a look at what a truck leasing agreement is, and why you should or shouldn’t sign one.

 

 HOW LONG IS THE LEASE TERM?

 

As with all lease agreements and contractual obligations in general, it is essential to know when your agreement ends. The most common agreement times are 2-3 years, with some exceptions. Why? Since the lease in question is a truck lease, given truck prices the most affordable options are typically longer leases in the 2-3 year range. This is why some prefer to buy their fleet outright if given the option and resources. Read here to see the pros and cons between buying and leasing your fleet. An alternative “best of both worlds” option would be to agree to a lease term, and then buy the fleet outright once the lease is up. Because so many fleet operators prefer, for good reason, to keep up to speed with the latest equipment, this helps in being able to afford up-to-date trucks while still having the option to buy outright.

 

 WHAT DO PAYMENTS LOOK LIKE?

 

Here’s another obvious one, with a catch. Carriers and fleet operators will usually agree to monthly payments coinciding with the lease term. Because these typically go hand in hand. Like with all leases the lease term affects the monthly costs and vice versa. Carriers will typically work with you to find the best price you can afford. But, in some cases, carriers avoid disclosing monthly payments until after the fleet operator signs the lease. Or they may bury the pricing in the contract. As this is the most important factor in the contract, these methods don’t usually work out. But one should always be well aware of the costs before signing. If at any point you feel that your carrier isn’t disclosing prices, or hiding conditions in an attempt to misinform you – you can in some cases terminate your lease agreement.

 

SO WHAT IS THE BEST CHOICE?

 

Typically the best choice is simply to take your time and approach any agreement or contract with caution. This is why at Summit Leasing Group we will always work with you to come to the best decision. One with no hidden obligations, and no additional costs. We strive to be as straight forward as possible, always, and you can see that for yourself by contacting us here. 

 

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