To have a truck payment or to not have a truck payment

[Hawkjr]

i'm somewhat laying out a blueprint for buying and running my own truck one day down the line (so big diesel this is no need for you to dig into my @#! for not having a BUSINESS PLAN).. my question is would it be best to save as much money as you can and buy a cheap truck for 10/15 grand or also save as much as you can and put it towards a down payment for a truck to have a lower monthly payment???

[GMAN]

I prefer buying a cheaper truck with no payments.

[dobry4u]

Hawkjr wrote:

i'm somewhat laying out a blueprint for buying and running my own truck one day down the line (so big diesel this is no need for you to dig into my @#! for not having a BUSINESS PLAN).. my question is would it be best to save as much money as you can and buy a cheap truck for 10/15 grand or also save as much as you can and put it towards a down payment for a truck to have a lower monthly payment???

That is a tough question to answer without having the specs' there to run. There are advantages with leasing (warranty, capital lease payment deducts, etc.) and

GMAN wrote:

I prefer buying a cheaper truck with no payments.

There is a lot to be said about not having the stress of payments.

You would have to look at the lease agreement and then at the truck you wish to buy out right, then consider the market and your projected income, the cost to maintain/run the truck.. basically your ROI on both to decide.

[Cummins_444]

I look at it like this a big truck payment then the truck owns you!!! No payment or very little payment then you can take as much time off as you want. My last truck paid $5,500 cash for drove almost three years. I just bought another because the deal was too good to pass, put a little money down and financed the rest from my bank monthly payments are $398. Now I have two trucks in excellent running shape. The payment on my new kenworth is less than my pickup.

[BigDiesel]

i'm somewhat laying out a blueprint for buying and running my own truck one day down the line (so big diesel this is no need for you to dig into my @#! for not having a BUSINESS PLAN).. my question is would it be best to save as much money as you can and buy a cheap truck for 10/15 grand or also save as much as you can and put it towards a down payment for a truck to have a lower monthly payment???

Failure to plan is planning to fail.......

[Bandit102]

I vote NOT, Dave Ramsey style.

[Chiefwhatdahey]

Dave Ramsey has made millions telling people how he got out of debt, good for him but that niche is pretty well covered, for the rest of us credit is essential to running a business.

If you can find a truck with complete maintenance records and at a decent price I say finance it if you have good credit, you can take the thousands that you would outlay and invest it and probably come out ahead if you do it wisely. Don't let your ego drive your purchase, trucks are tools not toys.

When I had a high truck payment due to ego I had to work to make that payment. My last truck I bought after being out of the biz for a few years had a payment that was akin to a car note, I paid it quick and didn't have to work my butt off doing it, I still own that truck it isn't pretty or shiny but it is mine and I intend to keep it.

[allan5oh]

Yes credit is essential, but not debt.

[GMAN]

Yes credit is essential, but not debt.

I like that, Allan. Good point.

[heavyhaulerss]

my question is would it be best to save as much money as you can and buy a cheap truck for 10/15 grand or also save as much as you can and put it towards a down payment for a truck to have a lower monthly payment???

first figure out how you want to run. bigger payments would require you to stay out longer. want to run local & be home everyday ? dont get a truck payment that requires you to have to stay out longer.

[allan5oh]

I was thinking about this, honestly I think for a first time buyer payments are essential. It teaches you how to budget properly.

It also teaches you what replacement cost would be in an emergency. For someone that's been in this industry for a while, no payments at all is best.

[Hawkjr]

well around here in central virginia in the richmond area, there's alot of paper mills and wood chip hauling is somewhat the cash cow.. there's also container companies that hire like crazy in the Virginia Area but i hear that's at the bottom of the barrel...

i was looking on truckpaper.com and i see 01-03 Western Stars run pretty low, between the 17 to 24 K range... not really high on mileage i guess..

are those western stars cheaply built?? they are nice trucks but they are mad cheap??

[flood]

Yes credit is essential,

i tend to disagree with this. i have NO DEBT and i have never had a credit card, don't need credit.

[GMAN]

I don't think credit is essential, but could help in financing your initial growth. I don't think long term debt is good. I consider credit as short term, such as 30 days. I think of debt as going into years of obligation. You can finance your equipment and be successful. However, it is much better to have the money to pay cash for your equipment and enough to run it until the money starts coming in. Being debt free is always preferable to going into debt.

[allan5oh]

Yes credit is essential,

i tend to disagree with this. i have NO DEBT and i have never had a credit card, don't need credit.

The problem with that is, what if you blow your engine in the middle of nowhere tomorrow?

1) How are you going to pay the potentially $1000+ tow bill?

2) How are you going to pay the potentially $15k+ engine rebuild bill? Remember, they won't let your truck leave until it is paid.

[Cummins_444]

Yes credit is essential,

i tend to disagree with this. i have NO DEBT and i have never had a credit card, don't need credit.

The problem with that is, what if you blow your engine in the middle of nowhere tomorrow?

1) How are you going to pay the potentially $1000+ tow bill?

2) How are you going to pay the potentially $15k+ engine rebuild bill? Remember, they won't let your truck leave until it is paid.

Not necessarily…………I have an account with whiteford kenworth of southbend and westville, schilli in Remington Indiana, and a local truck repair. I’m billed for the work. So once the truck is finished I sign the invoice and drive off. They send me a nice bill in the mail. I use schilli’s breakdown while on the road. If I need a service call or tow I call them and they find the place and set it up and pay for it and they bill me later.

[flood]

Yes credit is essential,

i tend to disagree with this. i have NO DEBT and i have never had a credit card, don't need credit.

The problem with that is, what if you blow your engine in the middle of nowhere tomorrow?

1) How are you going to pay the potentially $1000+ tow bill?

2) How are you going to pay the potentially $15k+ engine rebuild bill? Remember, they won't let your truck leave until it is paid.

VISA debit card. 15-20k in savings (truck maintenance account) next

kinda like when i was out running around last year and i found the dodge ram my wife wanted color. 4x4, club cab, everything she had wanted so i just pulled out the visa debit card and drove home her PAID for truck.

it's all in the way you think if you feel that credit is good then you will ALWAYS owe someone,

look at it this way what could you do if you didn't have a houes payment, car payment, boat payment, 4wheeler payment, bike payment, how much money could you save...? btw i have all this and it's all paid for with cash. all but the house 10 year note and it's paid for now and no you DON"T need credit to buy a house.

[GMAN]

We have a very odd opinion when it comes to credit in this country. We are much too quick to use credit to finance purchases rather than paying cash. Credit and greed are the two primary reasons we have gotten into such a bad situation in this country. I saved my money and paid cash for my first truck and trailer. It can be done. All it takes is a little discipline. When I grew up and during my early years we didn't use credit or credit cards like we do today. Most people paid cash for most purchases. Many paid cash for their cars. It was rare to pay cash for a home. We got along just fine without having to borrow so much money. If you pay cash for your truck and have a major breakdown without money or credit then you are out of business. The advantage you have is that you can go to work for another company until you save enough to repair your truck. The other alternative is that you can sell your truck and stick the money in your pocket to save for your next truck or use it as a down payment on another truck. Most of us spend thousands of dollars in interest and fees each year for the privilege of using a credit or debit card. If we waited until we could afford to make most purchases we would be much better off and not have the constant pressure of making those monthly payments.

[Gunfighter]

i was looking on truckpaper.com and i see 01-03 Western Stars run pretty low, between the 17 to 24 K range... not really high on mileage i guess..

are those western stars cheaply built?? they are nice trucks but they are mad cheap??

Nothing wrong with a Star but check how they are speced out. I currently have two of them and find they ride well and are very well built.

Gunfighter

[tracer]

i was looking on truckpaper.com and i see 01-03 Western Stars run pretty low, between the 17 to 24 K range... not really high on mileage i guess..are those western stars cheaply built?? they are nice trucks but they are mad cheap??

western star is the same freightliner. both are built at the same plant. the only difference is western star has a steel cab so that it's somewhat heavier than a freightliner. when a truck's too heavy, you may be limited in your choice of loads. also, classic trucks have a long wheelbase (with the steer tires at the very bumper). aerodynamic trucks are easier to manouver in tight spaces (like truck stops, shippers/receivers warehouses etc.). despite their many practical advantages, aerodynamic trucks lose their value much faster than classic trucks: it's hard to sell them if you run into an emergency situation.