Central Refrigerated Lease Program

[mike3fan]

That's sound advice. This is my 3rd truck, each time I have gotten a little nicer truck. If I buy another truck I will be in the position to buy a brand new one, but this has taken me close to 15 years to get to this point and I still will only have payments around $1,600- $1,800 a month not the $2,500 to close to $3k i hear some guys are doing. And I have never put any money down, only trade in vaule. You have to go about this whole thing is a slow methodical way, no need to make these ripoff companies any richer. I was reading on the Prime board over there and I can't believe what some of those guys are paying in weekly payments......just stupid. Don't be one of them.

No I have never worked for Central and can't give you any first hand experience, but I have been driving for 23 years now and I have seen and talked to plenty of guys that have lost it all doing these flease purchases and the only ones that come out ahead in the end is the companies.

[Skywalker]

Now, I don't own a truck, and I have never leased a truck, however..... My business experience is extensive. I have owned three businesses, and was in corporate management.

I got out of the rat race when I was 44, 15 years ago......

I will tell you this: There is effectively no valid reason to "lease a truck" from a company. You are merely footing the bill for the company, and you are taking all of the risks. All of them....and you have absolutely no control over when or where or how. Leasing a truck basically makes you an indentured servant to a company....and because they "own" the truck, and you are renting it from them....you are entirely dependent on them for your revenues. In other words....they have a set of visegrips clamped on your scrotum.... which is not an enviable position to be in.

If the lease deal was so "beneficial" to the driver....providing so much wonderful income to the driver....why, or what would be the motive for a company owned and run by a capitalist to line the lease operators pockets.....when that owner could enhance his own bottom line and reap the profits by using a company driver? Simple.....you as a lease driver pay ALL of the expenses, take virtually ALL of the risks, and when things fail, you suffer ALL of the loss! The company that leases you the truck retains ownership of the truck, the customers, all assets and skims a profit off of you....and they even set the amount of money you can make....

My advice to you: Listen to people like mike3fan and others who have been in this industry as "OWNER OPERATORS" who have successful track records!

If I had a buck for every lease operator that "failed"......I'd be in the Caribbean sampling any number of sumptuous libations fishing for my dinner and have nary a financial concern in the world....on my yacht.

[Mr Bill]

Looks like I sturred up the hornets nest on this one, but that was GOOD.

I want to thank all who responded. Great inputs, great leadership by many who have been there and have many years in the business. Advice all should take in.

Your comments were a wake up call and does make one think a little harder. I agree that with the many Good used trucks for sale, that would be a more financially safe direction to consider and work at. Any comments on looking at Arrow Truck Sales?

On haviing your own truck & leasing on to a company. Any good advise here on what to look at, for or do?

One more item. In looking at a Used truck what are your thoughts on the most important items to look at before doing a purchase. Mechanical?

Again to all thanks for your guidance and advise.

MR BILL

[zipy46]

There is a lady here where I work that told me about the status of here lease so far this year.

As of 6/1/09 she will have made 82,000 dollars...

After everybody gets thiers share (Payments,Fuel,plates,etc)...she will have pocketed 14,200 bucks.

.... thats pretty scary

[Mr Bill]

Yes a little scary. Looks like she is on schedule to a little more then $28K for the year.

Makes for a tight family budget.

Thanks for your input.

MR BILL

[jonp]

Run your lease, before you sign, by a certified financial planner and let him/her run the numbers for you. I bet they run screaming from the building.

Do not lease a truck from a company and then lease it back onto them. I have not run across one person that made more than a company driver without the increase in headaches. That's if they make it at all as a lease/purchase driver.

[belpre122]

Yes a little scary. Looks like she is on schedule to a little more then $28K for the year.

Makes for a tight family budget.

Thanks for your input.

MR BILL

Hey Mr. Bill!!

Any other irrelevant questions? .......errrrr Would you prefer to just creep quietly back to the dark hole from whence you emerged?

AZZHOLE!!

[jburd]

Mr. Bill,

I heard all the horror stories about the lease/purchrape programs here.I even have talked to other truckers about it.
So I asked my recruiter and he said don't,even one of my traiiners in San Antonbio said it was a rip-off.
Straight from the horses mouth so to speak.
I'll stay a company driver and keep the $$ in my bank and not thiers.
Here's only one example.....2007 KW T2000......about 104k from them,from a dealer about 50k or less depending on milage etc.Can you say anal lube?

[zipy46]

Why not just get a decent used truck for 40 to 50 K and hook on with Landstar
(or similar) and have a go at it.

Leasing sounds like someone who has an independent spirit but just goes about ownership
the completely wrong way.

There a many ways to skin a cat.

I wonder what are the stats on someone who begins a lease and bails out on it ?

Where I work only a small percentage 'go the distance' and make the balloon payment of 30K or so
and end up with a truck of their own.

[TNMT]

How much cash on hand do you have free and easy sitting around in the bank that you could use for this adventure other than lets say a down payment? Down payment money does not count you need a reserve cash for the truck.

If were to do this LOL I wouldnt think about it unless I had around 5 grand reserve money for breakdowns, tire repairs, misc repairs so forth and so on. NO or little reserve money equals fail!!!!

What happens you may ask is this No cash reserve means if you have C Cards you put it on that with an absurd interest rate, going into the hole bad. Then you max out said cards now what? A huge hole to start.

Second is you borrow money form friends if you have any left, and from family, more debt on top of the debt you are already in from the max out cards, member that outrageous interest its still adding up.

OPPs no c cards to fall back on your family and friends have cut you off, now maybe a payday loan to see you through another month LOL 500% interest on top of all that other debt your into.

Dang now you gotta somehow see if the company your lease to can help somehow make the repairs for you which they will take out of your settlement if your lucky each week which means less money to pay back all the other debt your into.

Sooner or later your going to be so broke that no matter what you do legal or illegal you wont be able to run enough miles in a week to make it. 24/7 no sleep, no breaks, no hometime and living like a rat in your truck and still lose it all.

Lets not even talk about how your going to pay the bills at the house yet

Then you will be another lie'n no good poor attitude lazy bad business driver post'n your woes on the internet.

But then again you maybe you will get through a less with zero breakdowns no flats no unforeseeable added expenses LOL

[zipy46]

How much cash on hand do you have free and easy sitting around in the bank that you could use for this adventure other than lets say a down payment? Down payment money does not count you need a reserve cash for the truck.

If were to do this LOL I wouldnt think about it unless I had around 5 grand reserve money for breakdowns, tire repairs, misc repairs so forth and so on. NO or little reserve money equals fail!!!!

What happens you may ask is this No cash reserve means if you have C Cards you put it on that with an absurd interest rate, going into the hole bad. Then you max out said cards now what? A huge hole to start.

Second is you borrow money form friends if you have any left, and from family, more debt on top of the debt you are already in from the max out cards, member that outrageous interest its still adding up.

OPPs no c cards to fall back on your family and friends have cut you off, now maybe a payday loan to see you through another month LOL 500% interest on top of all that other debt your into.

Dang now you gotta somehow see if the company your lease to can help somehow make the repairs for you which they will take out of your settlement if your lucky each week which means less money to pay back all the other debt your into.

Sooner or later your going to be so broke that no matter what you do legal or illegal you wont be able to run enough miles in a week to make it. 24/7 no sleep, no breaks, no hometime and living like a rat in your truck and still lose it all.

Lets not even talk about how your going to pay the bills at the house yet

Then you will be another lie'n no good poor attitude lazy bad business driver post'n your woes on the internet.

But then again you maybe you will get through a less with zero breakdowns no flats no unforeseeable added expenses LOL

Why so much of the self defeating mindset... ?

I was really holding out for some positive and creative vision here

Truckers are really bad about brain crapping upon their selves... really now..

Think Positive...Fear is a good ally...but it should not over ride ones dreams and visions

[P A Frederick]

How much cash on hand do you have free and easy sitting around in the bank that you could use for this adventure other than lets say a down payment? Down payment money does not count you need a reserve cash for the truck.

If were to do this LOL I wouldnt think about it unless I had around 5 grand reserve money for breakdowns, tire repairs, misc repairs so forth and so on. NO or little reserve money equals fail!!!!

What happens you may ask is this No cash reserve means if you have C Cards you put it on that with an absurd interest rate, going into the hole bad. Then you max out said cards now what? A huge hole to start.

Second is you borrow money form friends if you have any left, and from family, more debt on top of the debt you are already in from the max out cards, member that outrageous interest its still adding up.

OPPs no c cards to fall back on your family and friends have cut you off, now maybe a payday loan to see you through another month LOL 500% interest on top of all that other debt your into.

Dang now you gotta somehow see if the company your lease to can help somehow make the repairs for you which they will take out of your settlement if your lucky each week which means less money to pay back all the other debt your into.

Sooner or later your going to be so broke that no matter what you do legal or illegal you wont be able to run enough miles in a week to make it. 24/7 no sleep, no breaks, no hometime and living like a rat in your truck and still lose it all.

Lets not even talk about how your going to pay the bills at the house yet

Then you will be another lie'n no good poor attitude lazy bad business driver post'n your woes on the internet.

But then again you maybe you will get through a less with zero breakdowns no flats no unforeseeable added expenses LOL

You are a dick. Please disregard everything this guy could have or will possibly say. All he has done for the last few hours is post on every thread his own cynical view of the world. Go somewhere else please.

[TNMT]

but it should not over ride ones dreams and visions

Fine line that one is, not to be confused with reality and delusion

Can't count the lost souls who tried to be L/O and O/O over the years too many for me to try it. Do some make it sure they do, some people live after the big jump off of the Golden Gate bridge but I aint going to do any jumping anytime soon to see how lucky I am

Faster to buy the shovel to dig a hole, than it is to climb out of the hole, after you fall into it If the risk was 60/40 or 50/50 heck maybe even 30/70 on success then maybe but i bet its really more like 1/99 that make it. Its a win win for the company if you bail out they win, if you complete lease, they still win. Im not playing a game against someone who always wins.

The risk to profit ratio is not there. Too much risk not enough profit to justify taken the risk in the first place.

Here is a thought if a truck is such a huge money maker why would anyone lease it out to someone else to make huge money off of it? Cause they are good people that want to take a lose to help out a stranger?

You cant sit at a terminal for a day at a company that does the lease thing and not hear or talk to at least one if not two broke drivers leaving the lease deal Yea I want some of that action

[TNMT]

You are a dick. Please disregard everything this guy could have or will possibly say. All he has done for the last few hours is post on every thread his own cynical view of the world. Go somewhere else please.

Cynical better to be cynical than walk the world wearing rose colored glasses. The way the lease program is operated today in the trucking industry should be outlawed and anyone that offers a lease program should go straight to jail........ Hows that for cynical???


One of the biggest reason to fail is lack of capital going into a lease, and those that lack the capital to succeed, is the target group of the lease deal hows that for cynical?

True story not making it up. Yea I know not much different than once upon a time This husband and wife team I talked to just came off a failed lease deal. They were on their way to another company to be company drivers to build up a cash reserve and to catch up on their bills so the could try yet again another lease deal with someone else. OK check it out that would be their 5th try at a lease program all of which they failed at Hard working people that just got unlucky, lease programs that insure your failure? Or are they just too stupid to do it? Stupid enough not to know they are to stupid to make it? Ill let you make the call.

[P A Frederick]

Everyone on this thread pretty much has stated that lease programs are nothing but a scam where the companies make money and you don't. HOWEVER, if you purchase a truck and really run it like a business (thats the catch) then you are very capable of making money as an owner operator. If you had read the entire thread where everyone was saying lease purchase was such a bad deal, maybe you would understand most of the people here are against it.

Being a lease operator and an owner operator are pretty much two different worlds...

[TNMT]

Everyone on this thread pretty much has stated that lease programs are nothing but a scam where the companies make money and you don't. HOWEVER, if you purchase a truck and really run it like a business (thats the catch) then you are very capable of making money as an owner operator. If you had read the entire thread where everyone was saying lease purchase was such a bad deal, maybe you would understand most of the people here are against it.

Being a lease operator and an owner operator are pretty much two different worlds...

I assume you are talking to me? If not I apologize up front. If your talking to me let me ask you a question. So everyone else can add there two cents to this post but I cant? At what point did you become the sole authority on who can and cannot offer a view point? Use your authority to move this post to the dead piles if you think everything that needs to be said has been said.............. Instead of trying to shut me up,and the use of a insult(Dick), try to reinforce your argument.

The lack of enough capital going into L/O or O/O will equal epic fail thats my point now rebuke it if you can.

Central and JCT to be fair have maybe the most honest lease deals out there that being said if you weigh the advantages vs the disadvantages the disadvantages still out weigh the advantages.

[zipy46]

I assume you are talking to me? If not I apologize up front. If your talking to me let me ask you a question. So everyone else can add there two cents to this post but I cant? At what point did you become the sole authority on who can and cannot offer a view point? Use your authority to move this post to the dead piles if you think everything that needs to be said has been said.............. Instead of trying to shut me up,and the use of a insult(Dick), try to reinforce your argument.

The lack of enough capital going into L/O or O/O will equal epic fail thats my point now rebuke it if you can.

Central and JCT to be fair have maybe the most honest lease deals out there that being said if you weigh the advantages vs the disadvantages the disadvantages still out weigh the advantages.

JCT ?... 'most honest lease deal" ?.. ..

I talk to many of his drivers because I was once interested in this company... and the all say they same thing...

You arrive on time 'or else' ... it a "service failure"..."you're canned' .."lease canceled"......log books be damned !

John Christner is pulling off the Perfect Crime...

What a freakin Pimp

[P A Frederick]

It is very possible to make it as an owner operator. Notice my post where I described the best way to do it. Work hard, save up as much money as you can. Its not easy. Some guys figure they can go out, buy a truck, and run it like they have been and make money. Its not that easy. You have to run it like a business. Every decision you make, every load you take, you have to look at your bottom line. You have to make money.

You obviously didn't read my post if you think I disagree that lack of enough capital will cause you to fail. You have to have a down payment first, and an emergency fund second and both of these are essential to owning your own truck. Most guys get into a lease because they don't have these two. They are looking for the "easy way." They figure no money down lease plus, they can work out a payment deal with the company for repairs/service to the truck. Its not worth it. The company will rip you off any which way they can.

Also, I'm not saying you shouldn't be able to post on this thread or any other, I'm just making it clear that we shouldn't pay you any mind. You write things on here without reading the entire post (I know you didn't because you wrote some of the same stuff anyone else did). Then you go to some of the other threads and do the same type of thing. (Check out this guys post on the "My outlook for a new hire")

Do whatever you want. I'm not going to spend any more of my time with you. Have fun.

[TNMT]

LOL yea I didn't say it was good, and I didn't say it was something you wanted to do. Just honest, they are going to let ya know how they run, its up to the driver to figure out if its for them. Plenty of fools out there just love to be worked to death, take all the chances in the world to own their own truck and pretend they are getting somewhere in life.

Plenty of drivers just love companies that don't follow the rules if your allowed to break every DOT rule out there to make your x number of miles per week, why that's the tune they wanna hear. They will be more than happy to do it, so they can own that magic truck.

Well anyway on time or not thats something other than the terms of the lease. Unless of course its in the terms of the lease itself. IF in the lease it does say "on time del is required on all loads, legal or not" I guess who should have read and understood that little item. Seems you done some of the homework bout them so you would know this going in and if that's what you wanna do. Honest doesn't mean its good or legal

Yes Ive talked to their drivers most are just tickled pink that they are allowed to work 15 to 20 hrs a day. Log it anyway they can as long as it looks legal. Happy Happy they gonna to make it to the end no matter what they have to do to get their own magic truck.

Come on every wanna be owner op knows that the magic truck is worth, no life, fines, possible jail time, financial ruin, and maybe your life so you can line your bosses pockets.

Someday they will be at home "Braaa haa haaa, I got a magic truck, magic truck. Look honey, look kids, Daddy got the magic truck in the drive way. Yahooo good times are here to last. Magic truck. M....A....G....I....C whats that spell KIDS magic, magic truck".

[TNMT]

Well PA sometimes things need to be said over and over again for some of those with thick heads, sometimes the same point needs to be made over and over again.

One person says it its easy for the thick headed ppl to say well thats just one person opinion, ok maybe a couple of ppl opinons. OK maybe its not a good deal cause everyone is saying it.

OH and as "if" I am the only one ever in the history of forums to repeat what someone else has said Maybe someone will listen to you and they way you express your thoughts then again maybe someone will listen to me and the way I express it. Or they will not listen to me or you they just may listen to another person who has said the something.

If I say something in your judgment that has been said before please feel free to skip over it no need to waste your time rereading info that you already know why that would be a waste of your time I say again I'm sorry I have the power to waste your time, Ill try to keep that power in check when ever I see that you have posted your correct opinon in a topic.

Opps did you read this