i guess that would explain your poor credit and lack of ability to get a truck loan. ...and you want to be a businessman?
By law your company has to pay you interest on any money they in an account.
Fleese Operator....And I Like It!
- Thread starter Amarillo
- Start date
i guess that would explain your poor credit and lack of ability to get a truck loan. ...and you want to be a businessman?
By law your company has to pay you interest on any money they in an account.
there are lenders that will work with people all they have to do is ask!!
Duck
Sarcastic remark goes here
What in the hell does his mistrust of banks and government have to do with his financial situation or his credit rating? All that means is he's capable of reading a freakin' newspaper!
Rubber Duck,you seem to be one of the few that has the ability to comprehend the English language.Let me say one more time,I don't have bad credit,poor credit,or subpar credit.I just don't like to borrow money,matter of fact I hate it.I spoke with my banker,known him for 25 yrs or more.To finance a truck that I would drive and take the risk on would be in the 45 to 50k price range.Then I would have to have 10k or so to back up any maint. issues.I have money set aside for emergency or any thing that might happen.I never touch that money,period.So to get a loan for a used truck I would have had to use my home as collateral.My bank doesn't think to highly of a mobile asset running all over the country(small town bank).Sure they would loan me the money,no problem.I'm not willing to risk my home and savings on a used truck one man operation.I worked very hard for what I have and am going to keep it.I'm set up for anything that comes down the road.If I decide to quit working here tommorow,I can make it a year or so before I would need to find another job.I've seen that about 70% of truck drivers can barely make it week to week on they're pay checks.I did that crap along time ago as a young man and figured out thats not for me.
providing you don't live in ca or plan to run in ca you can get a decent truck for 10-20 k verses leaseing one? have you tried arrow truck they work with people in your situation know two drivers that got two nice petes from em and there 09
Thats good advice,I live in a small town in New Mexico,right across the TX. line.I researched arrow and a couple of other truck sales company's.Heard both good and bad.It's all about finding that right truck,that won't kill you that first year.My situation is not going into debt at this time.My thinking on things may be crazy but I feel I'm making the right choice for me.Here's what I think.
By leasing this truck,what is my risk factor?at this point it is 0.Did I go into debt 100,000 dollars for this truck? No,ACT did.Do I have to worry about maint. issues? No, it's under factory warranty,ACT also added an extra 100k miles on the factory warranty thats included in my payment.That's 600k or 5 yrs warranty.That warranty should be good all the way through the lease and maybe then some.ACT doesn't run big miles,my average is 2200/week right now.I figure this truck will have approx.600k on it when it's paid off.If I ride this out I will have put the majority of the miles on it myself.I should by then know every rattle or strange noise this truck makes.I am running it as if I had just went out and plopped my hard earned money down and bought it.Hopefully I will own it and know it has been maintained in top condition.
Thats one of the things that scare me about buying from arrow or one of the big truck sales outfits.They sell mostly fleet trucks.When you're paying a company driver .30/mile,that truck is going to get the **** drove out of it.The only time that truck gets proper maintenance is by force.I know because I've worked at these company's before,I've driven trucks that they wouldn't do a PM on for 45k miles.That's not the kind of truck I want to own.While driving one of these trucks I often thought to myself
"Man I would hate to own or buy this POS"
The other thing that scares me right now is the U.S. gov.Mainly the people running this country.All it's going to take is some nutjob over in the middle east to sink one of those supertanker's(which they're threatining to do right now) and fuel prices will go up like a rocket overnite.Fuel prices put alot of truckers(mostly small one man company)out of buisness just 2 1/2 years ago when fuel hit 5.00/gal.I think its when not if that something bad is going to happen.The gov. of this country is doing everything possible to shut down oil pruduction in the U.S. If fuel prices rose to 5,6,or 7 dollars a gal.It would devistate the small trucker.
Like I said I might be crazy but I want to be prepared for the worst and hope for the best.
thats what most drivers do id buy a cheap truck and start off then fix it up along the way then later on sell it off and get a better one
. no driver starts off in a brand spanking new pete 389 lol. when my friends bought there trucks from arrow they insisted that they drive it off the lot and put it on a dyno to see what state it's in. i bought mine through a pvt sale and still insisted to put it on a dyno and they even had all the maitnance work done on it as they just wanted the down payment for a custom trk. did you read yor warranty and whats covered and whats not covered? but yes you got a newer truck and your putting all the miles on it your self so you know what the trucks been through and how it's been driven! thats true most arrow trucks are fleet truck and have had the crap drove outta em and maintained by force or just barley to meet dot regs as mega carriers just junk em off in 2-3 years and buy new ones. right now is a crazy time to be an O/O with fuel prices the way they are you could wake up tomorrow and fuel will be 5.00 a gallon theres alot of O/O struggling to make ands meet. i say we boycott iraq seeings how were drilling for oil here why buy it off a country that hates us?? i hope it works out for you and you make it through it.
and learn how to do repairs yourself and maintance yourself you'll save alot of $$ vs putting it in the shop to fix it
Duck
Sarcastic remark goes here
One thing to consider about buying (or even leasing) a used truck is the odometer. At 500-600k, it's due for some expensive things to break, like the turbo. Only buy a truck that was owned by some anal compulsive guy who kept meticulous records of everything, AND one that has recently had the turbo and all those other expensive things replaced.
I agree with you,Know alot about gas engines as I grew up on a farm.Used to swap engines in pickups and do all the maintenance on every thing ourselves,but never learned about diesel's.I've learned alot just driving some of the trucks I've driven over the years and wish ACT went as far west as where my home is.I would love to do more work on it myself.
Had the first PM done on it a couple weeks ago,called ACT and ask them where to go.They told me my choice T/A,Petro,or if I wanted cheap,go to wingfoot.I was going across 80 headed east, the wingfoot was in Gary,IN.So wingfoot it was.I haven't stopped in Gary for a couple of years,because I hate that place,what a rat hole.ACT sent over they're PM check list the tech has to fill out and send back.Well I saw it the same time the tech did,it was a 100 pt. check list.Needless to say they were not thrilled to see this.The tech I had was cool though and did a really good job,I stood there and watched every move he made on my truck.He didn't seem very experienced,but did the work right and didn't complain.When I went to sign the bill they pulled up our acct. with the company discount and the total was 209.00.Again they were not thrilled.Told me next time i come there I have to bring them a pizza.I guess I would go back....with a pizza!
I love Trucker/Lawyers, No by law ACT does not have to pay me interest on my acct. with them. Its called a trust acct. ACT is not a bank,it's a trucking company.I'm letting them hold my money legally "In Trust".A 100,000.00 1yr C.D. at a bank pays 1% interest right now.Thats 1000.00 to let a bank hold your money for 1 full yr.Even If ACT held my 300.00 for 1 full yr. and was going to pay me interest,they would owe me .09 cent's......C'mon man
I hear that BAR exam is a tuffy,Keep up the study's though!
I could be wrong, but you might want to look into that a little closer. I know OOIDA has taken many trucking companies to court over this issue. Maybe ACt found a loophole. I know my company has to pay me interest on my $300 (I don't even remember what its for). Yep, the interest isn't much, but it is the law.
Here it is: You may want to read it in its entity.
(5) That while the escrow fund is under the control of the carrier, the carrier shall pay interest on the escrow fund on at least a quarterly basis. For purposes of calculating the balance of the escrow fund on which interest must be paid, the carrier may deduct a sum equal to the average advance made to the individual lessor during the period of time for which interest is paid. The interest rate shall be established on the date the interest period begins and shall be at least equal to the average yield or equivalent coupon issue yield on 91-day, 13-week, Treasury bills as established in the weekly auction by the Department of Treasury."
http://www.ooida.com/Education&BusinessTools/Resources/Leasing_regs_Q&A.asp
Krelithous,You mentioned in an earlier post about how 84% of lease purchases fail.I agree with your percentage.What about the 16% that succeed?Nobody wants to ever talk about them.Well I do because I'm one of them.In my o/p I mentioned having leased other trucks for a mega carrier.I did 3 one yr. leases with USXpress.The first one was on a 07 freightliner with a cat accert engine(the only thing they're leasing now)what a POS,had nothing but hell with that truck on top of very poor fuel mileage.I made the deal so I stuck it out and did OK,made 37k that yr.Then they offered me a new pete 387 with 0 miles on it.That was a good truck and I made 48k that yr.I released that same truck the next yr.because it was a good truck,got good fuel mileage and made 53k.
The reason 84% fail is because they get into a lease for all the wrong reasons and every one of these reasons they look at backwards.#1 you get a fast truck,#2 you get to turn down loads,#3 you can go home when and how long you want to.To address #1,fuel mileage is the name of the game any more,if you drive a truck hard and fast you get bad fuel mileage,everybody knows that.At ACT they're big thing is fuel mileage.I was used to chasing miles at US. and never hardly had a week under 3000.I am working real hard on changing my bad habit of driving fast.
The last 2 weeks I've tried not to pull a load over 60mph.ACT is not a big mileage company,as I've stated my avg. miles per week are around 2200.My biggest expense is fuel and its something I have control over.I delivered a load tonight that was out of Chicago going to Fountain Inn SC. Its pretty hilly through KY,TN,NC and SC, but I set the cruise on 59 the whole way and got 8.4 mpg.I'm darn proud of that!Pulled one last week on flat ground 700 miles and got 9.3 I don't pickup till noon tomorrow going back to Indy for 0600 del. on Thurs.So whats my hurry?To get to a truck stop and shoot the bull on the c.b.?No.I can't wait to see the difference on my check the next couple weeks.You got to use your head and figure out how to cut your expense's that you have control over to maximize profit.By the way my truck will run 72
#2 Turning down loads.ACT about 50% of the time sends me 3 loads to pick from.Depends on the day of the week but I'm still learning they're freight lanes,good and bad.On Fri. I like to be around the Chicago area,TX,or the Carolina's.I've only turned down 1 load in 2 1/2 months that I've been here and that was because of hours,I just couldn't run it legal,not even close.ACT audit's your logs real close,so there's no use trying to do something stupid.
#3 Hometime.This is the number one reason guy's fail at leasing.They get to making some pretty good money and start staying home that extra day or two,pretty soon they fall behind on they're truck pmts. Get a couple of slow weeks and boom,the company is screwing me and they made me go broke,I gotta go home every week or two and the company screws me around.Yeah right.What about the American soldier that's protecting all of us around the world.That hero's paid crappy wages like us and stays gone 6 months sometimes a year away from his family.Heck yeah he misses them,but he takes care of business and knew that going in.I've never seen a soldier crying about how bad he's treated and why he can't come home every week.The difference is,they got PRIDE and DISCIPLINE!
The reason 84% fail is because they get into a lease for all the wrong reasons and every one of these reasons they look at backwards.#1 you get a fast truck,#2 you get to turn down loads,#3 you can go home when and how long you want to.To address #1,fuel mileage is the name of the game any more,if you drive a truck hard and fast you get bad fuel mileage,everybody knows that.At ACT they're big thing is fuel mileage.I was used to chasing miles at US. and never hardly had a week under 3000.I am working real hard on changing my bad habit of driving fast.
The last 2 weeks I've tried not to pull a load over 60mph.ACT is not a big mileage company,as I've stated my avg. miles per week are around 2200.My biggest expense is fuel and its something I have control over.I delivered a load tonight that was out of Chicago going to Fountain Inn SC. Its pretty hilly through KY,TN,NC and SC, but I set the cruise on 59 the whole way and got 8.4 mpg.I'm darn proud of that!Pulled one last week on flat ground 700 miles and got 9.3 I don't pickup till noon tomorrow going back to Indy for 0600 del. on Thurs.So whats my hurry?To get to a truck stop and shoot the bull on the c.b.?No.I can't wait to see the difference on my check the next couple weeks.You got to use your head and figure out how to cut your expense's that you have control over to maximize profit.By the way my truck will run 72
#2 Turning down loads.ACT about 50% of the time sends me 3 loads to pick from.Depends on the day of the week but I'm still learning they're freight lanes,good and bad.On Fri. I like to be around the Chicago area,TX,or the Carolina's.I've only turned down 1 load in 2 1/2 months that I've been here and that was because of hours,I just couldn't run it legal,not even close.ACT audit's your logs real close,so there's no use trying to do something stupid.
#3 Hometime.This is the number one reason guy's fail at leasing.They get to making some pretty good money and start staying home that extra day or two,pretty soon they fall behind on they're truck pmts. Get a couple of slow weeks and boom,the company is screwing me and they made me go broke,I gotta go home every week or two and the company screws me around.Yeah right.What about the American soldier that's protecting all of us around the world.That hero's paid crappy wages like us and stays gone 6 months sometimes a year away from his family.Heck yeah he misses them,but he takes care of business and knew that going in.I've never seen a soldier crying about how bad he's treated and why he can't come home every week.The difference is,they got PRIDE and DISCIPLINE!
Mr. Q
Silent Observer
[MENTION=8856]Amarillo[/MENTION]
You've mentioned that not many people discuss their success as lease operators. There are only a couple of successful l/o's that have shared their stories on this site. I'm not interested in leasing a truck at all, but I love reading about everyone's success stories.
You all should be bragging about your success. If I signed a fair and legit lease agreement and was successful, then I would be bragging about it.......to those who are willing to listen that is.
Keep up the good work.
You've mentioned that not many people discuss their success as lease operators. There are only a couple of successful l/o's that have shared their stories on this site. I'm not interested in leasing a truck at all, but I love reading about everyone's success stories.
You all should be bragging about your success. If I signed a fair and legit lease agreement and was successful, then I would be bragging about it.......to those who are willing to listen that is.
Keep up the good work.
Duck
Sarcastic remark goes here
I'd assume that the overwhelming majority of "successful lease operators" wouldn't have the time to get online and explain cuz they're either driving or sleeping. Comparing home time to being deployed overseas is ridiculous. If you can't make the number work while being home 2 days a week, something's wrong.
theres been people on here they talked about completeing there lease purchase. yea most fail cause they wanna be home all the time and they do make a big deal outta that when your looking into a lease agreement most also fail because they refuse loads heck id'e run a 300 mile load who knows where you wind up frieght might be hoppin!! and as far as home time i heard of drivers staying out months at a time trying to make a breaking point. then you got the contracts that have so many charges on them you'll never succeed and own the truck and a ballon payment at the end!! i'm not gonna buy that truck knowing it has 600-700 k miles on it cause it will start needing repairs. weather you own the truck your a slave to that truck as a truck is a cash whore. fuel is a killer tires are to. most do get into it for the wrong reasons hometime be home all you want the truck still has to be paid for weather you like it or not. yea most refuse loads heck i'm not gonna cry over a 300 mile run who knows where they send you frieght might be hoppin!! yes i like to go fast to and run hard but thats less profit i'm making when my mpg starts to drop as well. though it's nice not having a truck thats goverened off cause it always happens when you try to pass some ahole always speeds up just enough so you can't pass. i usaly get 5- 7.2 mpg. first time i heard of ACT as there not out in commieforina they seem like a good company. yes you do have controll over your fuel by how fast you drive and what fuel saving devices you put on your truck to make it more fuel effcent as well! and some leases you can't modify the truck eathier if you want an apu forget it. i agree with ya on most of em wanting home time then falling back on there lease and they cry cry cry how the company screwed em and or the same goes for refusing loads as well. and most newbies just getting into driving have no clue what there getting into when they start driving most think it's a 9-5 job and home every night!! then it smacks em in the face lol. as it pays to do research to as what your getting into and take contracts to your laywer and accountant to see who it benifeits them or you as most just sighn there life away and ride off into the sunset thinking what a glamourous life they have till the bills start piling up. then there will be slow weeks and there getting crap miles well the truck still needs to be paid for common sence tells me if i don't have no money saved up to cover my rear then i shouldn't be leasing in the first place. if there new they should just be a co driver and see if it's truly what they wanna do for there carreer learn the bussiness. i never seen a soldier cry and complain about his wages or not being home every nigh. they do have pride and disipline. another reason most fail is once they get paid there out spending it all. using this for an example the driver dropped a load and made 800.00 bucks theres no taxes taken out of that so the goverment will want to get there hands into your stach and what about building up revenue incase something does happen if the trk needs an overhaul towing is not cheap eathier.
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