What's with all the cheap leases all of a sudden? These things are cheap. Spend an hour watching television and you'll believe that a Mercedes at $159 a month is a perfectly reasonable price. But you know it ain't. Your grandmother told you something about this, I'll bet… "if it's too good to be true…"
|So, right now, cheap leases are the Big New Deal. Only this new deal is just another one in an ongoing cycle of the exact same "new" deals. I've watched this same parade three or four times already in my career, and I'm still young enough to ignore half-price adult diapers. Sadly, this New Thing is the Same Old Thing, and I know how it turns out. Somebody always gets burned.|
When do you stop repairing and start shopping for replacement vehicles for your fleet? The industry trend has been toward longer lease terms, which naturally means more miles and more things that need to be repaired.
Generally, it's a bad idea to spend more on repairs than the vehicle is worth, but it happens often. A good rule of thumb to avoid this is setting pre-arranged caps for repair spending geared to current mileage, so that high-mileage vehicles near retirement don't fall prey to unexpected major repair costs.
Regular maintenance can extend the life of your vehicles substantially— and give you fair warning of impending problems or concerns. Commerce Lease Group can't keep you from having to repair or replace your fleet vehicles eventually but we can give you a good idea of what to expect along the way and how to plan for bumps along the road.
Can you have trade equity in a lease? Well, not technically, since the lessee doesn't actually own the truck, but we sure seem to give a lot of it away!
CLG makes a regular practice of giving most or all of the equity we realize in off-lease sales back to our customers, in the form of credits against new leases. We do this for a couple of reasons.