And don't fall for the 'lease rate' crap the leasing companies push. Let's say you get a 5-year lease on a 100K piece of equipment. The leasing company will quote you a leasing rate of something like 2.5%, with a payment of $2500/month, with a dollar buyout. The naive assumption is that 2.5% is the interest rate. Which would be a great rate. Unfortunately, this isn't actually what it is. Instead, 2.5% is the amount of the total purchase you pay each month. So this means your payment is 100K * 0.025 = $2500 per month.
If you take "100K, 5 Years, 2500/month" payment and stick it into a loan calculator, you'll find that the rate is actually 17.274%. Which is pretty bad. It's even worse that the sales people will tell you to your face how great the rate is and how it's better than your bank. And then argue with you when you tell them how bad it really is. On Fri, Feb 28, 2020 at 2:28 PM [email protected] < [email protected]> wrote: > Ritalia has horrible rates. Other companies are better. Your bank is > probably the best. > > On Fri, Feb 28, 2020 at 4:07 PM Jeff Broadwick - Lists <[email protected]> > wrote: > >> +1 on Ritalia! >> >> Also done well with Summit and LCA. >> >> Jeff Broadwick >> CTIconnect >> 312-205-2519 Office >> 574-220-7826 Cell >> [email protected] >> >> > On Feb 28, 2020, at 2:53 PM, Graham McIntire <[email protected]> wrote: >> > >> > We did a lease/finance through Ritalia and had great luck with them. I >> > can't say we had a great rate (I don't remember what it was,) but they >> > were easy to deal with and worked out well. >> > >> > Graham McIntire >> > Verona Networks >> > President/Owner >> > >> >> On Fri, Feb 28, 2020 at 2:40 PM <[email protected]> wrote: >> >> >> >> I have had a pretty good experience with John Deere on both rent to >> own and >> >> lease on a couple of mini excavators. >> >> Just ask the dealer for dealer financing. >> >> >> >> -----Original Message----- >> >> From: Dev >> >> Sent: Friday, February 28, 2020 11:32 AM >> >> To: [email protected] >> >> Subject: [AFMUG] equipment lease/purchase companies >> >> >> >> Has anyone had a good experience with equipment lease/purchase/finance >> >> companies for things like mini-ex, directional bore, etc? Our local >> banks >> >> are totally clueless on equipment, so you have to go find a broker (who >> >> takes a cut) who shops it to an out-of-state non-retail bank. >> >> -- >> >> AF mailing list >> >> [email protected] >> >> http://af.afmug.com/mailman/listinfo/af_af.afmug.com >> >> >> >> >> >> -- >> >> AF mailing list >> >> [email protected] >> >> http://af.afmug.com/mailman/listinfo/af_af.afmug.com >> > >> > -- >> > AF mailing list >> > [email protected] >> > http://af.afmug.com/mailman/listinfo/af_af.afmug.com >> >> >> -- >> AF mailing list >> [email protected] >> http://af.afmug.com/mailman/listinfo/af_af.afmug.com >> > -- > AF mailing list > [email protected] > http://af.afmug.com/mailman/listinfo/af_af.afmug.com > -- - Forrest
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