When you lease a truck (or for that matter, any vehicle), you pay monthly installments that are pre-decided and usually lower than installments on the same vehicle if it were loaned. However, you only own the vehicle as long as the term of the lease. At the end of the term, you handover the truck to the relevant company along with any other extra cost that you may have incurred.
Since you only ‘own’ the truck for as long as the term agreed upon, you only pay for the decrease in value that the truck has undergone under your ownership. Hence lease installments are generally lower than loan installments.
Any tax is also charged on the amount that you pay and not on the market value of the vehicle.
Leases are a cheaper option than loans for the above reasons.
Payments to be made for a Lease
Monthly payments (including a security deposit)
Licensing and registration fees
Freight and discharge
Payments you may need to fulfill at the end of a lease
The maximum distance you can travel in your truck is stipulated at the start of most leases. If you end up exceeding that limit, you will have to pay a per mile charge on every extra mile.
At the start of a lease, you can purchase extra miles at a lower cost than it would take you to pay for the same amount of miles at the end.
It would be a good idea to know a rough estimate of how many miles you are going to drive in a year before leasing a truck.
The leasing company expects some wear and tear to the truck at the end of the lease. They do due diligence before leasing anything. You should too. In case of excessive damage, you have to pay for it.
How to minimize damage
To minimize the damage to your truck, get a bed liner installed especially if you expect to use the truck as a pick-up vehicle. The liner should also not damage the truck.
If for any reason, you terminate the lease before completion, get prepared to pay a huge fine.
The used ford trucks are better leased than bought as their utility lives are short and they are prone to damage.
Paying for insurance, fuel, maintenance to individual parts etc. are your responsibility during the entire duration of the lease.
Lease terms are shorter than warranty period so warranty costs are usually covered.