I was in the field the other day and stumbled across an existing lease for eight pieces of equipment. The customer was two years into a 5 year lease. The MSRP for the equipment that was stated on the lease is around $210,000, payments should have been about $4,200, however this companies payments were over $8,000!!
At $8,000 per month the deal would have funded $416,000 back to the Direct Branch that sold the deal. Here's the kicker, how when leasing companies for the past three years will not fund more than 150% of MSRP along with holding dealers feet to the fire for overbooked deals.
Sounds to me like there is one set of rules for dealers and another set of rules for Direct Branches. It's deals like this that give reps, branches and leasing companies bad names. The sales person and the leasing company should be held accountable for the big RIP OFF!