Wagon Leasing offers two leasing programs for your equipment needs. To determine the one that is right for you, we must look at the type of equipment, the length of time you intend to use the equipment, and whether or not you wish to purchase the equipment at the end of the lease.
True Lease / Operating Lease
- The lease term is typically shorter
- At the end of the lease, the equipment is returned to the lessor or may be purchased at “Fair Market Value.
- Lease payments are expensed
TRAC Lease (Terminal Rental Adjustment Clause)
- Used only for motor vehicles and trailers
- At the end of the lease, the equipment may be purchased for a pre-determined amount (Trac Value or Projected Value). If not purchased, both lessee and lessor share in the residual sale of the equipment.
- Lease payments are expensed
