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OPTSGUY

When a $ is "significantly lower" than others, especially in the maintenance portion, get the details of the agreement and look for:

1. Annual hours of usage (by hour meter). Often a rate is based on fewer hours than you will actually use these machines. Meaning you will pay dearly for over time use.
2. How long is the rate really good for - 1 -2 years - it is not uncommon that there maybe be a clause that at the end of a 1 or 2 years (or some time less than the equipment lease period) the dealer has the right to increase the maintanence portion.
3. Find out was is really covered and get a their definition of abuse - I had a customer get billed for a leaky power steering cylinder claiming it was abuse - by a competitive Toyota dealer.

This happens more than you think. I took an account away from Toyota for the above reasons. AS an example This customer, well known company, operated 7/24 365 and they allowed 1960 hours of annual usage - in actuality - the hours use were over 3000. This was a 5 years lease in a nasty environment. They (the customer) had to get out the big check book at the end of the lease. Remember the "Devil You Know Is Generally Better Than the Devil You Don't Know". Plus, getting a new supplier is like getting married - you never discover the real ISSUES until you start living together.

Remember Sales People only follow the direction of their management and policies of the owner. Secondly, things like maintenance rates are set not by sales people but by the Service Department, who has to live with any contract. If they don't follow directions and guidelines, like all of us they will be fired.
  • Posted 27 Jun 2009 23:14
  • By johnr_j
  • joined 3 Jun'06 - 1,452 messages
  • Georgia, United States
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