Overhaul Vs. Purchase
You have driven your truck for as long as you can remember, but it is starting to make funny noises and the exhaust is a few shades too dark. It was bound to happen eventually; the engine is starting to show its age. Reaching into the pocketbook for either an overhaul or purchasing a different vehicle is an expensive investment, so it is imperative to make the right choice the first time.
What is Overhauling?
An overhaul is when a skilled mechanic takes the entire engine apart and examines each piece, down to the smallest nut, and replaces things that are either causing problems now or bound to become problematic soon. It is important that the mechanic knows the engine schematics inside and out, as one missing spring can potentially do worse for the engine than never overhauling it in the first place.
Purchasing, in contrast, is exactly what it sounds like: buying a vehicle that is not necessarily new, but is certainly newer than what it is you are driving now.
Factors to Consider
While we would love to say there is a clear-cut answer to this debacle, that is not the case. Ponder these possible reasons for one choice or the other.
Sentimental Value
Are you a fleet owner and this is your very first truck? Are you an owner-operator who is driving the truck of your father and grandfather? If you, for whatever reason, have an affinity for your current vehicle, perhaps you may want to at least think twice before scrapping it.
Price
An engine overhaul can cost anywhere from $15,000 to $40,000 for parts and labor. Get a quote for the overhaul, then look online to see what used truck you could get for a similar price, and estimate how many miles it would take before that truck needs to be overhauled as well. You might also be willing to pay a little more (or less) than the cost of the overhaul to get a different truck, so the pricing is more flexible.
Unfortunately, we are not in the business of financing engine overhauls, but if you go with the latter route, we can help finance a new or new-to-you truck. Read on below for more information!
Amenities and Features
If your truck is billowing dark smoke, there is a good chance it was made before the turn of the millennium.
Trucks have evolved since then. There are many new amenities such as built-in wi-fi, satellite radio, and potentially extended sleeper cabs that have their own bathroom and television. Even a ten year jump from a 2004 truck to a 2014 truck has benefits such as better aerodynamics that translate to better fuel economy and safety features that translate to lower insurance costs.
Other Parts of the Vehicle
Getting an overhaul will solve most of your truck problems, but not all of them. Your truck’s paint may be fading or chipped, or the alignment is ever-so-slightly off.
These things will eventually need attention and will also dig into your pocketbook. A newer truck may also have these problems, but it is certainly less likely.
Conclusion
Unless you have a particular attachment to your truck, it probably makes the most sense to sell, trade, or scrap your very old vehicle. As a vehicle gets older and drives more miles, its value is lost because it will need more maintenance in the future. This is the basic premise behind the concept of depreciation: when you buy a new big rig, you are paying for the expectation that the machine will run properly for many years to come!
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ABOUT TOPMARK FUNDING
TopMark Funding is a top-rated semi-truck financing and trailer financing company located in Roseville, CA. We specialize in commercial trucking and heavy equipment. Our mission is to become your long-term financial partner by helping you grow your trucking business and fleet.
We’re not here for the short-term, we’re on the long-haul with you!
We have financing options for trailers, semi-trucks, commercial trucks, and small businesses. We have great rates, low down payments, and flexible monthly payments regardless of credit history.
Learn more about Trailer Financing.
Fill out the contact form or give us a call at (866) 627-6644. One of our truck financing specialists will contact you as soon as possible to go over your truck lease needs and learn more about you and your business financing goals.
