Lease or Loan: Which is a Better Choice?

Leasing Options for Your Next Isuzu Commercial Truck

The decision to purchase or lease a commercial truck is big, and there are a lot of considerations as you evaluate what might be best for your business. At Courtesy Isuzu Truck Center, we understand that there is no right or wrong answer to financing your next commercial truck. Each business has different needs, which is why we work to tailor lease and loan options to meet your needs.

Our finance team is here to help you determine which route to take as you get behind the wheel of a new Isuzu truck.

Evaluating Your Commercial Truck Needs

The decision to buy or lease often comes down to how you plan to use the truck. Below are some questions to ask yourself as you evaluate your medium duty truck needs.

How many miles do you drive each year? Leases often come with caps on the number of miles that vary by lease type and structure.

How long do you plan to keep your truck? If you want to update your truck routinely, leases allow an easy avenue to do so. If you plan on keeping your truck for an extended time, purchasing it might be a better option.

What is your budget for monthly payments? This, combined with special offers or discounts, will help determine whether a loan or lease would best suit your needs.

Advantages to Finance and Lease Options

There are advantages to both purchasing and leasing your next commercial truck, with no one-size-fits-all approach.

A loan provides the means for you to conserve cash by paying the balance over time.


Flexibility to get what you really want.
A lease allows room for growth and you can drive a newer vehicle more often.

Monthly payments are typically lower than loans because you only
pay for the portion of the truck value used during your lease.
You pay for the vehicle as it pays for itself–through use.

At the end of your lease contract, you have flexibility to buy the vehicle or return it to the dealer, as well as exchange or refinance.

Because money is not borrowed when you lease, your working capital and business credit line are still available for your company’s growth.


At the end of your loan contract you own the vehicle. 
A loan is ideal for most high mileage or severe duty applications.

You build future equity and have greater asset management control.
You are free to modify, trade-in or sell your vehicle on your terms.
Isuzu trucks command a high resale value.

There is no limit on the number of miles you drive.

A loan provides the means for you to conserve cash by paying the balance over time.

Frequently Asked Questions About Truck Financing in Phoenix, AZ

What’s the difference between financing and leasing?

The primary difference between financing and leasing is ownership. With a lease agreement, your commercial truck will be returned to Courtesy Isuzu TruckCenter at the end of the contract, and your payments cover the depreciation of the truck’s value. With finance agreements, payments go toward owning the vehicle, with 100% equity at the end of the loan.

Which is more cost effective?

Loan payments are generally more than lease payments because you’re covering the entire value of the truck rather than residual value (value after the lease term is completed). While lease payments may be less, the overall cost of leasing is likely higher than the cost of owning the vehicle.

What other fees are associated with leases?

In addition to mileage restrictions, you can usually expect other stipulations for things like early termination and wear and tear charges. Ensure you understand lease details before deciding to take on this type of agreement.

Contact us to learn more about finance and lease options at Courtesy Isuzu Truck Center, or view our available inventory.