About a month ago, Uber announced that they will be starting a car leasing program, which promises to put drivers into the seats of an Uber approved vehicle quickly, and at a relatively low price point. It seems like a great offer, but drivers are quickly learning the hard way that the leasing program has quite a number of hidden strings attached.
Recently, a driver came to us after having applied for a lease on a 2015 Prius. Within two days, he was approved and behind the wheel of his new car. At a cost of $190 per week, excluding insurance costs, he figured that he’d be netting a weekly profit of roughly $1000. It all happened so fast that he didn’t take the time to really examine the contract thoroughly. He was bowled over by the opportunity and, unfortunately, soon found himself overwhelmed by restrictions that he wasn’t made aware of.
Hidden in the driver’s contract was a clause that restricted his monthly mileage to 2,500 miles. That meant that rather than being able to drive a full six days per week, he was only able to drive three. This restriction literally cut his expected income by sixty percent to $400 per week after expenses.
The mileage cap only allows for about 600 miles/week. For Uber drivers, that caps profits at around $400 every week. Hardly a full time income. Drivers are now coming to us to rent cars once they reach their weekly mileage caps. We have multiple drivers that are currently leasing a car through Uber, driving 3 days a week and renting one of our cars for the remainder days.
You might be wondering why they don’t cancel their lease with Uber and rent from us full time. That brings us to the next point.
When you sign up you are locked into a 6 week contract. A thirty day mandatory lease, with a mandatory two week notice for cancellation. That’s a $1200 obligation you are locked into.
On top of this, if you want to use the car for any personal engagements, it comes out of your pocket. If you want to go on a date, take your daughter to a doctor’s appointment, or drive your wife to work you have to make a decision – either pay excess mileage fee’s or put less miles in for Uber. You’re trapped in a situation where you have a fresh vehicle and a job, but you’re only making enough money to continue the cycle, not move beyond it. You drive to make lease payments that allow you to drive to make lease payments.
Thankfully, drivers that have learned all of this the hard way have found HyreCar. We’ve been able to connect them with car owners that have helped them move into a more advantageous situation. They’re now renting an Uber qualified car, driving six days per week and making enough money to pay their lease and car insurance while still netting around $1000/week. When they want to take a day off from driving they can just return the car for that day and pick it up again when they want to drive. They don’t have to pay any money when they don’t feel like driving.
At HyreCar, we want would-be drivers to be aware of the various options that exist. There’s no need to lock yourself into the restrictions that come with Uber’s leasing program: there’s other ways to secure a car quickly. We’ve been putting drivers behind the wheels of approved vehicles since our founding and can promise you one thing: we’ll connect you with a vehicle that will net you the profits that you need, with no hidden strings.
Note: If you’ve got an underutilized car, you can make up to $12,000/year by listing it in our marketplace. Check out this in depth guide to learn everything you need to know.