Executech Lease Group Review: Fees, Complaints, & Lawsuits

Lease Contract Terms

The standard ExecuTech Lease Group contract is a multi-year, non-cancellable contract that lasts for a variable length of time (typically from 36 to 60 months). It charges a $35 documentation/processing fee upon signing, a monthly Loss & Damage Waiver fee of $4.95, and an annual administrative tax fee of $25. Merchants who reach the end of the lease will have the option to purchase the equipment for an additional one-time cost according to fair market value.

Lease To Own Program

The company also offers a program that gives merchants the option to purchase their equipment for its fair market value at the conclusion of their lease. The company’s website includes the following policy:

* Within ExecuTech Lease Group’s lease document, fair market value is deemed to be not less than 25% of the aggregate lease payments on a 12-month lease, 20% of the aggregate payments on a 24-month lease, 15% of the aggregate payments on a 36-month lease and 10% of the aggregate payments on a 48- or 60-month lease.

Most payment processing terminals can be purchased for under $500, making long-term equipment leases more expensive than purchasing the equipment outright, to begin with. However, it should be noted that ExecuTech Lease Group also leases POS systems, ATMs, and check imaging hardware.

Non-Cancellable Conditions

If a merchant attempts to cancel the agreement before the full term has expired, that merchant will still owe the remaining monthly payments for the life of the lease. The full amount may be withdrawn from the merchant’s bank account in one lump sum, or it may be withdrawn each month until the lease is fulfilled. The contract’s specific language regarding termination is as follows:

You cannot cancel this Lease during the Lease Term for any reason. You do not have a free trial period. Your duty to make the monthly lease payments is absolute, unconditional and irrevocable and is not subject to any offset, deduction, defense or counterclaim, notwithstanding that the Equipment is damaged or lost, or you no longer use, need or want the Equipment, or you return the Equipment to us (except as provided in Section 14 on page 3 of this Lease), or for any other reason.

This language is worded so as to ensure that no merchant can exit the lease without paying it in full. It is also important for merchants to note another portion of the lease agreement:

No attempt at oral modification or rescission of this lease or any term thereof will be binding upon the parties. See Section 19 on Page 4 hereof. BY SIGNING THIS LEASE, THE UNDERSIGNED LESSEE ACKNOWLEDGES READING ALL 4 PAGES OF THIS LEASE, THAT ALL BLANK TERMS ON PAGE 1 WERE FILLED IN AT THE TIME OF SIGNING, THAT LESSEE HAS BEEN GIVEN A COPY OR AN OPPORTUNITY TO MAKE A COPY OF THE LEASE AND THAT LESSEE AGREES TO BE BOUND BY ALL THE TERMS OF THIS LEASE.

Two common ExecuTech Lease Group complaints among merchants who are trying to exit an equipment lease are that they did not receive full documentation or that they were misled by sales representatives. This section of the lease agreement directly addresses those possibilities by releasing ExecuTech from any promises made by a sales agent. For this reason, merchants who sign up for an ExecuTech lease should disregard all sales claims that conflict with the actual language in the contract.

Purchase Instead of Leasing Equipment

In the vast majority of cases, we do not advise merchants to sign equipment leases. Most credit card terminals can be purchased for less than $500, which is far less than the cost of a long-term equipment lease. Leasing equipment can provide a handful of benefits, but these perks are far outweighed by a lease’s exorbitant cost and ironclad legal obligations. We encourage merchants to check out our list of the providers of the best merchant services.