Should You Buy or Lease Your Propane? Which Is Better in Price Reduction?

Posted by ThompsonGas on August 9th, 2016

Once you have decided to buy propane from a reputable supplier, you must decide whether to buy or lease a propane tank. There are advantages and disadvantages for both, and you should take these into consideration before making your decision. Propane companies have different policies that may affect your decision of whether to buy or lease. Here are some of the things you must consider when deciding which option can provide better savings in the long run:

Buying the tank

When you buy a propane tank, the cost will typically include the tank's piping and fittings, gas, regulators, and other related parts for installation. The supplier must provide a breakdown of costs and explain them to you before installation. Most companies will not provide and install the tank without filling it, and a dealer will not sell a tank to any unlicensed individual for DIY installation. The cost may be higher upfront when you buy a propane tank, but it will provide more flexibility and may prove to be cost-effective in the long run, especially if you decide to terminate the service and look for another propane company.

If you decide to buy a propane tank, you may want to consider getting it from a company that provides financing options to make it more affordable for you. With your own tank, you have the freedom to buy propane from any supplier in your area. Just be sure that the tank comes with a warranty on the unit, parts, and labor. When you sell your home, you can include the tank, too.

Leasing a propane tank

Customers must meet certain requirements before they can lease a tank. Most propane companies will require a certain number of propane appliances, a minimum annual propane usage requirement, or an above minimum threshold or total BTU load. For instance, a company may require you to have at least three appliances running on propane. Propane tanks are typically leased to applicants who are credit worthy, so the company may conduct a credit check before approving you.

When leasing a tank, you need to buy the connections, parts, fittings, and piping’s yourself, and all propane refills must be purchased from the supplier. Most propane suppliers provide scheduled or automatic delivery. In case you decide to terminate the service, you will need to return the tank to the supplier.

About the Author:

This article was written by ThompsonGas. The 16th largest retail propane company in the U.S., ThompsonGas has been family owned and operated since 1946. The propane gas dealer provides affordable propane for residential and commercial propane gas service to customers across 10 states in the East and Southeast.

Contact Details:

ThompsonGas

5260 Westview Drive

Suite 200

Frederick, MD  21703

USA

Toll Free: (800)-768-6612

Fax: 301- 432-7147

Email: info@thompsongas.com

Website: thompsongas.com