How a POS lease works
A leasing company buys the equipment and you make fixed monthly payments for the term. The lease is usually a separate contract from your processing agreement, so changing processors does not end the lease.
EQUIPMENT LEASING
Lease equipment with eyes open.
Leasing spreads the cost of POS hardware over a fixed term. It can preserve cash, but the total of payments and the cancellation terms deserve close attention.
PAYMENTS IN MOTIONLease equipment with eyes open.
THE SHORT ANSWER
A POS equipment lease is a fixed-term agreement, commonly 24 to 60 months, in which you pay monthly to use hardware owned by a leasing company. Leases conserve upfront cash but usually cost more than buying, and many are non-cancellable. Compare the total of all payments, end-of-term buyout, and cancellation terms before signing.
Updated · Waytrix Pay editorial team
KEY TAKEAWAYS
- Multiply the monthly payment by the term to see the true total cost.
- Many equipment leases cannot be cancelled early, even if you change processors.
- Ask whether the end-of-term buyout is a nominal amount or fair market value.
- Leasing may make sense for expensive multi-station setups when cash flow matters.
CALCULATOR
What will this lease really cost?
Enter the cash price and the payment from a lease quote to see the total cost, buyout, and implied rate.
When leasing can make sense
Leasing can suit businesses opening new locations, outfitting several stations at once, or preferring predictable monthly costs over a large upfront purchase.
- Multi-station restaurant or retail setups
- New locations preserving working capital
- Businesses that prefer a fixed monthly expense
Costs to examine
Look beyond the monthly payment. Ask about taxes, insurance or loss-damage waivers, late fees, and what happens if equipment fails.
- Total of all monthly payments
- Insurance or protection fees
- End-of-term buyout or return costs
- Automatic renewal terms
- Early termination obligations
How Waytrix Pay helps
We show the leasing total next to the purchase price, financing, and rental options for the same equipment, so you can choose with full information. We will never pressure you into a lease.
FREQUENTLY ASKED
Questions businesses ask.
Can I cancel a POS lease?
Many equipment leases are non-cancellable for the full term. Read the cancellation clause and ask for it to be explained in writing before signing.
Do I own the equipment at the end of a lease?
It depends on the lease. Some offer a nominal buyout, others fair market value, and some require return. Confirm the end-of-term option up front.
Is leasing more expensive than buying?
Usually, yes, when you compare the total of payments with the purchase price. Leasing trades higher total cost for lower upfront cost.