Capital Solutions
Deal Of The Week
Customer wants to purchase a 2002 Freightliner Century
The Problem: First Time Owner Operator With No Pay History And Recent Derogatories On His Credit Report
This weeks tough credit deal comes to us from New York. First time buyers are tough as it is but this guy credit report showed no significant credit and the small stuff he had wasn't great. Here were the hurdles we had to over come:
- Had never financed anything higher than $3,000.00. No comparable credit
- The small credit he had showed recent lates of 30 days (two credit cards and a cable bill)
- He was young with limited experience
This deal didn't get us very excited to say the least. But upon closer inspection we found strengths that moved the deal forward.
The Solution: Grandfather Pledges Real Estate To Get His Grandson Started In the Business
This is very common. A relative steps up to help out. His house was free and clear and we were able to close the deal quickly. Here's how we put it together:
- Although the customer was young and with limited experience he had established contacts as a driver. He was able to produce contracts to verify he had a place to put the truck to work
- The problems on his credit was due to identity theft which was confirmed
- Granddad's house was free and clear which made it easier to underwrite the deal
The dealer learned a valuable lesson on this deal. By asking a few questions (cosigner with collateral), he was able to close a deal that he wouldn't have had.
As you can see, we are very flexible on how we put truck financing deals together. We don't have a minimum credit score. We don't have a minimum time in business. If you can put up additional collateral we can get around almost anything.