When seeking 18 wheeler financing there are several things to keep in mind. This is even more true if your credit is not the greatest, your a first time owner operator, or there is some other complication which is hinder you from getting your truck and trailer financed.
Today we will go through some of the things you need to cover when tackling this project.
Here are five things to consider when obtaining 18 wheeler financing:
- Purchase From A Dealer Or Private Party – With all the classified ads online, truck auctions, Ebay, etc it becomes very tempting to purchase your truck and trailer from a private party. This is fine if you have your financing in place but if you need need financing this can become complicated. Most sellers won’t help you finance the truck and trailer. This leaves you to shop separately for financing. Also, many independent financing companies wont do private party sales. I don’t want to discourage someone from going this route. Just be sure you have your financing in place before shopping. It will save you loads of aggravation.
- Funds Dispersement – When purchasing an 18 wheeler your buying a truck and trailer. If your buying the truck at one dealer ship and the trailer at another the bank providing the financing will have to cut two checks. This sounds like it wouldn’t be an issue but some banks have a policy where they will only cut one check per approval. We have had customers come to us on several occasions looking for 18 wheeler financing because the bank they had an approval with wouldn’t do a multiple dispersement. Make sure the bank your working with understands that your buying two items when purchasing an 18 wheeler (you’d be surprised!).
- Age Of The Truck And Trailer – This is important for a couple of reasons. From a financing perspective financing companies have age limits; some are five years, some are ten. This is another reason to get pre-approved before going shopping. Know what your bank will do regarding the age of the truck and trailer. Also, as you know, several states have implemented tighter age restrictions so it’s good to know that before selecting your next 18 wheeler.
- Bad Credit/Start Up Owner Operator – Do you have credit issues? Are you a first time owner operator? If you have any issues that might hold you back from getting approved for 18 wheeler financing you are going to want to approach truck financing companies first before looking at trucks. You want to be sure you can get approved first before wasting your time. We have about 70% of our customers come to us first to get pre-approved before they shop for trucks. No reason to set yourself up for disappointment.
- Do You Have Work For The Truck? – Sounds obvious but we get lots of guys looking to finance a truck that don’t have steady work lined up. They read a few load boards and they think it’s a path to riches. We have to educate these guys that success with Cdl Driver Jobs is more that just picking up loads here and there. Solid contracts with reputable companies are one of the best indicators of your success in this business. Your focus should be on having “relationships” not “loads”.
As you can see there are many things to look out for when looking for 18 wheeler financing. Do your homework. It will save you headaches down the road and better your chances of success. If your looking for commercial truck financing check out the rest of our site. Happy Trucking!