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Semi-truck financing differs from traditional vehicle financing or leasing. To determine your eligibility for conventional truck loans, you must have good credit and a record of income.
The truck you buy is the collateral for semi-truck leasing or loans. This helps limit the risk to the truck loan or lease lender. You'll be more likely to qualify for truck financing if you reduce the risk.
Several factors will determine your semi truck financing terms, down payment, and interest rate. Below is a list of semi-truck financing requirements and factors determining your eligibility.
Pre-approval is a must for semi-truck financing before you start semi-truck shopping. Pre-approval lets you get a better idea of how much you can spend on your big rig. You can also apply for Funding once you have purchased your used or new 18-wheeler. Commercial Lending USA offers a fast and simple pre-approval process. A finance specialist will ask questions about your credit history and business history.
Most of our competitors conduct a hard credit inquiry. This is not good for credit scores. The pre-approval process does not include a credit check. It is guaranteed not to harm your personal or business credit scores. After we receive your credit reports, we will pre-approve you and let you know what you can spend on your truck.
SEMI-TRUCK FINANCING REQUIREMENTS
- Credit Score of 600 or More for the Best Semi-Truck Financing Rates.
- Time in Business with a CDL Licence - Preferable for 3+ years (But we can finance start-ups too! )
- Monthly Down Payment - How Much can you afford to pay for your semi-truck?
- Age of Semi-Trucks - Less Than 10 Years
- Semi-Truck Mileage: Less Than 700k Miles
Any trucking company must make intelligent decisions regarding semi-truck financing. A company's growth depends on having the most up-to-date equipment to maximize efficiency and comply with regulations.
We make semi-truck funding easy so you can get your truck funded quickly and back on the road!
SEMI-TRUCK FINANCING & credit can be significant factors in purchasing a large rig. When looking for semi-truck financing, you must be mindful of your credit score. Truckers can damage their credit scores by applying haphazardly for financing, with any company promising them the truck they want.
This could lead to a lot of hard inquiries in your report. Each tricky question can cost you approximately 10 points. Even if you only apply for 4 places, it's enough to lower your credit score by one credit grade.
Credit dealers are another option you should be cautious about. Dealers will often give your information to any bank or company that they believe will approve you when you " Apply" for financing a truck. This leads to many unnecessary credit-damaging and credit-damaging hard inquiries.
Some companies can approve you for truck financing with no credit check. Commercial Lending USA will pre-approve you with a simple inquiry. You can view your rates without committing to anything or putting any credit at risk.
Before improving your credit rating, you should be aware of your credit score and the financing options available. Make sure to do your homework and ensure that you make the right business decisions.
If you want to view our Semi Truck Financing Guide, click the link. You will make the best decisions if you are well informed about the process and the implications for your credit.
BREAKDOWN OF FICO SCORE RANGES
Statistics show that most people have credit scores between 600 and 720.
- 300-579 Abysmal scores are considered. Credit applicants with scores in this range may have to pay higher fees or deposits. Sometimes, they might not even be granted credit. This score is used by 16% of the population.
- 580-669 Scores from the 580 mark up to the higher 600s are known as Fair credit scores. People with scores within this range are often referred to as subprime borrowers. This range includes 17% of the population.
- 670-739 This range can be referred to as "Good." This score is considered to be good. Individuals with this score have a lower chance of default. Statistics show that approximately 8% of applicants with Good credit scores will be seriously delinquent. This score is about 21%.
- 740-799 People with scores between 700 and 700 are considered Very Good. Lenders and banks will offer higher interest rates to those with scores in the range of Very Good. 25% of the population has a score within this range.
- 800-850: This is the highest credit score and is an exceptional credit score. Lenders offer the highest rates to those with credit scores above 800. Scores between 800 and 850 are the norm for around 21% of individuals.
WHAT IMPACTS YOUR CREDIT SCORE
- Payment history - This tells you if your payments have been made on time or not.
- Credit utilization rates - The amount of credit you have available for your credit cards.
- Type, age, and amount of credit accounts. Lenders like diversity in your credit reports. A good credit score is enhanced by having various credit cards, car loans, and mortgages.
- Total Debt Obligated - This shows how much you owe on loans and how much you owe on your cards.
- Bankruptcies and Child Support Due, Public Records Filing for bankruptcy or receiving large amounts of child support late will affect your credit score.
- Open New Credit Accounts. Too many accounts can damage your credit score. It can be detrimental if you get too many credit cards or loans in a short period.
- Hard inquiries - Your score will be affected by how many times a lender requests your credit information. These searches remain on your credit report for two years.
2. SHOP TO BUY A NEW OR USED SEMI TRUCK
The fun part about semi truck financing is shopping for your big rig. You need to know lenders' requirements when shopping for an 18-wheeler.
We recommend that you buy your new semi-truck or use it from a reliable semi-truck dealer. (866 627-6644. If you are unsure of the reputation of a semi-truck dealer near you, we can help. We have a great list of dealers all over the US.
- Model, Year, Make (Less Than 10+ Years)
- Mileage (Less Than 700k)
- It would help if you had the truck to fit your purpose.
- Condition Report
- Any major repairs that have been done in the past.
- Semi-truck dealers prefer to sell these trucks. Private parties can be financed.
- Serial Number of the truck.
- Is the semi-truck brand new or used?
- Minimum 3 photos
Lenders want you to be sure that the semi-truck you are looking to purchase is a sound investment and will continue to function for the term of your financing. Remember that the truck is the collateral for financing.
SEMI-TRUCK SITES
- Commercial Truck Trader
- Truck Paper
- My Little Salesman
- Trucker to Driver
We can finance all semi-trucks and trailers that you purchase from these sites. You can be pre-approved before purchasing your next semi-truck. Pre-approval is a way to know your budget before you buy. Your approval amount will help you narrow down your search for your next big rig.
WHAT ARE THE TOP SEMI-TRUCK RANDS?
Our staff frequently asks this question: What semi-truck is the best? Or, what is the most-popular semi-truck? We have compiled a list of the top semi-truck brands in America to help you answer these questions.
This is our top-five list of semi-trucks. List 5 to 1. Scroll down to find out which truck brand is Number one.
1. VOLVO
Volvo Trucks has been a leading manufacturer of heavy trucks and engines around the globe. Volvo Trucks produces a wide range of Class 8 on-highway and vocational vehicles. Every new and used Volvo Trucks purchase comes with a strong dealer network, industry-leading parts, and service programs that will smoothen your journey to success.
2. INTERNATIONAL
Navistar International Corporation, formerly International Harvester Company, is an American holding company. It owns International brand commercial trucks and IC Bus school. Workhorse brand chassis and motorhomes. The company is a private-label manufacturer and designer of diesel engines for the SUV, pickup truck, and van markets. They also offer truck and diesel engine parts as well as services.
Navistar has an 11 percent market share of the US commercial trucking sector. Navistar is a company based in Lisle, Illinois. It employs 16,500 people and has an annual revenue of 10.7 million dollars.
Nearly 1,000 dealers are available in the United States, Canada, and Brazil to sell their products, parts, and services. There are more than 60 dealers in over 90 countries.
3. PETERBILT
Peterbilt Motors Company is an American manufacturer and distributor of medium- and heavy-duty trucks. It was founded in 1939. They are a subsidiary of PACCAR, which also has Kenworth, a heavy-duty truck manufacturer.
Peterbilt has provided the North American commercial vehicle industry with some of the most reliable, durable, and efficient products for over 80 years. Peterbilt, a Texas-based manufacturer of medium-duty, vocational, and highway trucks, is proud to be a part of the pride and value that its owners receive.
Peterbilt is a well-known trucking brand. You can find their red oval design logo in script-style lettering on trucker clothing and hats. Peterbilt holds a 13 percent market share. Peterbilt is a beloved and iconic trucker brand.
4. KENWORTH
Kenworth, an American manufacturer of heavy-duty Class 8 trucks, is based in Kirkland (Washington), a suburb of Seattle. Kenworth is just one of the three major truck brands and divisions that make up PACCAR.
The brothers George T. Gerlinger JR and Louis Gerlinger JR founded them in 1912. They are a car and truck dealer known as Gerlinger Motor Car Works. They built their first truck in 1914 with a more robust six-cylinder engine.
Kenworth's annual revenue of 19.1 million dollars has grown significantly since 1912. In 2015, they sold 154,000+ trucks and slightly outperformed Peterbilt. They hold a market share of 14%.
5. FREIGHTLINER
Freightliner Trucks, an American truck manufacturer, is a Daimler Trucks North America division. It is best known for its heavy-duty diesel trucks of class 8 and 5-7.
Freightliner is America's best-selling semi-truck. They sell approximately 190K trucks each year. Freightliner holds 40% of the market share in commercial trucks. In their MT, they also employ more than 3,000 people. Holly and Cleveland facilities.
Freightliner makes various models and styles, including medium-duty, heavy-duty, and natural gas trucks. Freightliner eMobility, their all-electric commercial vehicle, will soon be available. Two models will be available: the Cascadia 106 and the eM2 106.
BOTTOMLINE
The most loved semi-truck in America is Freightliner. Click the link to learn about the semi-truck brands in America.
3. FIND GOOD SMALL-TRUCK INSURANCE
You will need commercial truck coverage before you can get your semi-truck financing approved. Commercial vehicle lenders can do this. You will need insurance just like for your vehicle.
As with everything else in life, you get what you pay for. Your semi-truck, business, and assets are worth a lot. You don't want them to be underinsured or liable for damage and legal costs.
Truck lenders require that you have the following coverage:
- Insurance coverage
- Protection from physical damage
- Bobtail coverage is available for use other than trucking
- Cargo and storage coverage is available for the items you are hauling
Workers' compensation is required if you have semi-trucks or employees who drive them. For more information, contact your local insurance agent.
Lenders won't allow you to close the deal if you don't have the correct type of semi-truck insurance. For any questions, please get in touch with your finance specialist. +1 (571) 544-6600
GET PRE-APPROVED TODAY - QUICK & EASY APPLICATION >>GET A QUOTE <<
4. SUBMIT ALL DOCUMENTS TO GET FUNDED
After you've found the right semi-truck for you and have all your insurance in place, you can start to fund your purchase. For more information, contact your finance specialist.
The documents will be created and emailed to you for signature and review. Most documents can be signed electronically.
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