How To Finance a Semi Truck
When it comes to getting your semi truck financed there are many things to consider, and finding the right lender is a high priority. Getting connected with the right lender can help determine the success and growth of your Trucking company.
Here are a few factors to consider when shopping around for a Semi Truck Loan:
- Your credit score
- The amount you have for a down payment
- The length of your loan
- The total amount you are looking to finance.
Now that you have all these details ironed out, and you've narrowed down your ideal Big Rig, how do you go about getting a loan for the Semi Truck that you’ve chosen? Here are some general guidelines that we at YC Truck Capital have:
- You should be prepared to give around 20% as a down payment for the truck. So if your Semi Truck’s cost is $50,000, be ready to have around $10,000 for the down payment.
- The length of time that you can finance a Semi Truck ranges between 3-5 years. You should consider the lower amount of time as you’ll be paying less interest and will own the truck outright faster.
- Credit scores can range from the low 450’s to high 750’s. Your credit score is not a major factor in getting your Semi Truck Loan. Let’s discuss this in more detail below.
- We will give you the funds in as little as 3-5 business days. We know once you’ve made the decision to purchase and have gone through our approval process you will need the money as soon as possible.
Your credit score is not as big of a factor as you think. We have previously financed people that have had credit scores in the low 500’s. The higher your credit score the lower interest rate you will likely receive, and you may not need to have a down payment of around 20%, yours may be lower.
However, your credit score should not deter you from applying, because if you have a bad credit score we can still get your Semi Truck financed as long as your down payment is sufficient. The reason we are able to do so is because we at YC Truck are a direct lender, we will personally give you the Semi Loan, even if you have bad credit! We also report your loan and payments to the major credit bureaus, so your loan with us will improve your overall credit score.
The other benefit of having YC Truck Capital as your lender is you avoid all the ‘minimum’ requirements that most banks adhere to. For instance, we do not require that you must have been in business for at least two years. We love helping new businesses, we want to help get your business started and fast. We also don’t require a minimum annual revenue, as some banks require upwards of $250,000. Our goal is to make it as easy as possible to get you your loan! Whether this is your first Semi Truck loan, or you have been in business for many years, we welcome your business and encourage you to get in touch with us today by giving us a call at 954.587.4150.