Want to learn more about how to get semi truck financing? These 5 simple steps can put you that much closer to securing a loan that will help you expand your fleet or even start your trucking business. Read on to find out more.
It’s no secret that the country depends on the trucking industry. Without truck drivers, businesses would not receive 80% of the goods that they order.
For that reason, it is critical that trucking business owners know how to secure financing for their trucks. Semi truck loans allow these essential workers to purchase the most important tool that they use almost every day.
Are you curious about how to get semi truck financing so you can grow your business? Here are the five steps you need to take.
Determine If You Are Eligible
Before applying for a loan, take some time to determine if you meet some common eligibility requirements. For instance, did you know that many loan providers require a minimum credit score of 600 or above? Some even require a minimum of 660. You should also have the funds for a 5% down payment.
Make sure that you can meet all of the requirements that the lender sets before spending time on an application.
Gather the Information You Need
Once you are sure that you can meet eligibility requirements, it’s time to start gathering all the documents and information that you will need for the application process. It is critical that you have everything you need beforehand because trucks often sell fast. The less time it takes you to get approved for a loan, the more likely you will be to purchase the truck that you want.
Find the Truck That’s Right for You
It takes different trucks for different jobs, so be sure to search for a semi truck that will be able to haul the goods that you plan to deliver. Your lender may also only provide funding for your purchase if the truck is less than 10 years old and has fewer than 700,000 miles on it.
The average cost of a trucking accident is about $60,000, so your lender is going to require that you have insurance before you can close on the loan. Because the truck is often the only collateral that providers require, they are going to want to protect themselves in case of an accident.
Submit Documents to Your Semi Truck Financing Company
After taking care of the above steps to securing semi truck financing, you are finally ready to submit your application to your lender. A good lender will help you throughout the entire loan application process, so don’t just settle for the first loan provider that you come across.
Are you ready to get the semi truck financing you need? Get in touch with AA Bankers today to learn how we can help you achieve your goals.