There are many industries that have taken a toll from the financial recession, but trucking is certainly not one of them. More trucks are on the road today than at any other time in history and the demand for truckers is still going strong. If you live in some parts of the country, like the oilfields of North Dakota, you can command a six-figure salary with an eighteen-wheeler. But before you can start capitalizing on a truck, you need to buy one. How can you get Commercial Truck Financing in order to start your own operations and get out on the open roads?
How To Get Financing
Like many other purchases in life, the best way to get financing is through a credit institution, and the best way to get a good rate is by having a good credit score. Not all of us have pristine credit, but the better credit you have, the more affordable the purchase will be. Lower your interest rate by strategically boosting your credit score: pay off debts and bills as quickly as you are able to, showing that you have a long history of settling your accounts. This allows financiers to appreciate your commitment to paying off bills, and results in a lower rate.
Buy Used
A brand-new truck will look very nice on the open road, but semi truck financing is a huge debt to take on and a used truck can run just as well as a new one. If you enjoy maintenance and ensuring that your machine runs well, buying a used truck can be a great way to save a ton of money -- a new commercial truck can cost as much as a quarter of a million dollars, while a used truck may be only a tenth of that sum. The rise in fuel costs and the closure of some manufacturing has left some truckers looking to sell instead of buy. Capitalize on this by going for a used rather than new truck.
Pay It Down With A Down Payment
Just like a home or a personal car, the more you offer on a down payment, the less your interest rate can be. It may be more affordable, for instance, to get a loan to be used as a down payment than to get the loan for the truck financing. Commit as much capital as you can to the down payment and it will pay you back over time.
