Are you in the market for a new truck? Then you should talk to our Finance Technicians about our truck finance options. Here at Loantec, we believe you should have all the factual details, so you can make an informed decision.
With more than 40 years of experience in finance, and thousands of successful applications, Loantec’s team knows how to find the best loan options available to you. We make the process of securing a loan easy. All you need to do is fill in our pre-qualification form and we’ll assess your current financial situation and advise you on how to optimise your final application.
What Truck Finance Option is Best for Me?
When you start the process of financing your truck, The first step we’ll take is to figure out the type of financing that’s best for you. Trucks and other heavy vehicles are typically financed using equipment loans. If you need a truck for your company or are a self-employed truck driver, you should consider business equipment finance. Otherwise, if the truck is going to be primarily used for personal use, auto financing is the way to go.
Business Equipment Financing
Business loans are generally the best option for commercial use trucks, as they usually have a lower interest rate compared to most other loans.
To qualify for business equipment financing, you’ll need to provide evidence of business related income. As well as the standard proof of identity. Alternatively, if you’ve recently started your business and don’t have 2 years of financial you may need to provide a business plan, or other supporting documents.
For many start-ups and newly formed companies, it can be difficult to get financing from the big banks or traditional lenders. If you haven’t got 2 years of financials, you’ll need to consider low doc finance options. Low doc financing is a popular option for people who can’t get up-to-date tax returns or don’t want to create cash flow projections or a business plan. At Loantec, we’ll work with you to secure the best business loan for your needs. We have access to a range of no or low doc finance options and can ensure you get the right truck finance for your company.
Auto Financing
Auto financing is a type of personal loan that is more commonly used for getting cars. But, if you want to finance a truck for a parade float, lawn decorations or any reason that’s not related to work, this is the type of financing for you.
No matter the type of financing you require, we can take care of it. At Loantec, we’re dedicated to securing the best loans with the lowest interest rate for our clients. To get your truck financed, fill in our pre-qualification form, and our Finance Technicians will be in contact to walk you through the loan application process.
Types of Truck Finance
There are 3 common types of truck financing available; hire purchase agreements, chattel mortgages and equipment leases. We’ll walk you through your options and advise you on the best type of financing for your situation when you talk to our team.
Hire Purchase Agreement
When you enter a hire purchase agreement, you’ll make repayments on a truck that you’ve borrowed from the lender.
The ownership of the truck belongs with the lender until the end of the term. Once you’ve paid off the loan, the lender will transfer the ownership of the truck to you.
This type of financing is generally more flexible than other types of loans. The precise level of flexibility will depend on the conditions of the loan. Many offer the option to stop payments at any time and return the truck. But this usually comes with a sizeable cancellation fee. You might also be able to organise financing the maintenance and servicing of the truck as part of the hire purchase agreement.
Chattel Mortgage
A chattel mortgage is the most straightforward type of financing you can get. Once the loan application is approved and finalised, the truck becomes your property. And the lender simply uses the truck as a security on the loan. This works the same way as a regular mortgage.
Chattel mortgages eliminate any discrepancies about the ownership of the truck. And as long as you make your repayments, this big rig asset is yours to do with as you wish.
Equipment Lease
If you’d rather hire the truck instead of purchasing it, you can enter into a lease agreement. You lease the truck for your own business and return it at the end of the contract. Loantec can help you secure equipment lease financing. We can even connect you to dealers and lenders who have trucks available to lease!
This option removes any long-term commitment to the truck, so if you only need a truck for a short period of time this might be the best option for you.
Get into contact with our Finance Technicians by filling in our pre-qualification form. They’ll explore your finance options and find the best deal for you.
Loantec’s Guide on Applying for Truck Finance
If you’ve decided to get a truck, you should become familiar with the steps you’ll need to take to get a truck loan. Let our team take you through the process of securing the financing you need.
Learn How Much You Can Borrow
Firstly, you’ll want to know you can borrow the amount you need to get your truck. We’ve made the process of figuring out your borrowing capacity simple. Just fill in our pre-qualification form, and our Finance Technicians will be in contact to assess your finances and let you know how much you can borrow.
Find The Truck You Want to Own
Once you’ve determined how much you can borrow, you’ll know if the truck you’ve had your eye on is in your price range. Talk to our Finance Technicians about the type of truck you want to own, and we can advise you on how to get it. If you haven’t found the right truck for your needs, our Finance Technicians will talk to our panel of auto dealers to secure a model that fits your requirements.
Decide What’s The Right Type of Truck Finance for You
Each type of loan comes with its own unique qualities. The one that’ll work best for you is entirely dependant on your situation. Our team takes the time to work through your circumstances to figure out the best option for you.
After these steps are complete, the Loantec team will carry out the rest of the application process on your behalf.
Loantec is a very hands-on company. We pride ourselves on taking care of every step of the finance application process. So, you can be confident that we’ll handle everything you need. To start the process of getting your new truck, fill in our pre-qualification form, and our Finance Technicians will work to secure the lowest interest loan for you. So, what are you waiting for? Call today!