One good way to get your truck loan approved for dump truck financing is to look for independent truck dealers. Some independent dealers may be willing to offer you dump truck financing, without you having to go through a bank. This means that your monthly payments on the loan will be paid directly to them. If you’ve established a relationship with them, maybe by buying a truck previously from them, it may give them a comfort level about your personality and your ability to repay them.
If you’re presently renting a truck from a rental company, they may offer you a dump truck loan based on your good pay history. If you’ve a good timely payment history, it may increase your credibility and make them more comfortable to grant the loan request. Some of the companies may even add some of the rental payments towards the selling price. You may not know it, but this is more common these days.
In addition, someone will always have to co-sign before the loan is granted. Many lending institutions out there will finance your truck purchase if you can provide a strong co-signer. The co-signer could be anyone; a relative, a friend or a parent that’s willing to put his/her beside your name on the document.
Finally, there are some companies that can get around your bad credit by asking you to provide a good collateral before granting you the loan. If you happen to own a real estate with equity or another truck that’s free, your bad credit issues may not matter a great deal with these companies. However, the lending company will decide the amount of loan to be approved based on the market value of your collateral. Of course, these companies have specific niche they focus on. So, if you can find collateral based lenders that specialize in heavy equipment financing such as dump truck and semi-truck financing, they are a good alternative if your credit standing is not perfect.