The best way to buy a truck with bad credit is with the many competitive online auto loan lenders. If you are looking to get a loan for new or used trucks, most local dealerships will either request you put a bigger down payment or charge very high APR due to your low FICO credit score. A little known secret is that these online truck loans are pre-approved but you can choose not to use them in the end if the truck lots offer to cut you a better deal instead. By making these online and offline lenders compete for your business, you can get cheaper commercial truck financing despite bad credit.
Self-employed people find it difficult to get commercial truck loans because lenders usually want 2 years of stable income records, or some signed business contracts for the next few months to ensure you are able to pay back the truck loan installments on time.
If you are looking for bad credit used truck loans, note that the second hand vehicles you want to buy should not be older than 5 years and must be in well maintained conditions. Otherwise, most types of commercial trucks such as dump trucks, semi-trailers, tankers etc. can be financed by lenders.
The typical loan term for semi-trailer financing is between one to four years, though it is easier to get refinanced for cheaper rates on long term truck loans. Do not forget about improving your FICO scores after you have gotten a loan to buy your truck. A lot of companies and your prospective clients will be checking your credit nowadays so having good credibility helps out financially as well as for your business image.
If you have bad credit problems due to late credit card payments, bankruptcies etc. in the past, you can still borrow money to buy a truck in order to improve your earnings. Many company drivers have done so and gotten financing to start their own independent trucking business without good capital or credit.