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Ally Commercial Truck Financing

Ranked 2nd and "Outstanding" in Community Reinvestment Act's rating, Ally Bank sets itself apart from its peers with the will to create a positive impact in society, prioritizing their customers at every level of the financial dealings.

Ally has been offering financial services to its customers for over 100 years. They hold on to their mantra of working better together very strongly. With it, keeping their customers' satisfaction at their very core.

Rachel Dayan Ally has been offering financial services to its customers for over 100 years. They hold on to their mantra of working better together very strongly. With it, keeping their customers' satisfaction at their very core.
Rachel Dayan
July 13, 2022

Many or all of the products featured here are from our partners who compensate us. This may influence which products we write about and where and how the product appears on a page. However, this does not influence our evaluations. Our opinions are our own.


The thing that sets Ally apart from its peers is the will to create a positive impact in society, or speaking in other words, to create value socially and environmentally. Hence, Ally Bank establishes that it is important to them to ensure that they offer services that help in social, environmental, and governance concerns and issues. Moreover, Ally Bank  has also ranked 2nd and "Outstanding" in CRA rating – Community Reinvestment Act.

When it comes to offering financial services, Ally offers a wide range. Ally’s commercial and financial services include mortgage loans, insurance and finance for cars, online banking through established banks, insurance for vehicles, and virtual financial trading platforms to invest in and trade different financial assets. 

Here is everything you need to know about Ally:

Explaining Commercial Truck Financing

Commercial truck financing means getting a truck or a fleet of trucks or vehicles for your own business, semi-trucks, or even dump trucks. It is a wonderful way to avoid unnecessary expenses. 

Commercial truck financing allows you to repair, add to, or purchase the trucks you might need for the logistics, amongst other things, for your own business. For example, these trucks may be used for product deliveries, transporting warehouse goods, and mobile offices. 

Moreover, they can also be used as a mobile restaurant, café, or ice cream shop on wheels. Hence, courier, ice, and flower companies often use them. 

Thus, commercial truck financing allows the business owner to use the truck as an asset, allowing the lender to accept the truck as an item of value used as security for the obtained loan. You can get financing for commercial use trucks through traditional banks or other companies. 

Ally is one such organization that offers commercial truck financing and a variety of ways to get it, a range of services, and never-ending payment options. Let's take a look at it.

“Ally Bank offers commercial financing solutions to various areas, from commercial and industrial to homeowner associations”

Ally Business Vehicle Financing

Ally offers business vehicle financing under its Auto finance services. These business vehicle financing services include specialty vehicle financing, heavy-duty truck financing, commercial line of credit, financing in the business name, and municipal purchase plan. 

Through its commercial financing feature, Ally Bank offers solutions to various areas such as commercial and industrial, consumer goods, communications and technology, aerospace, energy and power, healthcare, media and entertainment, maritime, and homeowner associations.  

Specialty Vehicle Financing

This one is for people who want to uplift vehicles through special equipment such as towing, modifying trucks, installing cranes and lifting devices, etc. Ally helps them finance additions and modifications and offers leases through the SmartLease option. 

Heavy Duty Truck Financing

This one is for people looking for more than a class 8 truck. Class 8 trucks are vehicles that offer more than any regular heavy-duty truck. It has a gross vehicle weight rating of 33,000, and to drive one, the driver has an obligation by law to possess a commercial driving license. 

To do so they offer great rates, financing on just the business name without owner's guarantee, commercial product experts, flexibility in terms of options for up to 75 months, retail financing, along with vehicle financing for vehicles that are up to 6 models old and have been driven for up to 700,000 miles. 

Commercial Line of Credit

For Ally's qualified customers, there is an option of availing a line of credit whenever needed. And the best part is that it is free, so you have to pay no fee for such a sought after service. Through the commercial line of credit, you can:

To start your application and the financing process, you need to fill up the application for a commercial line of credit, and you are good to go ahead. 

Financing in the Business Name

This option is for people who want to finance commercial vehicles, operating them under their business name but do not want it to impact their credit. In such a case, there are two services or solutions that Ally offers:

1. Third-Party Guaranty

2. Business Name Only

First, suppose you are looking to get a few vehicles under your name and need secure financing. In that case, you are positioned as a "third-part guarantee," which allows you to maintain anonymity somewhat and keep your name and your credits off documents and records. Hence, any risks associated with having a bunch of commercial vehicles under your name are easily avoided. 

However, the downside is that if the business does not flourish and you have to shut down, you will have to pay the debt, and the debt will be transferred onto your credit by Ally. 

Moreover, the second solution does not require a guarantee and solely works on whether your business qualifies for it. This option is similar to the first in avoiding your name on record and title, allowing for anonymity. 

Hence, this solution enables you to create credit and keeps you safe from taking responsibility for any operations related to the vehicle being purchased or leased. That being said, your business needs to go through a rigorous check before you can avail the second option.

“With Ally, some applicants have been approved for commercial truck financing with scores as low as 600” 

All You Need To Know To Qualify For Ally’s Commercial Truck Financing

What are credit scores?

Credit scores inform the lender of whether the person who is being offered a credit or loan is credit-worthy or not. The score depends on personal and business credit reports and is typically generated through credit bureaus. These scores can make as much as a digit more or less difference in the applicant's loan or credit. 

What credit score is required by Ally?

For Ally, you need the FICO credit score. FICO stands for the Fair Isaac Corporation score. 

Does Ally require a credit score for commercial truck financing?

Typically, yes, Ally does require a credit score for commercial truck financing. The generally accepted minimum limit credit score for Ally is 640. However, some applicants have been approved for commercial truck financing with scores as low as 600. 

On the other hand, however, a top-tier credit score for Ally is generally 750 or above. You can improve credit scores by reviewing the negative items in the report and removing them through the help of credit repair agencies. 

Can I get a pre-approval for commercial truck financing or auto loans?

Yes, you can. However, pre-approvals are dependent on credit scores and the utilization ratio. However, Ally can reject final approval if there are discrepancies in the income, personal information, employment, credits, bank records, debt obligations, etc. 

Moreover, the vehicle MSRP, down payment requirements, sharing limits, etc., are all factors that might affect your approval.

“The application is fairly easy to fill out and hardly takes a few minutes”

Everything You Need To Know When Applying For Ally Auto Finance Loans

Application Requirements

Applications documents that are generally needed for commercial truck financing:

Also, Ally does not have any physical outlet or branch from which they operate. Hence, all payments and processing are online or through a third-party organization. Moreover, Ally uses artificial intelligence softwares in real-time to verify documents and receive data. Thus, to get started with your commercial vehicle financing, you can fill out the application for a commercial line of credit

The application is fairly easy to fill out and hardly takes a few minutes; it will ask basic questions about your income status, address, nationality, monthly budget, and financing information. Once you fill this out, you need to send in the documents required – these documents are typically the ones mentioned above. 

After you do so and send in your application, Ally's intelligence software goes through your application, looking for any discrepancies or fraudulent information submission. If your information is accurate, you move on to getting the financing. However, if it is not, your application is rejected. 

Not to forget, FICO scores or credit scores matter when applying to Ally. Hence, it would help if you had a minimum income of $2,000 monthly (to qualify for Clearlane). Furthermore, a FICO score typically above 640 is required along with the aforementioned documents. Important to note is that Ally offers loans of $1,000 – $300,000 and that these auto loans are fixed-rate. 

Moreover, the terms range from about 12 months – to 84 months. To get the most accurate information about payments, Ally advises its clients to contact their nearest dealers for rates. Again, this is because Ally does not operate via a physical location. 

Payment Options

The best part is that Ally gives you various options to make your payments such as autopay, one-time charges, pay by text, bill pay, mail, debit card, phone, in person, Western Union, etc. Hence, you do not have to worry about any strict payment guidelines, as you can choose from all these options according to what suits you best. 

For example, through autopay, you can set up automatic payments. In the case of one-time payments, one can pay online or use to Ally Auto app on any phone. To pay by text, you need to be eligible to make one-time payments by text. However, you need to enable payment Alerts on Ally Auto to do this. 

On the other hand, you can use your bank's billing feature to pay via Bill Pay, set up Ally Auto as a beneficiary, and make your payments. But please note that to do so, your bank may require additional information such as your payment address, amongst others. 

Similarly, you can pay online via debit card using CheckFreePay. Please note that to do so, you will need your debit card number, Ally Auto account number, and your registered ZIP code. In addition to that, you will need to pay a payment processing fee of $3.45 to CheckFreePay and your payment for Ally. 

Another option is to pay by phone through ACI Payments. To do this, you need to call ACI Pay at 1-888-631-8930. However, you will need your Ally Auto account number, bank account/card number, and ZIP code to pay through ACI Payments – the same way you need to hand these over for CheckFreePay. 

However, compared to CheckFreePay, ACI Pay is a more expensive option as it costs an extra charge of $4 for a money transfer. However, this extra charge is because ACI Pay is also a third party. 

As if all these payment options were not enough for Ally, you can even pay in person through Moneygram, but like ACI and CheckFreePay, Moneygram charges a fee. However, you can visit any Moneygram outlet near you to make the payment. 

Or you have yet another option in this long list of ways you can make a payment: Western Union Quick Collect. You can go to a Western Union Quick Collect outlet to make the payment, but like all other third-party payment options, Western Union Quick Collect charges you a fee for payment services.

In case you feel like the extra payment charged by third parties is a little too much, you can always use the good old method of doing things, such as sending your payment to Ally via mail. You need to go to any mailing service, put in Ally's mailing address, and send it off to their P.O Box.

Personal Information Required By Ally

Ally collects all the basic personal information about you when you join hands with them that you provide through their website.

This information may include:

Similarly, if you download and use Ally's mobile app, Ally accesses your email contacts and phone contacts and may ask to track your activity across apps and the contact list names.

However, this information is used to process any requests or services that you need or have applied for, improve customer satisfaction, deliver you the best services, update you about any offers or newly launched services, and service/improve your account. 

The information collected might be used to cross-check and analyze any application you have submitted for an offer or service through credit bureaus or other companies with legal access to Ally's customer base and information. 

Commercial truck financing companies pay attention to certain factors about the trucks; these include but are not limited to the age, appraised value, and truck condition.

Vehicle Information Required By Ally

Age and Condition of the Truck

Understandably, commercial truck financing companies prefer financing newer vehicles to worn-out ones. The reasons for this preference are rather simple. Newer trucks are likely to stay working in good condition compared to older truckers due to the mileage and overall performance. 

Similarly, they have fewer problems and mechanical issues than older trucks and are comparatively more likely to pay back better than older trucks. Apart from this, they are easier to sell away and are likely to give back a good price which can be utilized for purchasing another asset or vehicle.

Appraised Value

The total appraised value of the truck is important for companies to know as it helps them figure out a range of factors related to commercial truck financings, such as interest rates or down payments.

They also need to know the following to assess the strength of your application:

Other Banking Services and Accounts 

Savings

Although the interest rate at Ally is not absolutely out of this world that you can make millions from, it does operate at a better rate than the traditional banks. Generally, lower rates compared to the market. It is better because Ally charges an APY of 0.5% on the balances in your savings account, which is as low as nine times the national APY average. 

Moreover, Ally does not charge for monthly maintenance and has no minimum and obligatory balance maintenance hassle. However, the downside is that you can only make up to six transactions from your savings account during a specified account statement cycle. But if you still really need to make a transaction after your sixth one, you will be charged an additional amount of $10 for every transaction made. 

However, since these are covid times, Ally has been mindful of the economic conditions and has been generous enough to refund the additional transaction fee.

Money Market

Apart from the savings account, Ally also offers a "money market account." Many people do not know what a money market account is, so to inform them, it is an advanced savings account. We say advanced because it gives you a debit card to use. Moreover, it also allows you to write checks and cash them out. 

Furthermore, although not the highest, it pays an APY of 0.5% on any balance you have, regardless of the listed tier.

Like the savings account, a money market account has limited the number of transfers and purchases you can make in a specified statement cycle. You can generally only make up to six transfers and purchases with money market accounts in a month. 

However, with Ally, money market account holders do not have to pay any monthly fee, nor does Ally have any minimum balance requirement for its money market account customers. Along with that, Ally lets you make as many deposits as possible and does not charge any additional payments for ATM cash withdrawals.

CDs

You can also open a CD through Ally. A certificate of deposit or CD is a certain kind of savings account that you can open at different banks or credit unions. However, the difference is that you cannot access and use your funds until a specified date if you have a CD account. 

In the case of regular CDs, the raise rate is between two- and four-year terms. However, the raise can be made once every two years with an APY rate of 0.55%. 

However, if you do not want to deal with such a long term timeline to withdraw your cash, Ally does have another option for you. Ally offers a “No Penalty CD” for customers who prefer to have a degree of liquidity in their banking and finance matters. 

Therefore, No Penalty CD allows you to withdraw cash without getting charged for any penalties. Hence, in the case of a No Penalty CD, the account holder can withdraw money, starting from the 7th day after the funding of the CD has been done. However, the No Penalty CD is only available for 11 months and at an APY rate of 0.5%.

Conclusion

Here is our detailed guide to Ally, its commercial truck financing, and all the related processes and applications you need to go through to secure financing or auto loans. If you wish to become one of Ally's many customers, you now know how you can go about it, including any truck financing services that Ally has for you, their requirements, the documents you will need, and the payment options you have. 

Whereas if you are interested in Ally’s banking service, we briefly went through three of those as well. If you are looking for more information, you can get a better idea of Ally’s other services, rates, and application procedures by contacting your nearest dealer. 


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