Are your truck tires getting old? Have you been noticing excessive wear and tear around the edges? Then it might be time for you to get a tire replacement. Now, here is the thing. Commercial truck tires are a tad expensive than your regular SUV tires because of their larger size and capacity.
But do not let this need for new tires put your business on hold. There are several commercial truck tire financing options that you can consider that are tailor-made for your needs. Many of them can be availed without burning a big hole in your pocket.
Fret not if paying for good quality truck tires out of your pocket is something you cannot afford now. One can secure commercial truck tire financing for the purpose, and there are multiple benefits.
What Are The Advantages Of Commercial Truck Tire Financing?
Most lenders, especially untraditional ones, now offer the option of flexible payments. Recognizing that business owners do find it hard to make a huge down payment, they give the option of flexible payments with interests that are tailor made for your budget and convenience.
Business owners can also adjust their payment schedules so that they are not under too much stress to make their payments on time. Their payment schedule may vary from bi-weekly to monthly to quarterly.
Direct Line Of Credit
Many commercial truck tire financing companies offer credit lines and payment options to help you keep your fleet profitable. This dedicated line of credit comes with exciting perks like no annual fee, promotional financing, and low monthly payments.
Many of them also have a clause that if you can pay the full amount with 6 months, interests will be signed off. Some even go a step ahead and offer an increased rebate for select sets of tires.
Financing with a bad credit score
Do you have a lot of debt on your credit? Have you ever paid your debts late? Then it would have reflected badly on your credit score. But with a bit of effort, you can find a commercial truck tire financing company that will grant you a loan despite a low credit score.
Yes, certain lenders now offer to finance businesses with a bad credit score as well. They don’t even require a credit check. This is because they have realized that too many checks on your record may bring down your already bad credit score. This creates a bad impression when you go looking for financing in the future.
Hence, for tire financing, lenders add the benefit of no credit check to not affect your score.
Helps build credit
Opting for commercial truck tire financing is a great way to build your credit score. Through monthly repayments of your debts that too on time, your credit score improves. This is because outstanding debt and timely payments impact your score.
So, every time you make a timely payment to repay your debt, the credit bureaus get notified, and your creditworthiness increases.
Hence, you should go for truck tire financing if you are trying to build credit. And then, using your better credit score, you can secure more loans in the future and make bigger credit purchases.
What you earn and what you spend determines your cash flow. If your expense is more than your income, then you have a negative cash flow. And if you are earning more than you spend, then you have a positive cash flow.
When you avail of commercial truck tire financing services, you are up for monthly payments instead of large down payments. This allows you to save and have excess cash in hand, which is a plus side. Moreover, paying low amounts monthly does not stress the business, and you can utilize the extra cash in worthwhile ventures.
The best thing about commercial truck tire financing is that you are eligible for low interest if you have a good credit score. If you don’t have any problems with going for a credit check, you can avail of this option.
Low interest means that you have peace of mind and do not need to worry about repayment. Therefore, if you have a good credit score and have been in business for some, you have increased odds of qualifying for low rates.
Excessive use of tires beyond their average lifecycle erodes the scoring on the tires. This reduces friction, and the trucks are more likely to skid off the road.
Since you are making monthly payments instead of shelling out a huge amount, you do not feel the need to use your old tires longer and wait to collect the total amount. There is less chance of risk of driving on worn and dangerous tires. Hence the odds of accidents happening are less too.
Tips To Keep In Mind Before You Look For Commercial Vehicle Financing
Greedy loan sharks will always be there to rip you off if you are not careful. Therefore, you need to keep in mind a few things to get the best deal.
- Determine how your trucks will serve your purpose and what type of tires you want to invest in.
- Know your jargon. Before you look for financing, research thoroughly about what the different terms mean. Check the maximum amount you have to pay and the range of interest rates you are eligible for.
- Bargain hard and negotiate with your lender to bring down the interest rates. Remember that if you have a bad credit score, chances are your interest rate will fluctuate.
- Ensure that your regular debt payments are notified to the credit bureau to improve your credit score.
Securing commercial truck tire financing is a convenient and affordable option. Not only do you not have to worry about your bad credit score, but you can also improve your score through timely payments. This even allows you to have good cash flow. With this option, you can procure high-quality tires without putting much pressure on your pocket.
Also, now that you are not wasting time waiting for the collection of the total amount for the purchase, you can ensure a safe truck movement.