Lenders tighten credit standards for owner-operator truck purchases as market softens

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{"text":"Owner-operators hoping to purchase a truck likely will now face new hurdles, as lenders in recent weeks have begun stiffening credit standards for equipment purchases, especially for one-truck operators, says Rob Misheloff, founder of equipment leasing and finance brokerage SmarterFinanceUSA.\n\nLenders’ moves are the latest shift amidst a cooling truck market, with 2019 ushering in a freight slowdown and cheaper rates, especially on the owner-operator-heavy spot market. What’s more, some analysts predict that the Class 8 sales market is nearing a cliff, coming after record-setting order numbers in 2017 and 2018.\n\nMisheloff works between buyers and lenders to find financing for equipment purchases. What was recently a hot market — lending to owner-operators for truck purchases — has dried up, he says. “There was a boom for smaller carriers. Small, private lenders had an appetite” to sell those loans, says Misheloff.\n\nRecently, however, he’s having trouble finding lenders that will work with single-truck owner-operators, with many requiring buyers to operate at least three or five trucks before they’ll issue a loan. Other lenders have tightened standards around truck age and mileage, he said, requiring operators to buy newer models with fewer miles.\n\nRead more: https://www.overdriveonline.com/lenders-tighten-credit-standards-for-owner-operator-truck-purchases-as-market-softens/ ","videos":"[]","link":"{}","pics":"[]","canComment":true}

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{"replyTo":"","text":"my bank won't loan me sh!t cause they say trucking to risky. but you can find some people that will sell you a truck on payments. but you can't be picky. also better save about $15000 to get insurance and have back up funds and fuel.","replyToPid":0}