Heavy commercial vehicles (Class 6 and above) do not fall under the same valuation guidelines as personal motor vehicles. In other words, there is no blue book value for used commercial trucks. Wholesale values ​​for auction purposes can be found in the Black Book, however, when it comes to a fair market purchase price, the purchase price is based on the age and condition of the vehicle and the Comparable retail value on the seller’s market.

Finance companies view heavy commercial trucks as valuable business assets. These vehicles can help small and medium-sized businesses add capital equipment to their operations at a fraction of the cost of purchasing new equipment. The average life of a commercial truck with regular maintenance can be more than 30 years.

Equipment financing is usually done by professional lending institutions that have a working partnership with equipment dealers. This makes buying a used truck quite simple because the equipment dealer will work with the lender on behalf of the customer to secure the necessary funds for the purchase. Dealers find that by using loan companies they can offer the most competitive loan rates and terms to their customers. Having alternative financing for a client can be an advantage for business owners who don’t want to tie up their working capital or business lines of credit.

Banks are willing to lend money for the purchase of used equipment and determine their interest rates based on the stability of the borrower, credit rating and length of time in business. Used equipment purchases generally have a slightly higher interest rate than new, but can still be very competitive depending on how long you plan to have the note. Most lenders prefer at least 5 years in business and in some cases will accept credit scores in the low 600’s and interest rates can be as low as 5.5%.

Larger dealerships will have several financial partnerships set up for bucket truck financing, making it even more convenient for buyers. When it comes to qualifying for financing, borrowers with good credit scores are valued and are offered the best interest rates, but that doesn’t mean borrowers with less than stellar credit scores are exempt from getting a loan. Lenders may require more money up front, a better exchange, or a slightly higher interest rate may apply.

When it comes to buying used business equipment, there are several financing options available. Whether you’re shopping for used bucket trucks, grapple trucks, logging trucks, or excavator cranes, financing doesn’t have to be a problem. I-80 Equipment is here to help you with your used truck purchase and financial needs.