Commercial Vehicle Loan: What You Need to Finance a Semi Truck

What do I need to apply for a commercial vehicle loan? We have the answers!

Getting a semi truck loan doesn’t need to be stressful. Before applying, having the right documents can speed up the process as well as your approval. Here’s a quick rundown of key documents and information you may need while applying for a commercial truck loan.

Personal Documentation

Lenders first need to verify who you are and make sure you’re qualified to operate a heavy-duty vehicle.

Identification: Driver’s license, passport, or another government-issued ID.
Proof of Residence: A utility bill, mortgage statement, rental or lease agreement to confirm your current address.
Commercial Driver’s License (CDL): You are required to prove that you’re legally certified to operate heavy-duty trucks and machinery.
Credit Report or History: Lenders want to see your financial track record and creditworthiness. Need tips on credit-based financing? Check out our financing blogs!

Business Information (for Owner-Operators and Fleets)

If you’re purchasing a truck for your business, have these documents to show its established and legally registered.

Business License & Registration
MC/DOT Numbers (if applicable): Required to prove legal operation authority.
Articles of Incorporation or Partnership Agreements: For corporations or LLCs.
Business Plan: If your business is new, outline how the vehicle will generate revenue.
Helpful Resource: Learn about DOT numbers and authority from the Federal Motor Carrier Safety Administration (FMCSA).

Additional Documentation Lenders May Require

Depending on your credit profile or asking loan amount, lenders might need additional documentation to strengthen your application.

Professional or Personal References
Proof of Down Payment: Bank statement or cashier’s check copy.
Vehicle Insurance Certificate: To prove your vehicle will be covered.
Collateral: If you’re using other assets to secure the loan.
Truck Purchase Agreement or Quote: From the dealer.

Truck Loan Requirements

Besides the standard documents, lenders typically look at your financial stability, industry experience, and ability to make a down payment.

Application Form: Complete the credit application and be as transparent as possible. By being thorough, we can help find financing options that suit your needs.
Down Payment: A typical down payment can range from 10% to 20% of the vehicle’s cost, depending on your credit. Showing that you have enough funds for a substantial down payment is crucial.
Experience: If you’re a first-time buyer, lenders often ask for proof that you have at least two years of commercial vehicle driving or operating experience.

Semi Truck Financing

Having your documents organized and ready to go is the first step to a quicker approval. Working with a finance team makes the rest of the buying process simple, transparent, and stress-free. That way, you can avoid any delays due to missing paperwork or unanswered questions.

Ready to apply? Contact our in-house finance team today to start your commercial truck loan application or fill out our quick online finance form. Have questions? Visit our Kenworth Financing FAQs for more details and helpful tips.