Commercial Vehicle Loan Debt Attorney in Arizona
Many Arizona business owners invested in commercial vehicles in recent years, especially during the boom times to keep up with demand. Now that demand has declined in many industries, business owners find themselves with commercial vehicles they cannot afford. And too often, the commercial vehicle isn’t worth what is owed on the loan, leaving it upside down.
Our firm helps resolve many types of commercial vehicle loans, without bankruptcy:
- Agricultural Trucks & Tractors
- Box or Straight Truck
- Bucket Truck
- Car Carrier
- Cargo Van
- Catering Trucks & Trailers
- Food Truck
- Ice Cream Truck
- Cement Mixer
- Delivery Van
- Dump Truck
- Flatbed Truck
- Front Loader
- Garbage Truck
- Passenger Van
- Motor Home & RV
- Pump truck
- Refrigerated Truck
- Roll-on Vehicle
- Street Sweeper
- Step Van
- Tank Truck
- Tow Truck
- Truck Tractor
- Semi’s & Eighteen Wheelers
- Wheelchair Buses & Vans
Commercial Vehicle Loan Terms: Where it Can Go Wrong
When money was flowing from banks, loan terms on commercial vehicles were quite lax. It was not uncommon to find 100% financing and loan terms of 84 months or longer. The way commercial vehicle loans are structured, the interest is all piled up front. And of course, vehicles depreciate in value, especially new ones. Couple that with 100% financing, and it’s a recipe for disaster.
Upside Down Commercial Vehicle Loan? Repossession? What’s the Solution?
After making the payments for several months or several years, you can easily find yourself with a commercial vehicle loan that is worth much, much less than you financed it for. Couple that with tough economic times and other financial hardships many are facing these days, and you may need some help getting out of the burdensome loan debt.
An attorney negotiated debt settlement is a great option for many. We have decades of experience helping clients resolve debt problems. Our firm negotiates large reductions in debt (principal & interest) without bankruptcy. This allows clients to settle the debt for a fraction of what the creditor claimed was owed and move forward with their business.
How Does Commercial Vehicle Debt Settlement Work?
If you can’t afford to make your payments anymore and default on a commercial vehicle loan, the lender will look to execute on the collateral. This means repossession. The loan is secured by the vehicle itself, and the lender has the right to repossess the vehicle in the event of default. But that is not the end of it.
When you got the loan, you likely signed a personal guarantee of the loan. This gives the lender the right to sue you and come after your personal or business assets to try to collect on the balance owed. For example, if you financed a vehicle for $100,000, but the repossession only netted the bank $50,000 at auction, then the lender may try to pursue you for the $50,000 difference based on your personal guarantee of the loan.
One of the first things our firm does is carefully review all of the loan paperwork. Lenders are highly regulated and Arizona and federal law have provisions that protect borrowers who take on commercial vehicle loans. We perform a careful analysis of the documents and applicable laws to determine if you have viable defenses.
We then begin the negotiation process with your lender. A successful loan negotiation means that the client ends up settling the debt for a fraction of the balance, without bankruptcy.
We excel at defending borrowers and helping resolve debt issues.
Call today for a free consultation.