Financing equipment with a credit card?

10% interest on 35k? I'd think long and hard about that. If it took you 5 yrs to pay it off, you'd be paying $743.50 per month. Total interest payed over 5 yrs would be $9609.74. That's high as hell.

 

At the rate your making now, can you pay it off in a year? Be carefull on those 0% apr offers and read the fine print. On some, if your not paid in full by the end, they back charge all the interest. IMO, you would be better off applying for a line of credit. Mine is only 4% interest. I can pay it when i want, and get more money when i want. i only pay interest ont he money I use. Right now it is set up for up to 45K and i have a 0 ballence. It cost me 25 dollars/year in service fees to keep it open and ready to go if something bad happens.

 

As a new o/o, that is definitely the lowest interest you'll pay for a truck and trailer. Typical interest rates are 18-30% for first time buyers on used trucks, plus origination fees.

 

I had good credit when I bought my truck. My interest rate was 13%. 10% is a good rate for a first time buyer.

 

I bank with a small local bank called univest. Many banks offer unsecured lines of credit if you have good credit. Its much more convenient to pay when i can and always know i have some back up funds ready

 

If you're going to buy your equipment with credit cards, do you have the liquid capital needed to run and not fail due to a big repair bill? Be honest with yourself on that one, and if the answer is no, allow yourself to change plans until you do. Truck and trailer for $35k means high mileage and almost certain to require some repair, or a lot of luck.

Good luck to you with whatever you decide.