top of page

Equipment Financing with Bad Credit

If you’re looking for an equipment loan but you don’t have great personal credit history, you are not alone. It is more common than you think! In fact, Google tells us that in our industry, one of the most searched phrases is “equipment financing for bad credit.” We’re here to break it down for you – what can you expect when you talk to a lender? How can you put your best foot forward for your equipment loan?

It is true that a poor commercial or personal credit history can make it hard to get financing on your next loan. Most lenders offer standard programs with minimum credit score requirements and key disqualifiers. This is why it’s critical to start your equipment finance loan process by working with the right company and the right person. The right partner will be willing to spend time with you, ask questions about your credit history and dig for positive facts in that history.

There are three key contributors that can help an underwriter overlook your bad credit history: cash, value of the equipment you’re purchasing, and explanation of your previous credit.


The best way to show your level of commitment to your purchase is by putting money down on a loan or paying upfront payments on an equipment lease. With cash up front, lenders will sometimes overlook credit issues or limited credit history.

Value of the equipment to your business

Putting a number behind the value that the equipment will provide to your business can go a long way. When you can show that the purchase will directly impact your revenue, it helps the lender see how the loan will be paid back.

Explanation of previous credit

We are all human. Lenders do understand that hardship happens in everyday life, or that a business venture can go wrong. Take some time to understand what is contributing to your credit history so you can provide details behind the credit score. Most lenders have a dedicated resource that will listen to your story and see if they can use that explanation to overturn a decline.

Navigating the nuances of bad credit can be challenging. Priority One’s dedicated financing representatives are available to walk you through it. We have longstanding relationships with lenders, helping us vouch for your credit history and give you the best opportunity for your next equipment finance loan.

Learn how Priority One can help your business grow.

bottom of page