Why Was My Credit Declined!??

When you check your credit score and notice a small drop, it’s usually nothing to worry about. It’s common for credit scores to fluctuate in small increments. 

However, if you see a large drop of at least 15 to 20 points or more, you should find out the cause. This can help you determine whether it fell based on your actions, a credit reporting error, or possibly identity theft.

To help you answer this question, we’ve compiled a list of potential reasons you may have seen your score dip. You’ll also learn some tips on how to solve each issue so you can improve your credit score.

6 Reasons Your Credit Score can Drop

1. Derogatory Remarks on Your Credit Reports (i.e. bankruptcy, collections, and foreclosure)
2. Inaccurate Information on Your Credit Reports reviews the three major credit bureaus – Equifax, Experian, and TransUnion. You can review all three reports for free at AnnualCreditReport.com. If you believe someone has stolen your identity, file a report with the Federal Trade Commission (FTC) through IdentityTheft.gov and freeze your credit with all three bureaus as soon as possible.
3. You missed a payment – this accounts for 35% of your FICO. Enrolling in autopay reduces the chances of missing any payments.
4. Your credit utilization has increased – this accounts for 30% of your FICO. In general the lower your credit utilization, the better your credit score.
5. One of Your Credit Limits Decreased – watch for lenders reducing your credit limit.
6. You Applied for Multiple credit Products – when you apply for credit, a lender usually performs a hard credit check to review your creditworthiness.  Each credit inquiry can temporarily drop your credit score by up to five points for one year, according to FICO.

6 Things You Should Do If You’ve Been Denied Credit

1. Review the Reason for the Denial
2. Plead Your Case
3. Check Your Credit Report and Credit Score
4. Address Credit Concerns
5. Apply With a Different Lender
6. Continue to Monitor Your Credit

How to Improve Your Credit Score

Get a free copy of your credit report and score so you can understand what is in your credit file. Next, focus on what is bringing your score down and work toward improving these areas.

1. Pay your bills on time
2. Pay down debt
3. Make outstanding payments – get current
4. Dispute inaccurate information on your credit report
5. Limit new credit requests
6. Check into Experian BOOST

What to Do if You Do Not Have a Credit Score

1. Get a secured credit card
2. Become an authorized user on someone’s credit card. (i.e. spouse or family member)

If you have any credit questions or are interested in financing with JX Financial Inc or Alltrux Capital, please reach out to our Finance Experts.  

Your Partner for the Long Haul!

Author:  Connie Marlatt – F&I Executive

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Is it the Right Time to Buy Equipment?

The answer is, YES! With more and more states opening back up for business or even starting a business, now is the perfect time to start expanding your business.

Low Rates Make Financing Affordable

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With people eager to get back to full production this is an excellent time to buy.

The Fed has kept interest rates low in order to encourage businesses to make the expenditures they need.  JX Financial Inc and ALLTRUX Capital LLC provide equipment financing you can count on.  

Tax Advantages of “Section 179” vs. “Bonus Depreciation”

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Another good reason to purchase equipment. What are the tax advantages? Click on the link and see our blog from earlier this year. It is a quick and helpful read.  “Section 179” vs “ Bonus Depreciation”  

What information do you need to finance my truck or trailer

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• Credit application
• Copy of CDL
• Two years of verifiable driving/working history preferred.

We have finance solutions for customers with less than perfect credit and first-time buyers.

Get in touch today to learn more about what we can do for you.

We have many loyal customers. JX Financial Inc and ALLTRUX Capital LLC would like to thank you for your continued business. It is always a pleasure serving you and we certainly look forward to doing business with you in the New Year.

For your equipment needs check us out at JXE.com

Author: Connie Marlatt – F&I Executive                                            “Your Partner for the Long Haul”

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Bonus Depreciation vs. Section 179:

WHAT’S THE DIFFERENCE?

This year is half over and shortages are making trucks and trailers difficult to find. When you do purchase a piece of equipment, do you take advantage of Bonus Depreciation or Section 179? When your business purchases a piece of equipment, you are supposed to spread the tax deduction over the asset’s life. But why wait? The Section 179 Deduction and Bonus Depreciation are two ways to get your entire tax break up front.

You may be asking yourself this question:

So what is the difference between Section 179 and Bonus Depreciation?

Section 179 lets business owners deduct a set dollar of new business assets, and Bonus Depreciation lets you deduct a percentage of the cost.

In the past, Bonus Depreciation only covered 50% of an asset’s cost upfront, but as of the (2020 Bonus Depreciation new rules) this is now 100%, so now both models let you deduct the entire cost in the same year.  Based on the (2020 Section 179 rules), Section 179 gives you more flexibility on when you get your deduction, while Bonus Depreciation can apply to more spending per year.

How do you know which works best for your business?

Key Points for Section 179

Section 179 – Flexibility of when you use this deduction. This deduction can also be used on Real Estate upgrades. You can choose which purchase to cover under the Section 179 deduction and which to save as a future tax break You can even split the deduction for individual purchases. Bonus Depreciation does not cover this category. The annual limit on deduction: The Maximum Section 179 deduction per year is $1,050,000, after that the amount you are eligible to deduct starts to decrease.

Key Points for Bonus Depreciation

NO Annual limits on deductions, 100% deduction: This deduction isn’t limited to cost, a stark difference between Section 179 and bonus depreciation. You can deduct your entire Investment no matter how much you spend per year. Bonus Depreciation deduction can be larger than your business income! Unlike the Section 179 deduction, Bonus Depreciation must apply to 100% of an asset’s cost and all assets must be in the same category. If you use Bonus Depreciation for one 5-year asset, you will need to use it for all 5-year assets bought that year.

You can use both Bonus Depreciation and Section 179 in the same year. Consult with your Accountant to see what combo will deliver the most bang for your Business write-offs.  

Improve cash flow. Take 100% of the deduction this year!

 Finance your equipment with

JX Financial, Inc. or ALLTRUX Capital LLC

To start the process, use our online application and Apply Now!

Author: Connie Marlatt – F&I Executive JX Financial Inc.

The post Bonus Depreciation vs. Section 179: What’s the Difference? appeared first on JX.

Why Finance Transportation Equipment?

So, why finance vehicles or equipment in the first place? Isn’t it better to pay cash so you don’t accumulate debt? Yes and No.  

Certainly you do not want your business to be saddled with so much debt that you can’t grow. Transportation loans can help you build credit and free up working capital. Rather than pay cash for a commercial vehicle and then have a hole in your bank account.

Are you turning down loads?

By pursuing equipment financing options, you can focus on growing your business and increasing sales. Most likely, you probably already own necessary equipment. However these tools can break, often when you least expect it. Do you find you do not have enough equipment? Being able to finance more equipment will allow you to serve even more customers!

Developing your fleet early is essential for successfully positioning yourself in this very competitive industry.

Requirements for Transportation Financing

You will need a credit score of 650 and a minimum of 2 years experience. If your credit score isn’t that high or you do not have 2 years of experience, you may still be able to find financing on a used truck at a high interest rate. Growing fleets will need your last three year Financial Statements.

Finding the right financing solutions is a phone call away and most borrowers secure commercial vehicle financing with ease. We have a desire to help customers with the best overall programs that meet their needs. Interested to get started and finance transportation equipment? Connect with our finance professionals and get started by filling out the credit application. 

Start Today!…Increase Your Revenue Today!

Author:  Connie Marlatt,  F&I Executive 

The post Why Finance Transportation Equipment? appeared first on JX.

2020 OHHH… WHAT A YEAR!!

On behalf of everyone at JX Financial, Inc., we would like to THANK YOU for being our customers. We value the trust you have put in our products and services and would like to thank you for that. It’s always a pleasure serving you and we certainly look forward to doing business in the New Year.

COMING SOON!!

For JX Financial Inc Customers, Your “ONE STOP” Customer Portal

• You can check your Balance
• Get a copy of your title
• Get a copy of your Amortization schedule
• Year end Interest statements

Watch for “The Financial Highway” on Social Media.

• Latest Blog
• Finance Promotions
• Quick tips on how to use our Customer Portal

If you are interested in financing with JX Financial or Alltrux Capital start the process by filling out the credit application or give our finance professionals a call.

Authors: Connie Marlatt – F&I Executive & Kathy Moseng – F&I Executive

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Protecting Your Credit During the Coronavirus Outbreak – New FICO 10 Scoring in 2020

As the number of coronavirus cases spreads, it is also having a negative impact on the financial health of the economy at large and the economic well-being of individuals across the United States.  The unusual nature of this pandemic has impacted some people’s ability to pay bills on time. However, there are some financial habits that people have actively changed.

Paying down revolving debt with less spending, some have decided to use the extra dollars to pay down debt. This not only helps them from a credit perspective, but as mentioned above, it’s a way for them to use their discretionary money for more productive purposes.

Holding on to cash You might’ve heard the term “cash is king.” In these unsettled times, some people are holding onto their cash just in case. Will unemployment hit them? Will something in their Home need repair or replacement? Will their semi-truck or trucks break down? Not knowing what the future holds, having cash on hand is helping many people feel comfortable.  

As of January 23rd 2020 New FICO 10 Scoring is available for lenders to use in making their lending decisions. The last time FICO scoring changed was in 2014. What does that mean to you?  The new version of credit scoring models tend to treat information the same. FICO 10 includes several meaningful differences that are important for you to understand. Credit scores play a large part in determining interest rate and terms when applying for a loan.

FICO 10 scoring – Top 5 credit score factors

1. Payment History – Installment credit
2. Credit utilization – Revolving credit
3. Credit history length
4. Credit mix 
5. New credit

How does having different accounts affect my Credit Score?

Credit mix- or the diversity of your credit accounts – is one of the most common factors used to calculate your credit scores. It is also one of the most overlooked by Consumers. Maintaining different types of credit accounts, such as a mortgage, personal loans, business loans and credit cards, shows lenders you can manage different types of debt at the same time. It also helps them get a clearer image of your finances and ability to pay back debt.

FICO 10T  Trending Data – Installment Debt, Revolving Debt Allows a credit scoring model to determine whether you are reducing, maintaining or increasing your balances over time, developing FICO 10 & 10T vs. a single score.

What Can Hurt Your Credit Score

1. Missing payments
2. Using too much available credit
3. Applying for a lot of credit in a short time.
4. Defaulting on accounts. The types of negative account information that can show up on your credit report include foreclosure, bankruptcy, repossession, charge-off’s, settled accounts. Each of these can severely hurt your credit for years, even up to a decade.

Late payments are more pronounced than with prior FICO score versions. Setting up autopay to send payments on the due date will go a long way toward keeping your scores in good standing.  Staying current on your obligations is a great way to build & maintain solid credit scores regardless of the scoring model.

Credit Utilization  CC debt will have a big impact with FICO 10. You should try and maintain a low utilization percentage. Utilization should be at 50% or lower. If you leave your unused or infrequently used credit cards open rather than closing them, your scores continue to benefit from the unused credit limit.

Personal Loans also known as signature loans might lower your FICO 10 score. These unsecured installment loans are commonly used to pay off debt. For instance debt consolidation paying off higher-interest loans.

Is this good or bad? Bad if you are still paying on the consolidated loan and charge new debt on the cards you consolidated from. All of this will be tracked under the New FICO 10 scoring model.

What if I already have a good score? You will benefit as well. Your score will go up.

What if I do not currently have a score ? You will still not have a score. You are not meeting the minimum data standards.

Can service accounts impact my credit score?  Service accounts, such as utility and phone bills, are not automatically included in your credit file. Historically, the only way a utility account could impact a credit score was if you didn’t make payments and the account was referred to a collection agency. But this is changing. A revolutionary new product called Experian BOOST now allows users to get credit for on-time payments made on utility and telecom accounts. Experian Boost works instantly, allowing users with eligible payment history to see their FICO Score increase in a matter of minutes. Currently, it is the only way you can get credit for your utility and telecom payments. Through the new platform, users can connect their bank accounts to identify utility and phone bills. After the user verifies the data and confirms they want it added to their credit file, they will receive an updated FICO Score instantly. Late utility and telecom payments do not affect your BOOST score – but remember, if your account goes to collections due to nonpayment, that will stay on your credit report for seven years.

How to Improve Your Credit Score

Get a free copy of your credit report and score so you can understand what is in your credit file. Next, focus on what is bringing your score down and work toward improving these areas.

1. Pay your bills on time
2. Pay down debt
3. Make outstanding payments – get current
4. Dispute inaccurate information on your report
5. Limit new credit requests

What to Do if You Do Not Have a Credit Score

1. Get a secured credit card
2. Become an authorized user on someone’s credit card. (i.e. spouse or family member)

Has the Coronavirus Affected Our Financial Habits? YES!

The global pandemic has changed a lot of aspects of life. Although we could be going through similar issues because of the coronavirus, we’re all in different financial situations. For most of us, our routines have changed so much; it feels as though we’re living a completely different life from only a few months ago. The same holds for the way many of us are treating our money which is why it is important for us to protect our credit during the coronavirus outbreak.   

If you have any credit questions or are interested in financing with JX Financial or Alltrux Capital, please reach out to our Finance Experts. Your Partner for the Long Haul!

Author: Connie Marlatt – F&I Executive

The post Protecting Your Credit During the Coronavirus Outbreak appeared first on JX.

For the past three months since the CARES Act passed Congress, it has largely felt like the traditional commercial lending market has come to a screeching halt. Banks converted all their resources to making Payroll Protection Program loans, commonly known as “PPP” loans. Now that most lenders have gotten their PPP clients funded, many people are asking:

“What is next? Are lenders still making Commercial loans?”
The answer is a most definite. “Yes!”

Despite the focus on PPP loans over the past three months, JX Financial Inc and ALLTRUX Capital LLC have continued to approve Commercial loans. We are working with our customers through this pandemic by providing payment relief extensions and will be here when this has passed.

JX Financial Inc.

JX Financial Inc. was established in 1984 and is dedicated to flexible financing, finding the right financing for your transportation needs, and financing semi-tractors and trailers. As a “One-stop shop.”, JX Financial Inc. provides options for every need.

ALLTRUX Capital LLC

ALLTRUX Capital LLC was established in 2013 with a dedication to used truck buyers and first-time buyers with less than perfect credit.

However, be prepared to answer some new questions:

• Is your business open?
• How could your business continue to be impacted by COVID-19 going forward?
• Have you acquired new customers?
• Have you seen an increase in freight?

If you are in need of a commercial loan, fill out our credit app and give our JX Financial and ALLTRUX Capital professionals a call. Our team is available to begin your loan process and answer any questions you might have. No matter what is going on in today’s world, “We are your Partner for the Long Haul.”

Authors: Connie Marlatt – F&I Executive & Kathy Moseng – F&I Executive

The post Commercial Loans – Are Lenders Still Lending? appeared first on JX.

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Are you delaying your buying decision to 2020…DON’T! Take advantage of bonus depreciation for new and used equipment in 2019.

What is bonus depreciation?

Bonus depreciation is a method of accelerated depreciation. This allows a business to make an additional deduction of 100% of the cost of qualifying equipment in this year in which it is put into service.

For more information visit: https://www.irs.gov/newsroom/additional-first-year-depreciation-deduction-bonus-faq

How to take advantage of 100% bonus depreciation deduction:

• Purchase your equipment at JX Truck Center in 2019.
• Purchase new or used equipment.
• There is no dollar limit on the amount of qualified equipment.

With winter around the corner, JX Financial is offering Finance Specials to help you take advantage of bonus depreciation in 2019.  Now is a great time to prepare for 2020 and take advantage of bonus depreciation in 2019.

If you are interested in financing with JX Financial or Alltrux Capital apply online today.

Authors: Connie Marlatt – F&I Executive & Kathy Moseng – F&I Executive

The post Last Chance to Take Advantage of Bonus Depreciation for New & Used Equipment appeared first on JX.

JX is known to be a one stop shopping experience for anyone with transportation needs. And when it comes to truck financing, we’ve got you covered.

Our JX Financial team takes the time to understand your needs and goals in order to offer the best financing solution. It is our goal to provide the financial option that best fits your long-term needs by providing flexible, customized lease and loan packages to meet the changing needs of your business. We understand the transportation business and are committed to your success. We offer solutions with low down payments, trade in deals and will work with your credit score.

Here are the financial services that we offer:

• Providing trusted financing for over 30 years
• Creative financing and leasing solutions for commercial trucks, tractors and trailers.
• TRAC leases
• Flexible financing plans, including skip payments & delayed payments.

JX frequently offers finance specials so be sure to ask your Finance Expert or your local JX Sales Executive.

If you are in the market for a truck or trailer that you might need financing, please submit a credit application today or contact a JX Financial expert who can help answer any questions. Let’s get the process started to get you financed and on the road quickly!

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