TFS and WEX Launch Equipment Financing Program for Carriers

TFS Financial and WEX have partnered to offer equipment financing to trucking fleets as carriers begin replacing trucks and trailers delayed during the prolonged freight recession. The program, called Equipment Financing Powered by TFS, connects WEX Over-the-Road customers across North America with financing providers through TFS' multi-lender platform, which matches borrowers based on credit profile, asset type and loan terms. Fleets have faced three years of freight market weakness that forced many to postpone routine equipment replacement cycles. Companies that normally purchase equipment on three- to six-year cycles extended those timelines to manage high operating costs and rising equipment prices. The backlog now leaves carriers needing to replace double the usual amount of vehicles in compressed timeframes. For drivers and fleets, the financing partnership addresses a real pain point. Carriers struggling with tight lending conditions and limited capital can now access multiple lenders at once rather than applying individually. Aaron Case, president of TFS Financial based in Vancouver, British Columbia, said the goal is becoming the one-stop shop for transportation finance. WEX vice president Noel Glasgow told FreightWaves that fleets have repeatedly requested equipment financing options, especially as confidence begins improving after the downturn.