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Maxim Commercial Capital 150% Growth Deep Subprime Truck Financing

80% approval rate, 37 states, no FICO floor

Author

Jordan Hansen
October 14, 2025

Maxim Commercial Capital reported 150% growth in funding volume for Q1 2025 compared to the prior year. This matters because it happened while freight markets stayed soft and most lenders pulled back. The firm specializes in hard-asset secured financing for small and mid-sized businesses, writing loans and leases from $10,000 to $3 million on heavy equipment, real estate, and Class 6 and 8 trucks and trailers.

What Credit Profile Are They Actually Funding?

Maxim operates in the B-D credit segment. No minimum FICO requirement. They'll work with discharged bankruptcies and past foreclosures if the deal structure works and the collateral is solid.

Real deals from their book:

  • $48,000 on a 2020 Kenworth T680 for an owner-operator with a 581 FICO

  • $23,000 on a 2020 utility dry van for an existing customer with a 540 FICO

This is the non-prime segment where traditional banks won't play. Maxim views credit challenges as structuring opportunities, not automatic declines.

How Are They Growing When Freight Demand Is Weak?

The 150% year-over-year increase happened during continued freight market weakness. Equipment replacement and business expansion needs don't stop when macro conditions get rough. They just move to lenders willing to underwrite them.

Management says being closely held gives them operational flexibility that larger, corporate-owned competitors don't have. While others tightened credit boxes or exited the segment, Maxim kept funding. Their CEO positioned the company as the preeminent non-prime finance company for entrepreneurs and brokers, committing to infrastructure and team investment despite market uncertainty.

Where's the Opportunity When Banks Retreat?

When traditional lenders pull back, specialized non-bank lenders fill the gap. Maxim reported consistent demand for over-the-road truck and trailer financing specifically while competitors withdrew. Market conditions suggest the truckload market will tighten in 2025, gradually shifting in favor of carriers. Lenders who can secure reliable assets now are positioning for that shift.

Operating without a large corporate parent means Maxim can maintain deal flow and expand when others are forced to contract. That structural advantage converts directly to market share during stress periods.

What Are Their Actual Approval and Operational Metrics?

Q1 2025 performance:

  • 80% approval rate on all financing applications submitted

  • Funded deals across 37 states

  • Same-day approvals guaranteed for Owner-Operator truck purchase applications submitted before 5 PM Pacific Time

These numbers demonstrate both aggressive underwriting and operational capacity at scale.

What Equipment and Credit Parameters Do They Actually Finance?

Transportation and vocational vehicles: over-the-road tractors and trailers, tow trucks, dump trucks, construction heavy equipment.

Specific parameters:

  • Class 8 Tractors: 2018 or newer, under 700,000 miles

  • Class 6 Tractors: 2018 or newer, under 200,000 miles

  • Trailers/reefers: 2018 or newer

Target customers: owner-operators, non-CDL investors, small fleet owners. These operators need specialized financing for used assets, and they typically fall outside what large institutional lenders will underwrite.

Sources

What's Maxim Actually Charging for Non-Prime Truck Financing?

Maxim Commercial Capital operates at the high end of non-bank pricing. They don't disclose explicit APRs or factor rates, which limits institutional due diligence. However, reported deal terms reveal their pricing structure clearly compensates for the extreme credit risk they accept.

How High Are the Effective Rates?

Analysis of published deal terms shows Maxim operates well above traditional commercial rates. Their effective APRs align with the high-yield, deep subprime category.

Deal breakdown examples:

A $41,150 truck for a startup with discharged bankruptcy and 678 FICO required $10,000 down (24%). The financed amount of $31,150 carries a $1,509 monthly payment. Over 60 months, total repayment reaches $90,540, translating to approximately $59,390 in interest charges. This structure places the contract in the range typical for bad credit business loans (20% to 99%+ APR).

Another transaction involved a $51,500 truck with $12,200 down, financing $39,300 at $1,806 monthly. Total repayment of $108,360 means roughly $69,060 in interest. These terms confirm a deliberate high-rate risk pricing strategy necessary for portfolio volatility in this demographic.

The credit bureau advantage:

Maxim does not report to credit bureaus. This policy serves dual purposes: it appeals to borrowers avoiding credit reporting on high-cost debt, and it gives Maxim strategic flexibility to price and manage credit risk outside conventional regulatory pressures.

How Does Down Payment Function as Risk Control?

Maxim manages risk variability primarily through down payment requirements rather than rate adjustments alone. The stated minimum is 20%, but this escalates significantly when the asset prices above market or the borrower presents deep subprime characteristics. This capital buffer protects against immediate collateral value erosion, critical in a market with volatile used equipment values.

What Credit Profiles Actually Get Approved at 80%?

The 80% approval rate and 150% year-over-year Q1 2025 growth signal aggressive market share capture. Maxim takes paper rejected by tightening bank channels. Without disclosed portfolio performance metrics, the approval rate demonstrates competitive access rather than portfolio quality.

Actual funded profiles:

Maxim consistently funds deep subprime transactions with FICO scores as low as 540, 581, and even startup contractors below 500 FICO. They finance experienced operators with charged-off accounts, late mortgage payments, and up to 12 collection accounts. This risk exposure requires premium pricing well beyond prime rate ranges (6% to 7% for good credit).

Where Are the Underwriting Guardrails?

Despite low FICO acceptance, Maxim enforces specific controls to limit catastrophic loss exposure. The underwriting box is strategic, not reckless.

Automatic declines:

  • Recent auto repossessions

  • Open tax liens over $10,000

  • Specific high-risk engine models (Mercedes Benz, Maxxforce 7, 9, 13, Cat-13 engines)

Asset-level risk transfer:

For high-mileage trucks over 600,000 miles (Class 8), Maxim mandates extended warranties. This transfers maintenance and mechanical risk away from the lender, a defensive move when financing older, heavily-used Class 8 trucks (2018 or newer, up to 700,000 miles) that dominate the non-prime owner-operator segment.

What's the Real Collateral Strategy Beyond the Truck?

Maxim's structure extends beyond simple equipment financing into sophisticated hard-asset secured deals.

Real estate equity leverage:

Maxim frequently uses 2nd and 3rd lien financing secured by real estate. This lets borrowers access working capital, debt consolidation, or equipment funding by leveraging property equity while keeping favorably priced 1st mortgages. This cross-collateralization provides superior default cushion compared to relying on volatile truck resale values, particularly for used equipment currently priced high.

Vocational vehicle focus:

Deal flow balances between over-the-road trucks and specialized vocational vehicles (dump trucks, tow trucks). Vocational truck demand ties to infrastructure and construction contracts. The market projects 70% growth to $11.6 billion by 2031. This equipment typically holds firm resale values compared to high volatility in the OTR segment. Maxim actively finances these vocational deals.

Why Is Timing Relevant in the Current Freight Environment?

Maxim maintains steady deal flow by filling the capital void created when competitors exit during economic headwinds and the extended truckload market deflationary period. The truckload marketplace is forecast to tighten in 2025, potentially by Q2. Maxim is positioning during the current stress period. Trailer values saw an average 4% wholesale increase in Q2 2025, indicating owner-operators continue prioritizing specialized asset financing despite overall freight softness.

Our Opinion

Maxim Commercial Capital's Q1 2025 performance demonstrates how specialized non-bank lenders capture market share during credit contraction cycles. The firm's 150% year-over-year growth and 80% approval rate reflect disciplined deep subprime underwriting, not reckless credit expansion. Their effective APRs in the 35-45% range on financed amounts properly price for borrowers carrying 540-581 FICOs, discharged bankruptcies, and collection accounts that traditional banks automatically decline.

The strategic advantage centers on three structural elements: aggressive down payment requirements (20% minimum, escalating with risk), cross-collateralization using 2nd and 3rd lien real estate positions, and credit bureau non-reporting that appeals to borrowers managing credit rehabilitation. Equipment-level risk controls (engine model exclusions, mandatory extended warranties above 600k miles) demonstrate operational sophistication beyond simple credit scoring.

Most notable is the real estate equity leverage strategy. By layering truck financing with subordinated property liens, Maxim achieves superior loss protection compared to pure equipment lenders relying solely on volatile used truck resale values. This structure enables sustainable lending in segments where asset-only underwriting fails.

For competing non-bank lenders, Maxim's model confirms that deep subprime transportation financing remains viable at appropriate pricing levels with proper collateral layering. The Q2 2025 trailer value increases (4% wholesale average) and projected 2025 truckload market tightening suggest tactical positioning during current freight market weakness creates advantageous entry points for lenders with capital access and operational capability to manage high-touch, high-rate portfolios.

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