Best Freight Factoring Companies

Top 7 Freight Factoring Companies as Chosen by Carriers

Choosing which load factoring company to work with is a big decision for any carrier. While there are many benefits to factoring, it is important that you choose the company that is right for you to fully enjoy these benefits. In order to make the process a little easier, DAT has reached out to several experts to get their feedback on the best factoring companies for truckers.

Freight factoring, also called transportation factoring, trucking factoring, or freight bill factoring, is a process in which the person or business that delivers a load sells their invoice to a factoring company. The factoring company then pays the carrier or owner-operator the full amount of the invoice, minus a small percentage, within as little as 24 hours of receiving the invoice. This is often a better alternative than waiting a month or longer for a broker to pay the invoice. The time it takes to receive payment can depend on a variety of factors, but generally different factoring companies will have different timelines for payment.

The essential point to remember is that factoring should not be confused with lending. When a factoring company purchases your invoice, that invoice belongs to the company. With factoring, drivers and businesses are able to get paid in advance — and use these funds to pick up new loads — without having to get a loan or incur debt.

The following seven freight factoring companies have been selected according to feedback from carriers and owner-operators — and then vetted by industry experts. Here’s what you need to know about choosing the right one for your business.

1. OTR Capital

Better Business Bureau® Rating: A+, accredited

OTR Capital’s non-recourse factoring program leads the trucking industry in service, features and benefits. The company was founded in 2011 to help carriers and owner-operators maintain a positive cash flow while growing their business. OTR Capital has experience working with small, medium, and large companies, and is focused on building strong, long-lasting relationships with customers. 

OTR Capital offers the most trustworthy flat factoring rates in the industry with no hidden fees and straightforward factoring programs. With transparent pricing, no long-term contracts or commitments, and customized factoring programs to fit your unique business needs, the company stands out as the number one choice for factoring loads. 

OTR Capital’s comprehensive services have earned them overwhelmingly positive reviews. Users point to OTR Capital’s professional and personable customer service and quick response time as particularly exemplary. According to one representative from Lydel Logistics Corp, “No issue is unimportant [to OTR Capital] and all issues are fixed in a timely and efficient manner.” Another customer, R. Muller, adds, “We have been factoring with OTR Capital for 3 years and could not be any happier with our Factoring Company. OTR Capital is always striving to simplify the process for the drivers and treats their customers like family! They provide you with fuel card incentives/discounts and software to help you as a client to build the most profitable business.”

In particular, OTR Capital offers:

  • Both recourse and non-recourse factoring
  • No chargebacks on cleanly delivered loads from approved brokers
  • 24/7 credit checks
  • Simple invoicing through the client portal and convenient mobile app
  • No monthly minimums, volume limits, or credit restrictions
  • Dedicated account manager to handle all cash flow and back-office needs

With 4.7/5 stars on Google and an A+ rating on Better Business Bureau®, OTR Capital is the top factoring company as chosen by industry experts.

2. RTS Financial

Better Business Bureau® Rating: A, not accredited

RTS offers quality freight factoring in addition to a variety of other services specific for truckers, like fuel cards and software designed to help you manage your business. This software can help with managing your factoring agreement with RTS itself as well as other elements of your operation.

One industry expert we spoke to, Ahesa Johnson, enumerated the many advantages of factoring with RTS. She said, “We chose RTS Financial because they offer an agent/referral program where you can receive a percentage of the factoring fee for loads factored by referred clients. They also offered a lower rate and they have an app that allows you to process your loads and check the status. Lastly, they offer hourly same-day funding if you need it.”

These are all points that help bring RTS toward the top of the list of best freight factoring companies. Plus, here are some additional features that make RTS a good choice for owner-operators:

  • Non-recourse factoring
  • Up to 97 percent of invoice value paid upfront
  • Equipment leasing options
  • Fuel card program with a large credit line
  • Trucking-related software
  • Easy-to-use mobile app
  • Quality customer support through email, phone, and online chat

When asked why they chose RTS for their freight factoring, customers often point to the company’s low rates and fast payments. In theory, customers are able to get up to 97% of the value of their invoice upfront. However, there are some complications with this figure given that RTS lacks transparency when it comes to their pricing. Even when you contact their customer service, it can be difficult to determine exactly what fees you will be paying.

Another challenge with RTS is that, unlike with many other factoring companies, you can’t apply online for the service. Instead, you need to speak directly with a sales representative who will discuss your business and your options with you. Many people find this to be less convenient than simply applying online before speaking to a representative.

3Porter Freight Funding

Better Business Bureau® Rating: A+, not accredited

Porter Freight Funding was formed in 2011 with the goal of providing consistent cash flow to small and large trucking companies. In addition to factoring services, the company also offers a dispatching network with pre-approved brokers and shippers. Plus, with Porter, truck drivers can access free fuel cards with fuel advances, as well as discounts at chains across the country.

Porter offers flexible factoring services with no long-term contracts or commitments and has overwhelmingly positive reviews. Every client works with their own personal representative who understands their unique business needs. According Keith Lorren, owner of The Spice King Gourmet Seasonings, “Without Porter I would not have been able to scale my operations or inventory!” Rajiv Gomer, owner of District Cloud Solutions, adds, “They provided me with all of the support and knowledge I needed in order to make an informed decision moving forward financially. Their customer first focus is very evident, regardless of who you deal with at the company.”

Porter offers:

  • Both recourse and non-recourse factoring
  • Comprehensive dispatching network
  • Pre-approved list of brokers and shippers
  • Free fuel card with advances and discounts
  • Insurance quotes
  • Compliance assistance

With 4.6/5 stars on TrustPilot and an A+ rating on Better Business Bureau®, Porter Freight Funding is the go-to factoring company for many industry experts.

4. Apex Capital Corp

Better Business Bureau® Rating: A+, accredited

Another standout freight factoring company is Apex. Founded in 1995, Apex is one of the most established factoring companies in operation. Apex provides users with quality customer service that keeps them in the loop about their invoices.

Customer feedback is largely positive for Apex, with many customers finding that their invoices are advanced quickly and that their account executives are very helpful in helping them navigate the factoring process. This is particularly useful for new carriers that may not have the knowledge or experience to effectively factor their invoices and grow their business. The fact that so many of Apex’s customers feel that they are being supported is a big positive for the company.

In addition to their experience and top-notch customer service, Apex offers the following service highlights:

  • Both recourse and non-recourse factoring
  • Flat rate of 2 percent on already billed invoices
  • No fees related to monthly minimum volumes
  • No termination fees
  • Free credit checks
  • No hidden charges
  • Fuel card discounts
  • 24/7 access to their free online Account Management Portal (AMP)
  • Mobile app with image capture technology so you can factor from anywhere
  • Account executive dedicated to your account

While Apex is a good choice for businesses of any size, it does require a little more planning than some other factoring companies. Though there are no termination fees for contracts with Apex, while you are under contract, Apex demands that you factor all of your invoices through them. This sets them apart from some other factoring companies that allow you to pick and choose which invoices you want to factor, even when you’re under contract. That gives you the freedom to decide which invoices make financial sense to factor and which you would rather not pay the percentage that is collected by the factoring company.

5. eCapital

Better Business Bureau® Rating: A-, not accredited

eCapital offers top quality customer support, especially for companies that are just getting started. The company has recently merged with Accutrac Capital, another leading factoring company.

eCapital’s factoring services include:

  • Both recourse and non-recourse factoring
  • Free credit checks
  • Factoring line of credit
  • Discount fuel cards
  • 24/7 access to your online account

Unfortunately, customers report some negative experiences with eCapital. The company also has complex contracts and they can make it difficult to leave your contract. This difficulty is exacerbated by the poor communication and poor customer service that a number of users report. Some users also report having difficulties getting paid after their initial period with the company. Several customers are happy with eCapital, however, so it might still be a good fit for some owner-operators.

6. Thunder Funding

Better Business Bureau® Rating: A+, not accredited

Thunder Funding is one of the newer companies on this list, but that doesn’t mean it isn’t one of the top factoring options available. Unlike some other companies, Thunder Funding is focused entirely on freight. In fact, the company was started by real truckers who were frustrated by delayed payments.

One of the biggest advantages of Thunder Funding compared to other factoring companies is that they will send you a full copy of their contract before you even sign an application. That means you can see exactly what you are getting into in terms of pricing before you make any kind of commitment.

The company’s specific factoring offerings include:

  • Non-recourse factoring
  • Rates of 2-4 percent — more expensive than some of the other factoring companies
  • Fuel cards and fuel discounts
  • Free credit checks
  • 90 day, short-term agreements
  • 24/7 online account access
  • The freedom to choose which customers to factor
  • Same-day funding

The only real drawback of Thunder Funding is that its rates are on the more expensive side as compared to the competition. However, they are still a great factoring choice, especially if you are looking for shorter commitments.


Better Business Bureau® Rating: B+, accredited

TAFS is primarily focused on providing speedy funding. They are open 365 days a year and even have a 1-Hour funding option. However, customers have noted some serious drawbacks with the company, especially as TAFS has grown.

When you factor with TAFS, you can expect:

  • Recourse factoring
  • Multiple program options including speed funding
  • 24/7 online account access
  • Free credit checks
  • No minimums
  • Fuel and maintenance discounts
  • Ability to submit invoices through the online portal or mobile app
  • Relationship specialists focused on providing quality customer service

Recently, customers have reported some negative experiences with TAFS. One of the biggest complaints is that it can be very hard to get out of the contract as the termination fee is very high. Customers also report poor communication and poor customer service. Further, there appears to be a lack of transparency in terms of pricing and business practices. 

Finally, there are not many credible positive comments about the company online. While people who are unhappy are often more likely to leave reviews than people who are satisfied with a service, other companies — especially the most popular ones, like OTR Capital — have a large number of credible positive comments online.

The Bottom Line

There are a lot of options available when it comes to factoring. At DAT, we believe that OTR Capital is the best factoring company out there and the feedback we’ve received from owner-operators and industry experts supports that. In fact, we believe in OTR Capital so much that we’ve incorporated their services into the DAT load board. If you’re looking for a trustworthy and reliable factoring company that has your best interests in mind, OTR Capital is the clear choice.

Start factoring today!

Partnering with OTR Capital will give you transparent pricing, same-day invoice processing, and peace of mind.

Register with OTR Capital today to control when and how you get paid!

OTR Capital

DAT's factoring partner