Quick Pay vs. Factoring

Non-Recourse Factoring
Contact Us

What is Quick Pay?

Quick Pay is a payment option brokers offer that is typically faster than the traditional net 30-90 day payment period. However, Quick Pay does tend to come with some disadvantages that far outweigh factoring services.
Quick Pay
Quick Pay offers a fast and convenient way of being paid. However, it’s not as effective as factoring for many of reasons, such as: higher fees, delayed payments, limited visibility, and inconsistent terms.

What is Freight Factoring?

Freight factoring is when a factoring company purchases your freight invoice for a discounted rate in exchange for faster payments. You should know that there are two types of factoring: recourse factoring and non-recourse factoring.

True Non-Recourse Factoring
Non-recourse factoring is when a factoring company purchases your invoice for a discounted rate and assumes the risk in the event that the broker or client does not pay for the invoice. Non-recourse factoring typically offers less for your invoice than recourse factoring does – however the stability far outweighs the risk.

Explore True Non-Recourse Factoring

What Is Quick Pay?

Quick Pay is a payment option brokers offer that is typically faster than the traditional net 30-90 day payment period. However, Quick Pay does tend to come with some disadvantages that far outweigh factoring services.
Quick Pay
Quick Pay offers a fast and convenient way of being paid. However, it’s not as effective as factoring for many of reasons, such as: higher fees, delayed payments, limited visibility, and inconsistent terms.

What is Freight Factoring?

Freight factoring is when a factoring company purchases your freight invoice for a discounted rate in exchange for faster payments. You should know that there are two types of factoring: recourse factoring and non-recourse factoring.

True Non-Recourse Factoring
Non-recourse factoring is when a factoring company purchases your invoice for a discounted rate and assumes the risk in the event that the broker or client does not pay for the invoice. Non-recourse factoring typically offers less for your invoice than recourse factoring does – however the stability far outweighs the risk. Explore True Non-Recourse Factoring

Is Factoring Better Than Quick Pay?

What is Freight Factoring?

Factoring offers several benefits over quick pay and here’s how they stack up.

Comparable Table Email (28)

Payment Speed

Despite its name “Quick Pay” – Quick Pay is often much slower than factoring. Most Quick Pay services offer payment within 3-5 business days whereas factoring companies offer payment the very same or next business day.

Winner: Factoring

Back Office Support

When it comes to the added level of back office support the key differences between factoring and Quick Pay services is that factoring offers back office support, and Quick Pay doesn’t. 

Winner: Factoring

Dedicated Account Manager

When you are trucking and trying to maximize your cash flow having a familiar resource can prove to be a valuable asset. When comparing factoring vs. Quick Pay the answer is simple: you only get a dedicated account manager with factoring companies.

Winner: Factoring

Fuel Advance

When you’re trucking and running freight, you don’t want to think about fuel budget until after the job is done. The difference between Quick Pay and factoring for fuel advances is simple and straightforward – factoring offers fuel advances and Quick Pay services don’t.

Winner: Factoring

Lumper Fee Advance

Dealing with pesky lumper fees is never easy. With OTR Solutions clients can quickly and easily request up to $250 in our mobile app. We are always there to help with these situations, but Quick Pay isn’t. 

Winner: Factoring

Partnerships

As an owner operator you know the importance of business growth and development and that’s one of the biggest strengths that you can get out of a factoring company. Many factoring companies offer diverse and robust partnerships that offer solutions to achieve a new level of cash flow. With OTR Solutions, you get instant access to our world-class leading partner DAT Freight & Analytics and hundreds of other partners.

Winner: Factoring

Unlock Your Cash Flow with Factoring Solutions & Tools from OTR Solutions

Unlock your cash flow with factoring solutions & Tools from OTR Solutions

It’s clear that quick pay is not as good as factoring by the sheer number of disadvantages Quick Pay has. When you factor with OTR Solutions we offer the most innovative solutions and tools to help you excel as a trucker.

Client Portal

The OTR Solutions client portal delivers extensive features and management tools for virtually every aspect of your business. Submit and track invoices and so much more directly in your Client Portal.

Client Portal
Untitled design (64)
Website Blog Headers (3)

Lumper Advances

The lumper advance program enables you to skip annoying lumper fees with advances up to $250.

Lumper Advances

Mobile App

The OTR Solutions client portal allows you to monitor your factored invoices and gain a deep understanding of your cash flow allowing you to make better informed decisions.

Mobile App
Untitled design (63)
Untitled design (66)

Safety Score

OTR Solutions provides our clients with 24/7 access to CSA BASIC scores straight from the client portal using only your MC and DOT number.

Safety Score

OTR Fuel Card

The OTR Fuel Card is the best fuel card for truckers on the market with discounts at over 2,200 in-network locations nationwide. You can save up to $2.25 per gallon, every time you fill up.

OTR Fuel Card
Untitled design (68)
Commercial Trucking Insurance

Non-Recourse Factoring

Skip the risk of non-paying brokers and clients by placing the risk on us. Factoring with OTR Solutions lets you get paid now instead of waiting on client payments.

Non-Recourse Factoring

BOLT Instant Payment

BOLT instant payment allows you to get paid instantly on your invoice instead of waiting days or even weeks to get your money.

BOLT Instant Payment
Untitled design (67)