5 questions with … TAB Bank Equipment Finance SVP Tyson Law

TAB Bank’s equipment finance team continues to navigate challenges such as rising costs and lower freight rates in the small to mid-size trucking fleets in 2025.  

The Ogden, Utah-based bank provided $15.2 million in equipment financing to 140 companies in the second quarter and continues to offer flexible, industry-specific solutions by evaluating clients beyond traditional credit metrics, according to its July 31 earnings release. 

TAB funded $66 million in growth capital, down 35.9% year over year, for 218 companies, supporting businesses across manufacturing, transportation, health care, gaming, food and fintech with, working capital and credit lines. 

In response to the trucking industry downturn, TAB Bank’s equipment finance division manages risk by requiring higher down payments, financing more affordable equipment and expanding into vocational markets, Tyson Law, senior vice president for equipment finance, told Equipment Finance News. It supports first-time buyers by balancing the use of creative financing with machine learning, both of which lean on 25 years of TAB data, to speed up approvals and track asset values. 

Law recently shared TAB Bank’s approach to equipment finance, especially in the tight transportation sector, with EFN. What follows is an edited version of the conversation.  

Equipment Finance News: What trends are you seeing in credit quality and demand among small to mid-size trucking operators in 2025? 

Tyson Law: Small to medium-sized fleets have had a rough time over the last couple of years. They have seen increases in fuel costs, interest rates and insurance premiums, while seeing a decrease in rates-per-mile — especially on the spot market. They’ve had to stretch their dollar even further.  

While overall credit quality has declined in this market, many companies have weathered these storms because they understand the cyclical nature of the industry. The survivors saved cash when things were good, allowing them to be more financially stable. Then, when the bad times hit, they were able to tighten expenses and stay current on all their obligations.  

EFN: How is TAB Bank equipment finance approaching risk management for different asset classes, especially in a high-rate environment? 

TL: We predominantly finance Class 8 trucks and over-the-road trailers. Values are still depressed on the used side. On the new side, we have required a higher down payment to try to stay in front of the speed at which equipment depreciates.  

Many borrowers have had to opt for less expensive equipment to keep their debt service manageable during this low rate-per-mile environment. We have also been working closely with borrowers, maintaining open lines of communication to help them retain their equipment as the industry rebounds.  

EFN: Are there specific asset classes — such as sleeper cabs, vocational trucks or electric vehicles — gaining more traction in your lending portfolio? 

TL: We primarily lend in the Class 8 truck and over-the-road trailer market, specializing in dry van, refrigerated and flatbed trailers. We have seen customers be successful switching from dry van or refrigerated freight to flatbed. We are seeing more requests for vocational-type equipment from our channel partners that haven’t historically sent us this type of business.  

EFN: What strategies is TAB using to support first-time owner-operators or growing fleets looking to scale quickly? 

TL: We are finding creative ways to finance first-time buyers, helping them get started. Some of the tactics include looking at down payments as well as financing less expensive equipment. It’s an underserved market.  

For growing fleets, we are creating a one-stop bank where they can access all our different loan and deposit products, aiming to be their first choice for additional financing when they expand their fleets. 

EFN: How are you using data or technology to streamline approvals and manage lifecycle value on financed trucks? 

TL: We utilize a machine learning model to help with decision-making on loan applications. The model is based on up to 25 years of proprietary financing data that analyzes the borrower’s financial strength.  

The system examines over 70 different attributes to evaluate risk. We have also built systems to help us monitor the value of our portfolio at various stages of the process.  

Check out our exclusive industry data here.