Financing a boat can be tricky. It’s time to see if you could afford the boat, how much your monthly payments will be, how much you’ll need to put down, and what the ramifications will be on the rest of your life.
Somewhere between house mortgages and the car loan, is the world of boat loans. There are many advantages to getting a boat loan over other types of financing. Like a car loan, you can be approved quickly and easily for a boat loan if you qualify.
Financing a Boat
Unlike a car loan, you can spread your boat loan payments over several years. That’s right; with a low down payment or deposit, you can stretch a boat loan over seven, ten, or even fifteen years. With low interest rates, a term of that length can make a seventy thousand pound boat more affordable than you think.
There are some details to look into before choosing a loan provider.
Many banks or credit companies require that you borrow a minimum amount for marine loans.
Depending on the lender, this amount can be as much as fifteen or twenty thousand pounds. The good news is that you may have to consider buying a bigger boat in order to take advantage of the terms of a boat loan!
Many borrowers in the market for marine financing make the mistake of thinking their options are limited, for example, they may think they have to use their own bank or must use the boat brokers finance and they have no choice but to settle for what’s being offered.
But if you have a good to excellent credit rating, that doesn’t have to be the case. Before you commit to any particular boat loan, make sure you’re getting what is best for you when financing a boat.