After the recent financial crisis, described as the worst since the great depression of the 1930s, banks and lenders have tightened their lending rules.
It would seem impossible to get boat loans now, especially if your credit score and rating is not so good.
Well, the truth is that banks and financial institutions are still giving loans, even if your credit report is less than ideal. They need the interest on these loans to survive and remain in business. What you might have to contend with though, is having to look very hard around to get one, and be prepared to pay a little more premium in interest to your lender.
If you credit score is less than 620, it is less than ideal. The average credit score is anywhere from 620 to 679.
A Bad credit score is anything between 500 and 579. Most bad credit boat loan lenders would be looking for a score anywhere between 500 and 620. Even if you have a "miserable" credit score, you can still approach a lender and request that your particular situation be looked into. If you are not sure of what your credit score is, you can request it for free here now.
We bring you a selected few credible and trusted loan lenders with responsible lending practices and who follow the highest industry standards.
You would be sure to get instant quotes for reasonable rate bad
credit boat loans. In addition to providers of bad credit loans recommended here, try looking in boat publications, the local phone book,
and online for institutions that will assist in financing your boat.Before you apply, here is a list of typical boat loan rates available from a number of lenders. You could get you better rates from providers recommended.
Before actually going out to get a loan for a personal water craft, a good starting point will be to know what is available out there.
Rates do vary from time to time, but as a general guide, these are what boat loan rates looks like at the moment for fixed rate loans.
|Loan Amount||Rate||Down Payment||Term|
|$100,000 & Over||5.99% -6.25%||15%/20%||20 Years|
|$50,000 - $99,999||6.37% - 6.50%||15%/10%||15/20 Years|
|$25,000 - $49,999||7.13% - 7.37%||0%/ 10%||15 Years|
|$15,000 - $24,999||8.74% - 9.99%||0% to 10%||12 Years|
|$10,000 - $14,999||8.74% - 9.99%||0% to 10%||10 Years|
Rates you will get could vary. Since interest rate went down recently, the best boat loan rates out there could be much less than what is in this table. Get a personalized boat loan calculator amortization schedule from your lender and seek to get the best rates possible.
Anyone could make errors of judgment with their financial affair and find themselves with a bad credit. It could even result from ill health or some unforeseen events or job loss.
Bad credit boat loans can actually help to bring about positive change on your credit report. When your credit report becomes negative, the only way to change it is by creating a positive credit history to slowly raise your credit score and show creditworthiness.
If a particular bank won’t do business with you, perhaps a specialty boat lender will. If your credit is less than stellar but you are willing to work hard and make your payments on time, a boat financing company might loan you the money to buy the boat that you want. High-risk financing companies that diligently report to credit bureaus are a good bet for people who want to correct their negative report.
You might have to make a sizeable down payment or pay a higher-than-average interest rate, but you will have gained a couple of positive effects as a result:
It's not a good idea to attempt to obtain a bad credit boat loan if you are unemployed at this moment A boat is a luxury item and an expensive hobby. If you are on your feet financially but just have a poor credit history due to past mistakes, you might be able to afford a watercraft. When determining your boat budget, take into account the amount of money you believe you can budget for a payment and consider the cost of:
Other things to consider when looking to get a boat loan would include:
Yes. You can get long term boat loans for not so perfect credit. Since you are looking for sound and ethical boat loan provider that caters for all types of credits, the following are our top picks:
If you have determined that you can afford a boat and want to use a bad credit boat loan to help you fix your credit, you can take this as an opportunity to own a boat and help correct your finances. Look at the bright side and get back in the sun!