Best Boat Loans????

[Mike Ellison]

I would appreciate any imput, as to who is offering the best rates for boat loans. Anyone researched them lately?

Thanks....

[Dr. Dan]

:cistineb: Mike...I have recently visited reality in the great void of "We Got Some Ya Want Some"... ya can't have some! And what I found in general is this...like cars....some places are doing some nutso financing (Formula Comes to mind)...but if you are not buying new....and if you have normal credit...they will require 15 to 20 % down, they will offer financing on "up to" 85% of the "Blue Book" of the Boat.

Financing is also directly tied to minimum loan principle amounts, if the Bank or whoever can't make enough money on the whole package...they are not interested in your deal! Which is good and bad...it encourages people to buy a new boat because that is the easiest method or vehicle to finance....but it gets more complicated when ya get the used boat value into the equation...

The power of the boat can also some times enter into it, or actually the capable speed...these guys aren't anxious to have anymore wrecked weekend warriors defaulting on their notes...it's bad money and they can't resell their portfolios..

Rates vary with stellar Credit getting 5% and below...to anything on up...the best is always cash...but then they say that about everything...make sure you go direct to the lender not a brokerage type outfit that is literally just selling finance packages...their rates are often above 10%.....most Banks will not lend against a boat over 20 years old...just as an FYI!

Check the links in Boat Trader Online...they offer a finance guide and it will provide you with some names of local and regional Financial Institutions that write paper on our toys...I'll warn ya...it is ugly out there...

Good Luck :spongebob

Doc :shades:

[gcarter]

:cistineb: Mike...I have recently visited reality in the great void of "We Got Some Ya Want Some"... ya can't have some! And what I found in general is this...like cars....some places are doing some nutso financing (Formula Comes to mind)...but if you are not buying new....and if you have normal credit...they will require 15 to 20 % down, they will offer financing on "up to" 85% of the "Blue Book" of the Boat.

Financing is also directly tied to minimum loan principle amounts, if the Bank or whoever can't make enough money on the whole package...they are not interested in your deal! Which is good and bad...it encourages people to buy a new boat because that is the easiest method or vehicle to finance....but it gets more complicated when ya get the used boat value into the equation...

The power of the boat can also some times enter into it, or actually the capable speed...these guys aren't anxious to have anymore wrecked weekend warriors defaulting on their notes...it's bad money and they can't resell their portfolios..

Rates vary with stellar Credit getting 5% and below...to anything on up...the best is always cash...but then they say that about everything...make sure you go direct to the lender not a brokerage type outfit that is literally just selling finance packages...their rates are often above 10%.....most Banks will not lend against a boat over 20 years old...just as an FYI!

Check the links in Boat Trader Online...they offer a finance guide and it will provide you with some names of local and regional Financial Institutions that write paper on our toys...I'll warn ya...it is ugly out there...

Good Luck :spongebob

Doc :shades:
Hi Dr. Dan!
Your post sounds like you've been looking!
Now I usually don't buy anything unless I can pay for it, except my house. Which brings up another aspect... 2nd mortgages. If your talking 30 to 50K, would this be reasonable in your opinion? Rates are low.

George

[Dr. Dan]

:garfield: I am not a big fan of 2nd Mortgages for funding Toys! The 2nd Mortgage Market is the used Car/Insurance Industry of the new Mellinium!!! :boat: It stinks and is a sleazy way to pray on the Financially Ignorant and Undesciplined. The whole scenerio is really all relative...if you are older and well established and secure financially....this is really a mute point...cuz ya won't have to finance it...you'll pay cash. But if the Money is cheap and all other areas of your life are tidy...I would think a "responsible person" could easily handle clearing this debt from their home ....but the discipline has gotta be there! Get rid of the Debt as soon as ya can..cuz you are living in the collateral! :umbrella:
If you are a young, not so well capitalized couple or single individual...and your retirement isn't fully funded, or your savings is pay check to paycheck...I would suggest ya hold off altogether on a boat....regardless of how affordable you think the payment is or is going to be...we have become a society of monthly payment fanatics....we are a Microwave Society...I want it now or never....unfortunately the payment of the boat is often the least espensive part of boat ownership........proper maintenance and insurance and travel and all related items that come with it...all costs money... :smash:
I try to allow an annual amount so I can do the items I want done to the Donzi...some years are better than others....some are downright painful!

Alot of the members here enjoy working and deal finding for parts and or even boats..to add to their collection...which is part of the charm....others...like me have no time or expertise in doing some the craftsmanship that we see here....so it is even more costly..

Hmmm ...I guess as in anything in life...you have to decide if it is truly important to you, and it brings you and your family pleasure...then it fills a need ,and that it is worth it! I am always greatful for the many friends and great and diverse people I have met here on the Registry.....I have to say in all honesty....this Web Site and the People on it(most anyway) enrich my life!


Doc
:wavey: King of the Spontaneous Purchase

[Ed Donnelly]

Take out a line of credit, say $100,000 Close it for a year, amortise it over 15yrs. Payments $900.00 a month. At the end of the first year Interest $3,300. Balance $95,000. Wifey, ran up her credit cards to $30,000, Bought a $50,000 RSP(offset for income tax) Better to pay 3.3% than 18% on the cards and 45% on taxable income...This is just my suggestion,hell I fix boilers for a living.......Ed

[gcarter]

Well said, Dr. Dan!!! :smile:
My sentiments exactly... I couldn't have said it any better.

George Carter

[Mike Ellison]

Everyone.. Thanks for the info!!! So far, I found the best rate through a broker (5.99%. 0 down, full loan amount). Best with a bank is (7.75%, 27% down due to blue book value)

Mike

[Rootsy]

when i bought the 16 in summer of 2000 the best i could find was 8 1/2%... did enough down to get an even amount of a monthly payment.. something like just over 10%... 5 year term but if ya tack a bit of extra on a month it helps defray some of the interest costs on the loan... this was a 20K loan...

see what southern michigan bank & trust (coldwater) can do for you mike,...

[Brad Lyon]

Mike,

Are you a member of a credit union? I belong to two credit unions and I find that I can not get a better rate anywhere else. I am currently re-financing my house because Kim recently got a job at Credit Union One and we get another 1/8 th point off of the current rate.

Brad

[MOP]

Mike the rate also depends on amount borrowed, try talking to the following Vinny at 1-888-FUND-888 tell him you know Phil Ashley see if he can help. They have done a very good job for me over the years getting some pretty tough loans through for me. Another point not known by many buyers is credit card alowable credit can and will kill you, the banks consider that Now Money. It really pays to have only the amount of credit that you need on your cards and not many cards they add all cards allowable together so it kills a lot of deals. Many times they will tell you to kill a few cards then reapply, a pocket full of cards may be cool but it will hurt when trying to borrow $$$.

Phil