The boat loan allows you to carry out a project to buy a sailboat, zodiac, jet ski, or any other type of boat, even without initial contribution. This type of consumer loan is an assigned loan that has specific rules.
Boat loans are installment loans with fixed monthly payments typically over two to 15 years. Interest rates and loan terms vary based on the lender, the size of the loan, your credit score and income, and whether the loan is secured by the boat or unsecured.
What is a boat credit?
A boat loan is a type of consumer credit. It is only used to finance the purchase of a new or used boat: motor boat or sailboat. The boat loan offers security guarantees to the borrower:
• he only begins to reimburse on delivery of his boat;
• if the purchase does not take place, or if finally the borrower decides to retract within the legal period of 14 days, the boat loan is canceled.
The benefits and conditions of boat credit
Thanks to the boat loan, the buyer finances his boat even without personal contribution. The amount he can borrow varies between $ 3,000 and $ 40,000, over a period generally ranging from 24 to 72 months. Another advantage, the monthly payments of his credit are fixed. The interest he pays on the borrowed amount is included in the annual percentage rate (APR). At any time, if he wishes, the subscriber of a boat loan can repay part or all of his loan. Insurance on this type of credit is not compulsory. When he reserves his boat, whether new or used, with the seller, the buyer has the right to contact the organization of his choice, in particular by making his boat loan request online.
The boat credit rate
The interest rate on the boat loan will mainly depend on the repayment tenure. For a short duration (around 12 months), the rate will be close to 2%. It can reach double beyond 60 months. Attractive rates to reach the dream that 800,000 owners of their boat have already achieved!