Can you finance a Prevost without an RV loan? Some people can! Image: LWBAZ, iRV2 Forums member
RV Loans Video Explains How Financing Works
Are you looking for your first RV loan? I know what that feels like. RV financing feels so confusing, but this new video by Camping World explains the process in simple language anyone can understand.
How to get the best RV loan for your needs
If you are in the market for a new RV, and you know you’ll need help paying for it, here is quick and dirty look at the ins and outs of RV financing.
The RV lending process is similar to buying a new stick house, but with less paperwork and easier repayment terms. For example:
Many loans start at about $5,000. Some go up well over $100,000.
Down payments are helpful. Lenders like it when borrowers have at least 20% of the total cost to put toward the RV. Occasionally they will only require 10% down.
RV financing terms vary from four years to twenty.
Most are within 10 to 15 years. The higher the RV cost, the more options you will have to finance your rig.
Two types of RV loans exist: secured and unsecured.
With a secured loan, the RV gets repossessed if you don’t pay your loan. But the benefits enable you to deduct RV loan interest from your federal taxes. Unsecured RV loans don’t hold your RV as collateral, but the rate will be much higher.
Getting financed is as easy as walking into your nearest RV dealership.
You may be tempted to get a loan through somewhere like Costco or a credit union, but RV dealership finance departments have connections with lenders with better terms. Their goal is to make it easy for you to get a new home on wheels.
Your credit score and down payment determines your RV loan
René M. Agredano