Buying an RV is an important financial decision, one that requires time, energy, and research. Fortunately, plenty of financing programs make the purchase more affordable and enjoyable.
Exploring the open road in a recreational vehicle (RV) like a camper or motorhome is always a fun-filled adventure. Just don’t expect it to be a cheap activity. RVs are expensive assets, but that doesn’t mean you have to break the bank to make the purchase.
Why You Should Consider RV Financing
No one should consider RV ownership unless they can keep up with the financial demands that come along with it. And monthly payments aren’t the only concern. If you don’t have a steady payment plan, several factors can keep you in a deep financial hole for several years. Here are three reasons it makes sense to create a financing strategy for your RV:
You Can’t Afford to Pay the Premium
This is the case for a lot more people than you might realize. To own an RV, you are required to pay insurance premiums, which are very comprehensive coverage plans. They are also much higher than standard forms of motor vehicle coverage. Insurance premiums vary widely on things such as:
- Driving records
- Age and gender
- Marital status
- Credit scores
- Storage locations
- The model, type, and age of the RV
- Intended use of the RV
Unless you’re using your RV regularly, premiums may seem like an outrageous expense. Financial professionals like the experts at Finance Solution will work with your insurer to keep premium coverages within budget for you.
The Interest Rate Is Too High
Since RVs and campers are considered luxury items, expect to pay a higher interest rate. Typically, most interest rates range from 3.99% to 20%, depending on the terms of the loan program. Your credit score and down payment also plays a role in the interest you pay. Newer models typically come with lower interest rates attached. Older RVs are generally the more popular purchasing option because the sticker price is usually much lower than most modern vehicles. But since these models are more susceptible to risk, expect the interest to be a bit more extreme.
You Need to Build Your Credit
Financing an RV is a great way to boost your credit. Yes, this another debt you take responsibility for—and a major one at that—but making consistent payments on this asset shows creditors you are a financially competent individual. This will help you build long-term trust with bankers, credit unions, and other professional lenders. Being able to pay off an RV loan within a 10- to 20-year service term comes in handy when you need to purchase a home, boat, or any other automobile.
RV Financing Made Easy With Finance Solution
When it comes to RV finance, no one is better to work with than the Finance Solution team. Every day, we work tirelessly to help make buying an RV as seamless as possible. We are a team of problem solvers and financial masterminds. As the premier source for RV dealer financing, you can count on us to bring a wealth of knowledge to every initiative. With us at the helm, you can expect:
- An efficient credit approval process
- Suitable rates and transparent loan terms
- Quick turnaround times and less financial stress
The RV of your dreams is out there, and we’ll do whatever it takes so you can make it your own. Contact us today and set up your free consultation to learn how.