Boat finance pre-approval?

[noles94]

Has anyone done one of these? Is there such a thing? I'm hesitant to do one because I am under the impression every inquiry into one's credit affects it negatively. Is that true? Anyone know if when getting a boat loan they look at credit score more than debt to income ratio? (I've qualified and afforded cars I never thought I could, so I'm wondering about a boat...) Also, is it "easier" to get a loan on a new boat over a used one? Maybe I'm crazy for even considering it, but... Thanks for any input.

[96TL]

Boat loans are much harder to get than car loans. I leased a $60K BMW with no money down but I was only able to get approved for $40K with 10% down for a boat.

You need very good credit (at least 700+) to get a good rate on a boat.

[Glen E]

96TL - 6/11/2005 7:50 PM

Boat loans are much harder to get than car loans. I leased a $60K BMW with no money down but I was only able to get approved for $40K with 10% down for a boat.

You need very good credit (at least 700+) to get a good rate on a boat.

that's because people will bail on a boat and say come and get it...the bank is left selling it...so what they will loan is usually what the boat would sell for after a year....

[capt esquare]

I pre-approved on my current boat. I went to boat trader and went to the boat finance links and they will tell you what the intrest is before you apply. Know what your fico score is and it will help. Also have some sort of idea what kind of rig you want and know what the price is. From the lender that looks attractive to you, you can apply with them. This helps from having too many inquiries aginst your credit which affects your score. DO NOT apply just to see if you can get the loan. It also helps when you can swing a larger down payment and shorter terms. I decided to use e-boat loans.com, and had an approval the same day. They were very helpful. By putting a large down payment i lowered my rate .75%. Hope this helps. A word of cautiopn, you will asked if you want to do the title work or they can do it for you for a fee, do it yourself.

[bluedevil]

I work at a boat dealership that has many preapprovals......it helps to have a couple of things:

1) A beacon score over 700. (this is automatic approval...usually)
2)Being in the credit system for over 10 years is a big plus.
3)Showing 2 or 3 loans that have been paid off.
4)Make more money than you spend .

These four things are usually a must have for us to pre approve someone on the spot....

Ofcourse im sure there are more things but I wouldnt know.....im only the parts manager....ha!

[noles94]

Thanks for the tips. Has anyone gone through this process with a used boat?

[Blue C's]

Anyone?? Probably everyone has gone through this whether it was new or used, unless they paid cash. Your credit rating will also influence how much deposit the finance company/bank would want with a minimum of 10%, usually.
Just about any finance company will give you a yes or no "pre-approval", rather quickly. The age of the boat will influence the banks decision too.

When I bought my used Regulator, I called a finance company that specializes in boats/marine financing. I gave them all the boat info and price. They called me back the same day and said that they would do it and required 10% down. The dealer asked for 10% down for a sea trial anyway. I did the sea trial, signed the papers and owned the boat two days later.
My credit is very good and my debt/income ratio is very low.
I ran into my "rep" from the finance company at the Palm Beach Boat Show. I told him I was looking and actually considering making a move on a 190k rig and he told me he'd do it, no problem, with a big smile on his face. I gotta stay away from those shows................. at least until I'm really ready.

[noles94]

Thanks a lot for the information! This is all new to me, boat-wise, as I bought my current boat out of left-over home equity $...