RV Financing FAQ

Some RV Financing Questions

This RV Financing FAQ page will hopefully answer your loan questions. Check with your RV dealership to find the best available rates on your loan. They will be able to answer any you may have.

Your bank financial lender will also be able to help you with any concerns you may have about RV financing. One of the most important factors in purchasing an RV is the financing.

You can use our RV Financial Calculator to get an idea of what you want to put down and how long you want to finance for and what your payments will be.

This is only an estimation calculator and is not meant to be used a determining factor in your loan terms.

Getting answers to your RV Financing FAQ is the first step in determining what kind of RV you can buy and how much you want to pay for one.

1.) What kind of interest rate will I have?

Finding the right RV financial lender for your needs may take some take and give on your part. An RV loan update is sent to the RV dealerships at every rate change. Most loan companies tend to stay fairly close to each other's rates for competition for your loan. These rates do change frequently, so a quoted price today from your salesman may not be the same if you wait before making a decision on whether to buy or not.

2.) What determines my interest rate?

A. Many factors are used when determining your rate of interest. Your credit score and history will be a big part of the rate you have and even if you are approved for an RV loan.

B. Your downpayment will have a great deal to do with your interest rate. The more you have as a downpayment, the less the financing company will need to put on the line. Of course, that will in turn lower your monthly payments and the length of time of financing your RV.
 
C. The condition of the RV, meaning new or used, will be a factor. A new RV camper will have a lower rate than a used RV camper. (Some lenders are particular on the age of the RV camper. You may have problems getting one financed over 3 years old.)

3.) Should I take a lender through the dealership, or use my personal banking institution?

You may want to visit your personal financial lender to see what they can offer you as an interest rate. If they know you as a customer, you may get a better rate from them than an outside lender. Your banking institution may not require a downpayment whereas a different lender may. All your RV Financing FAQs can be found at any bank or credit union.

Open a calculator

4.) How long can I get an RV financed for?

Most lenders use the amount financed to determine the length of the loan. A loan of $100,000 can be financed up to 20 years whereas loans of $25,000 to $99,000 can be financed up to 15 years. Most other amounts will be between 10 and 15 years. Some dealerships will give you a choice of term length. The amount of your payment will need to be considered before you decide on a term length.

5.) Is an RV loan tax deductible?

A fully self contained RV can be a good tax deduction because it is considered a second home. All the interest paid is deductible if you are not already paying interest on a second home. Check with your accountant to get the proper advice on any tax matter.

6.) Will I have to have insurance on the RV?

Insurance is required on the RV when the loan is closed. Most lending facilities will want proof of insurance when loan papers are signed.

7.) How much downpayment should I pay?

Most people pay 10% down. You can put as much as you want over that amount down. The more you put down the less you finance, therefore, the lower your payments and finance charges will be.

That is up to you and your financial abilities.

I hope we helped you get the answers to most of your RV Financing FAQs.

No question is a bad question when it is your money you are spending on one.

You can be sure of what you are getting and it is the right one for your needs.