How can I get boat finance with bad credit history?
You may have a bad credit score if you have had issues repaying debts in the past, even if you’re now in a better financial position. The good news is it doesn’t need to impact your boat finance application.The best way to increase your chances of approval for boat finance when you have bad credit is to apply to a lender who specialises in boat financing for bad credit — like Finance One.
Will applying for boat finance damage my credit rating further?
Your credit score is impacted every time a lender completes a hard enquiry on your credit file. Hard enquiries are generally undertaken when an application for finance is submitted. This is why it’s hugely important not to submit multiple applications for credit.If your application is assessed and then rejected, this will be listed on your credit file and will likely diminish your credit score — making future applications even trickier to get approved. That’s why it’s important to apply with a lender like Finance One, which specialises in boat finance for people with bad credit.
Top tip
What type of boat financing (bad credit) is available?
Boat finance can be secured or unsecured. Secured boat finance requires you to use your boat as security for the loan. This means that it can be legally repossessed and sold by the lender to repay your loan if you don’t make your repayments — which is something you don’t need to worry about, if you ensure you keep on top of the required repayments!If you’re buying a boat for business purposes, interest and any other fees on commercial boat loans may be tax-deductible.
How does bad credit boat finance work?
Boat finance for bad credit works like any other type of loan. You take out a loan for an agreed term, and then you make regular monthly or fortnightly repayments to pay off the borrowed money during the term. Your repayments cover the amount you borrow plus interest and loan fees.Setting up direct debits for your boat loan repayments is a good way to help you avoid missing any. At Finance One, it’s possible for you to make extra repayments on any personal loan, or increase your regular repayments during your loan term if you want to. This way, you may end up paying less interest and paying off your loan faster.
What are interest rates on boat finance with bad credit?
Boat loan rates depend on a range of factors, including market interest rates, your credit score and whether or not you take out a secured loan. Secured boat loan interest rates are generally lower than unsecured rates.Can I lower my loan repayments?
The loan repayment amount depends on the amount of money you borrow, the interest rate and the length of the loan term. To reduce the loan repayments, you’d need to change any one of these factors. Repaying your loan over a longer term means that the monthly repayments are lower, however, the interest expense will typically be higher because the loan accrues interest for a longer time.What sort of boats can you buy with boat finance?
With boat finance ranging from $5,000 to $75,000** at Finance One, you may be able to buy any sort of marine vessel, including sailing, fishing, water skiing and motor boats, as well as tinnies and jet skis (new or used). This is subject to acceptance from Finance One.
What do you need to apply for a bad credit boat loan?
- Proof of identity (e.g. your driver’s licence).
- Proof of your income (e.g. your most recent pay slips or tax return if you’re self-employed).
- Your bank statements for the last three months.
If you meet all of our approval criteria, your application may be approved for your boat finance in as little as 48 hours*
Can I get a boat loan pre-approval?
Yes, and if you gain pre-approval, it can help to save you time when searching for the perfect vessel. You will know how much you can afford to pay, so you won’t waste time looking at boats that aren’t in your price range.A bad credit score doesn't need to ruin your boat ownership dreams, but it’s important to apply with a lender who specialises in helping borrowers who have bad credit.
FAQs
What are bad credit boat loans?
Where do I find the best boat finance deals today?
The best boat finance deal will depend on your individual finance needs. Our friendly team can help you work out the best finance options for your situation.
Do you offer jet ski finance?
Yes! Jet ski finance is simple. You can apply for a loan with Finance One to purchase a jet ski.
*48 hour approvals are subject to satisfactory documentation being provided to assess the application.
**Loans between $50,000 – $75,000 must be asset backed.
Disclaimer: The information above is of a general nature only and does not consider your personal objectives, financial situation or particular needs. You should consider seeking independent legal, financial, taxation or other advice to check how the information relates to your particular circumstances. We do not accept responsibility for any loss arising from the use of, or reliance on, the information.
Content prepared by an external writer covering topics that may be of interest to our customers. The content does not necessarily represent the views or opinions of Finance One Commercial.
All loan applications subject to normal lending criteria. Fees and charges payable. Terms and conditions apply.
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Finance One Commercial Pty Ltd | ABN: 18 634 900 548
