Did you know the Great Lakes make up 18% of the world’s fresh lake water? It’s no wonder more and more Canadians are opting to purchase boats.
But the cost discrepancy across boat purchases is vast, and not everyone has thousands of dollars to shell out upfront. This is what makes boat financing such an ideal choice, which you’ll learn about in this side-by-side guide to boat financing.
There are several options to consider: the use of Canadian online lenders (such as LendCare) and in-house financing (your boat dealership). Both can help you purchase the boat of your dreams, but which one is best for your specific needs?
Let’s take a look. Keep reading to learn more about boat financing here.
Buying a Boat With Canadian Lenders
Your first option when purchasing a boat is using a Canadian lender, such as LendCare. This allows you easy access to various lender programs, often with financial incentives.
Even better, you can expect to put less initial money out of pocket. And if you’re looking for a quick turnaround time, you can expect financing to come through in roughly a month’s time, if not less.
There’s a chance that in-house boat financing may carry a higher interest rate, so a third-party lender is an ideal choice.
Dealers benefit from third-party financing, as there’s no requirement to chase after customers who’ve failed to repay their boat loans, nor are they required to repossess those boats.
In-House Boat Financing
In-house financing is another option when buying a boat. A huge advantage to this type of financing is that you can finance items with a greater value than you can with LendCare. LendCare only allows you to borrow up to $50,000, but in-house financing can be approved for up to $100,000 for qualifying customers.
For in-house boat financing, interest rates vary. They range from 2.9% to 29.9%. While the higher end of the interest rate may seem daunting, there are countless pros to using this type of financing.
For example, in-house brokers offer a one-stop shop for dealerships. This alleviates the need to utilize multiple lenders for prime (such as a bank) or sub-prime (such as LendCare).
In-house financing is a viable option when all other avenues of financing fall through.
If you fall on hard times, in-house financing allows you to discuss your terms of repayment with the boat dealership directly. You may be able to renegotiate terms or even refinance your boat. You essentially eliminate the “middleman,” aka the bank.
In-house financing also offers an additional level of security, as your personal information (income and credit score, to name a few) remains “in-house” and isn’t disclosed to a third party.
Your Side-By-Side Comparison Guide
Now that you’ve learned about two distinct- but essential- types of boat financing in this side-by-side guide, you’re ready to make your next purchase.
No matter what you’re looking to finance, ALLPRO has you covered. From boats to RVs to home remodeling projects, we’re your one-stop shop for all your financing needs.
Apply now to get started!