Vernon Blanc at Newcoast Financial Services has been working with Advanced RV clients on their financing needs for years. The financial climate is changing, so we asked Vernon to provide advice to our clients on how to get the best interest rate on their custom ARV motorhome. Here are his tips:
• Credit Score – While credit scores are important, they are not everything, and everyone seems to be very sensitive of their FICO rating. This can be somewhat misleading, since there are several different rating agencies, as well as rating models. Each lender has specific criteria that they will request from the credit reporting agencies, based on the type of financing requested. Interest rate discounts are sometimes offered if your credit score exceeds 800.
• Derogatory Credit Marks – Things happen. And sometimes you won’t know it until you apply for a loan. It’s not the end of the world, and a good finance partner will help you navigate the terms and minimize the impact. Lenders look at your credit history as far back as 10‐15 years, so even old hiccups can still have an impact. It's best to keep an eye on your credit at least twice per year. Free credit reports can be obtained at annualcreditreport.com.
• Down Payment – RV Lenders likely require a minimum down payment that can range from 10‐20%, but a down payment of 30% can sometimes get you a rate discount. Down payments can come from cash OR Trade. This can have a big impact on your approval, or denial.
• Loan Terms – Luxury RV financing terms are generally 10‐20 years in amortization. Your lender may offer terms for your loan as long as 20 years, but you may prefer the term to be shorter. Some lenders offer rate discounts for terms less than the maximum.
• Be Prepared – Know your credit rating, and provide your loan officer with all the documentation they request. Limited Doc loans are coming back, but still at the discretion of the lender. Some lending institutions offer lower rates with a complete financial package as opposed to the quick application only loans.
• Call Newcoast – Advice is free at Newcoast – Call us and we’ll answer all of your questions. Newcoast Financial Services has years of experience and dozens of funding options. Plus, they can guide you to the best rate and term to suit your needs. At Newcoast, there will always be someone to answer the phone and give you the best advice to make your RV dreams come true.
For More Information contact:
Director of Dealer Financial Services
email@example.com or 727‐324‐1362