How Long Can You Finance Your Boat ? - Life Beyond Certificate

How Long Can You Finance Your Boat ?

How long you can finance your boat has been a subject of discuss amongst investors and operators in the maritime business. This articles provides every detail needed to settle the controversy

What is Boat Financing ?

Boat financing simply means investing in the business of owning a boat for money making purposes. Boats comes in a variety of models. Once you know what you want with the help of the boats buyers guide and aware of the cost price, the next step is choosing a boat lender. A boat lender is one who lends you money to own a boat

Sounds weird right?

This is because we are only acquainted with the event that takes place on land. We only confined a mindset to the common things. People take buying bicycles, tricycles over the four wheel automobile, either for personal use or for commercial purposes of earning money. But have you ever thought of owning a boat? Owning a boat for a business purpose to the precise.

The money spent on buying very expensive cars can be diverted to boat financing even though much money is needed.


Owning a boat has many rewards because of its importance. Boats are used as a medium of catching fish which are sold to fish sellers. So without a boat, there will be no there will be a tragic reduction in fish availability. Most advanced people prefer eating fish to eating meats. Therefore, both in helps in the availability of marine edibles. One can also own a boat for this purpose

Boat plays a role in transportation to riverine areas

Advanced boats can be used for recovering petroleum products.

 Boats serves as a source recreational and adventurous activity for people on a tour.

Boat Financing Vs Car Financing

  1. Loaning terms: For a car loan.the deadline for the loan might be  36-months duration. This is a timeframe for the payments to be completed. In the case of abostloan, longer deadline of 10 to 25 years is acceptable.
  • Boat surety: Someone who promises to pay a sum of money in the event that another person fails to fulfill an obligation. Such a person ia also known as a co-signer. In car financing or loan, the cosigner is needed and the co-signer’s financial stability is looked into. However, some boats lenders are strict and whoever is buying a boat must qualify individually. And there must be a 40% difference between the buyers monthly income and monthly debt payments.

Using a Boat Loan Calculator

The process of buying a boat is really expensive and most times the transaction is not cleared at once. This is why you need a boat loan calculator to help you estimate the payments of monthly basis and additional interest for a boat loan. The calculator doeshelps  for estimation and decision making regarding the boat models which is affordable by you.

 Sample of a boat loan caluculator


  Both loan calculators is be based on

 Debt to income: Here the bias monthly debt is divided by the monthly income. This is used to know if the buyer can pay his debt

Secured boat loan: Here the both standards a collateral from the loan. A secured loan is accompanied with a collateral home equity loan.

Home equity loan: Your house stands the collateral for this type of loan. It is a very risky loan and the interest rate is expensive.

How to Access Boat Financing

To apply for both financing the presence of a both lender is important. It can be done at a bank application can also be done online. You will also need to disclose the amounts you need the boats model and your bio data including your financial status. After which you wait for approval. It’s advisable to understand the terms and conditions before signing in.

Banks Involved in Boat Financing or Loan

CompanyStarting Interest RateLoan Terms (range)
Bank of the West Best Overall3.74%4 to 20 years
Southeast Financial Best for Bad Credit3.74%Up to 15 years
LightStream Best for Quick Funding4.29%24 to 84 months
Mountain America Credit Union Best for In-House Financing5.49%Up to 15 years

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