Our brokers work hard at understanding our client’s unique circumstances and helping them overcome common home loan challenges. Whether you’re a first home buyer or an experienced investor, we’ll help you find the best home loan for your situation. Whether you’re self-employed and have trouble proving your income or you’re a contractor or casual worker, we offer solutions for all types of clients’ income sources.
Whether you’re looking to finance a new boat purchase, or refinance an existing loan, we can help. We work with a wide range of boat loans Melbourne lenders, so we can find the right loan for you. Compare your marine finance options to save thousands of dollars. If you’d like major savings and get the financing you need, talk to our brokers today.
What Is A Boat Loan?
How Do They Work?
Types Of Boats You Can Finance
- Jet boats
- Motor cruisers
- Bass boats
- Cabin cruisers
- Centre consoles
- Ski and wakeboard boats
- Other marine leisure vehicles
Pros & Cons
- Specialised loans: Whether it’s a standard secured personal loan or commercial marine finance, there are options available specifically designed to finance a boat with flexible loan terms and interest rates.
- Fast loan approval: Lenders quickly approve boat loans. The quick turnaround time and relatively easy application process are reliable. It’s an ideal option when you want to have the finances for your boat in short notice. Some marine finance brokers even offer automatic approvals for loans under a certain borrowing limit so you can get approved even faster.
- Competitive interest rate: Cheap boat loans offer competitive interest rates which tend to be lower than other credit options. It’s a great alternative to save money.
Meanwhile, the following are some common disadvantages:
- Large loan amounts required: You need large loan amounts. Boats are pricey and require larger loan amounts. It’s important to choose a term that keeps your repayments manageable.
- Secured boat loans are not inclusive of additional costs: Additional costs can’t be factored into secured boat loans. This includes ongoing boat maintenance, boat insurance ($100 or more per year), marine equipment (approx. $1,500), and storage fees ($800 per year)—which can tally into an expensive figure.
How To Get A Boat Loan In Melbourne?
- Search and compare boat loans interest rate and comparison rates.
- Study the loan you’re interested in. Calculate monthly repayments, total cost of the loan and take into account the overall fee structure. Make sure these fit within your budget.
- Get pre-approval. Some lenders allow you to pre-qualify for their loan. This means passing a soft credit check, which won’t hurt your credit score. It will help you check if you meet their eligibility requirements and if you can actually afford the loan.
- Submit your loan application
- Receive financing and begin making your loan repayments. It’s important to keep on top of your repayment schedule to not damage your credit score.
Aussie boat loans require some supporting documentation. Lenders will assess your credit score and determine your eligibility for their loan. On your loan application, you will have to provide:
- Proof of identities such as a driver’s license, passport, or other government-issued ID
- Proof of income and employment such as payslips and tax returns
- Details of other financial commitments
- Details of assets such as asset statements for secured loans
Requirements To Qualify
Be 18 Years Or Older
Be An Australian Citizen
Good Credit Profile
Can I Get A Marine Finance With Bad Credit
When choosing a bad credit boat loan, it’s important to carefully weigh the costs against the benefits. Alternatively, you can take some time to build up your credit score before applying for a loan. You can apply for a smaller loan amount, apply with a creditworthy cosigner or put up a collateral as security. You can also lower credit usage, pay off any outstanding debts and manage your payments to improve your credit score.
New VS Used Boat Loans
For New Boats
If you’re looking for a low interest rate, then financing a new boat is usually the better option. This is because lenders view new boats as less of a risk than used boats. Boat loans for new boats usually have lower interest rates than used boat loans, so you’ll save money in the long run. The downside of new boat loans is that they often have higher monthly payments. This is because you’re borrowing a larger amount of money, so the loan will take longer to pay off.
For Used Boats
However, if you’re on a tight budget, then financing a used boat may be the better option for you. This is because used boats are usually cheaper than new boats. Boat loans for used boats usually have higher interest rates than new boat loans, but the monthly payments are often lower. If you’re looking for a lower monthly payment, then financing a used boat is a great option. The downside of used boat loans is that you may end up paying more in interest over the life of the loan.
How Much Can I Borrow
How Do We Choose Boat Loans Lenders
Interests & Rates
This depends on the lender you choose. Generally, rates for secured loans are lower because they present less risk to the lender. Make sure you select a loan with a competitive interest rate to save money in the long term.
Secured or Unsecured
Does your loan offer fixed repayments? Are fixed repayments most suitable for your budget and lifestyle? Or would you prefer a variable loan to take advantage of market rates? It’s important to consider if you can manage your payments on time over the life of the loan.
Term Of The Loan
Comparison Of Marine Finance Lenders In Melbourne
Need A Consultation? Talk To An Expert!
Frequently Asked Questions
How Does A Boat Loan Work?
Boat loans have a similar fee structure where a lender gives you a lump sum to borrow. You will then have to pay back the loan over a set repayment period with interest. Buying a boat in finance gives you a more flexible payment method but also comes with additional charges as a cost of borrowing. Always weigh the benefits and risks carefully to ensure you are getting the most value out of your loan.
What Are The Requirements To Qualify For Boat Loans?
How To Get Marine Finance In Melbourne?
- Calculate interest rates and comparison rates of different loan products.
- Choose your preferred loan. When you are sure that your monthly repayments, the total cost of the loan and its overall fee structure suit your budget and lifestyle needs, pre-qualify for the loan.
- Get pre-approval from the lender. You need to pass a soft credit check. This ensures you are in a good position to meet their eligibility requirements and that you can afford the loan repayments.
- Submit your loan application. Some lenders offer an entirely online application process.
- Receive finance and start making payments on your loan. You need to stay on top of your repayment schedule to protect your credit score.