Financing & Loan Options for RV 5th Wheel
I will be buying a 5th wheel soon and this will be our first RV purchase. We are looking at 5th wheels in the $45-65,000 price range. Would it be better to get financing directly through the dealershi...
Forum Discussion
RV loan interest rate ~3-4%, maybe lower.
National Average savings account rate <1%.
However, many people can invest at 7-10%+ annual rate of return. So borrowing "cheap money" at a lower rate than you can earn investing can be beneficial even if you have the cash. I don't have a problem with a loan on any depreciating asset. Justr make sure you understand the depreciation rate is similar to automobiles. I recommend loans at similar rates, say 10-20% down payment and <6yr loan payment schedules.
My advice is to shop rates on your own prior to discussing financing with the RV dealer. Many people have established relationships with specific banks already that often make the logistics of getting, paying, and closing a loan easier than some random bank.
National Average savings account rate <1%.
However, many people can invest at 7-10%+ annual rate of return. So borrowing "cheap money" at a lower rate than you can earn investing can be beneficial even if you have the cash. I don't have a problem with a loan on any depreciating asset. Justr make sure you understand the depreciation rate is similar to automobiles. I recommend loans at similar rates, say 10-20% down payment and <6yr loan payment schedules.
My advice is to shop rates on your own prior to discussing financing with the RV dealer. Many people have established relationships with specific banks already that often make the logistics of getting, paying, and closing a loan easier than some random bank.
