Trying to finance a Travel Trailer under 10k for 144 mths.

Goldstalker wrote:

Gdetrailer wrote:

AntonB wrote:
The credit union wants 60 month loan, for the 9000. 144 was just a number I got for a 10000 loan.

1) Just wondering if there were viable options for say 96 month or so?

2)Most banks and credit unions are at the 60 month intervals.

3) 9000 would be the amount financed.

#1 No. The ONLY way that I know you MIGHT get a loan on a RV longer than 60 Mn is THROUGH A RV DEALER. RV dealers use FINANCE COMPANIES which are basically non public banks (They don't make loans directly to the public, the dealer acts as a loan broker).

#2 Correct. Public banks and credit Unions typically will loan up to 60 months for items like RVs. This LIMITS the odd chance that you default on the loan and they end up owning a RV which is worth LESS than the outstanding loan. THEY DO NOT WANT TO OWN A RV, therefore they LIMIT the RISK they take.

#3 USE the Amortization Calculator and plug in your interest, amount to be borrowed and the length. Then play around with the calculator.

BofA does.

GOOD BANKS DO NOT.

Bet you will pay even higher rates and have to jump through a LOT of hoops.. and in the end you will regret getting mixed up with them.

I personally wouldn't trust BofA to start with but that is my gut feelings.

Borrowing for things like RVs for more than 5 yrs is an very costly way to "afford" something that you in reality can not afford nor should you buy (with the exception of something like a Motor Home which you might not have a choice).

SMART folks and SMART BANKS KNOW AND UNDERSTAND THIS.

That is where the power of using a Amortization Calculator comes in handy.

If you can not afford $9K for 60 months, that is a sign that you are borrowing TOO MUCH.

Wait a year, save up, put back the money you would be paying in payments for that year.

Even at $100 per month that is $1200 which you can add to a down payment and reduce the loan amount needed to $7,800, that would get your payment down to $154.45 per month 7% and 60 months...

Paying nearly $5K of interest on a $10K loan is silly let alone adding $5K to the cost of your RV :S :h

But hey, it is your money (and hard work) to do what you will with it.. It wouldn't be the way I would throw my money out though..