MELBOURNE, Australia, September 20, 2021 (Newswire.com) - According to leading finance broker National Loans, boat loans are very similar to car loans, with a typically quick application and approval process that is largely based on a customer's credit score and ability to repay.
There are two main categories of boat finance: secured and unsecured. National Loans offers boat loans in the form of specialist marine finance that uses the boat as security for the loan, or unsecured personal loans that don't use the boat as security.
Depending on a person's budget and lifestyle, one loan type may be more suitable than the other. The loans and rates available to an individual will depend on their financial history and the financial institution offering the loan.
National Loans explains that secured boat finance is seen as less risky than an unsecured personal loan because the lender has an asset they can sell should the loan be defaulted on. There is, however, a catch for buyers looking to purchase a used boat. According to National Loans, a secured boat loan can be difficult to obtain if the lender deems the boat to be too old, as it would be more difficult to resell.
An unsecured boat loan doesn't require collateral, but usually has higher interest rates and more restrictions than a secured loan. Additionally, the application process is often more rigorous. National Loans says it is often better for people to finance a boat with a secured boat loan rather than an unsecured boat loan, as secured boat loans typically have more competitive interest rates and flexible repayment terms.
National Loans makes buying a boat simple. With access to a large panel of lenders, the finance experts at National Loans are able to secure the best rate and terms to suit a buyer's needs. National Loans' network includes both bank and non-bank lenders. Working for the client, not the lender, National Loans goes the extra mile to find a financing option that is tailored to an individual's circumstances.
National Loans also provides help accessing caravan loans and other forms of caravan finance. For more information, contact National Loans directly.
MELBOURNE (HEAD OFFICE)
Source: National Loans