What to Know about Getting an RV Loan

Marshfield Medical Center Credit Union > Blog > What to Know about Getting an RV Loan

Sales of recreational vehicles have climbed in the past year and spring is a great time to enjoy a new RV.

“Spring is always a good time to buy these vehicles as this is the time they will get the most use,” said Jerry Litwaitis, VP of Lending at Marshfield Medical Center Credit Union (MMCCU).

Whether a travel trailer, 5th wheel, 4-wheeler, UTV, snowmobile, or boat, there are several factors to consider.

When financing an RV, start with these steps:

  1. Set a budget
  2. Save a down payment
  3. Check your credit score
  4. Decide which type of loan you want
  5. Compare lenders
  6. Negotiate with your RV dealer

“Make sure the RV fits your needs and budget,” said Litwaitis. “If you are purchasing a RV for camping, how many people will it comfortably hold/sleep? Can your vehicle tow or pull the camper you need?”

As most RV’s cost anywhere from $10,000 to even upwards of $100,000, some type of financing is often used to facilitate the purchase.

“Check with the credit union to see how much you can afford to spend,” said Litwaitis, adding that it’s also important to consider what insurance coverage will be needed.

“Most of these vehicle can be placed as a rider on your homeowners insurance policy or you may need to get a separate policy if you do not own a home,” he said.

Other factors to consider before purchasing include function and purpose.

“Will a 4-wheeler meet your needs or do you need seating for two or more people? Will you be hauling anything?” said Litwaitis. “A 4-wheeler and UTV can be used year round, but a snowmobile can only be used in the winter time.”

Recreational vehicles provide a means for travelers to see the country, vacation comfortably, visit relatives or even establish a permanent residence. When considering options for how to pay for these vehicles, be sure to contact MMCCU! Give Jerry a call at 715-387-8686!

Leave a Reply