Getting an RV Loan and Things You Need to Know

Nov 5, 2023 | RV

Did you know an RV loan was even a thing?

Are you considering buying an RV but not sure about how to finance it? You’re not alone. Many people dream of hitting the open road in a new RV, but the cost can be a challenge. That’s where RV loans come in. In this blog post, we’ll discuss everything you need to know about RV loans, from the types of loans available to how to qualify for one. So if you’re interested in purchasing an RV and need financial help, keep reading!

Types of RV Loans

The first thing you need to know about RV loans is the various types available. There are two main types of RV loans: secured and unsecured. Secured loans require collateral in the form of the RV itself, while unsecured loans don’t. Secured loans usually offer lower interest rates, longer repayment terms, and higher loan amounts. Unsecured loans have higher interest rates, shorter repayment periods, and lower borrowing limits.

How to Qualify for an RV Loan

To qualify for an RV loan, you need to have a good credit score, proof of income, and a solid employment history. Lenders will also examine your debt-to-income ratio to determine whether you can afford the monthly payment. The better your credit score, the better the loan terms you’ll receive. Additionally, some lenders require a down payment of 10 percent or more to show good faith.

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RV Loan Interest Rates

Interest rates on RV loans are typically higher than those for home or car loans because RVs are considered “luxury” items. The average rate for an RV loan can range from 4% to 17%, depending on the lender’s credit score. However, some lenders offer lower rates to qualified borrowers with excellent credit scores.

RV Loan Repayment Terms

RV loan repayment terms can vary widely, from as little as 12 months to as much as 20 years. The term you choose will depend on the loan amount, your budget, and your overall financial goals. Many RV loans have a repayment schedule similar to car loans, with monthly payments. However, a growing number of lenders offer flexible repayment options, including bi-weekly or week-by-week payments, which can lower the interest you pay over time.

Applying for an RV Financing

Applying for an RV loan is similar to applying for any other type of loan. Start by researching RV loan lenders and comparing loan terms, rates, and repayment plans. Gather all the required documentation, such as proof of income, employment history, and credit history determining bad credit borrowers or good credit borrowers.

Once you have the information, complete the application and submit it to the lender. If you’re approved, the lender will provide you with a loan offer detailing the terms, interest rate, and repayment schedule. It’s essential to read the terms carefully before accepting the offer.

motorhome, camping, travel

Secured Vs Unsecured RV Loans and Which One is Right for You?

Are you planning to buy the RV of your dreams but don’t have the funds to pay for it all at once? If so, you’re not alone! Most RV buyers in the US prefer to finance their purchase by taking out an RV loan.

However, before you apply for an RV loan, you need to know about the two types of RV loans available: secured and unsecured RV loans.

Secured RV Loans

Secured RV loans are loans that are backed by collateral, typically the RV itself. This means that in the event of default, the RV Loan lender can repossess the RV to recover any losses.


Lower interest rates

Since secured loans are low-risk for lenders, they offer lower interest rates compared to unsecured loans.

Higher borrowing limits

Secured loans can help you borrow more money than unsecured loans, which is ideal for buying high-end RVs.

Flexible repayment terms

The repayment terms of secured loans are usually flexible, giving you more control over your monthly payments.



The biggest drawback of secured RV loans is that you’re putting your RV at risk. If you default on the loan, you could lose your RV.

Approval requirements

Secured RV loans typically have stricter approval requirements compared to unsecured loans, making it more challenging for some individuals to qualify.

minimum credit score`

Unsecured RV Loans

Unsecured RV loans don’t require collateral, making them a higher risk for lenders. Therefore, if you default on the loan, the lender will have to file a lawsuit to collect the outstanding debt.


No Collateral

Unsecured loans don’t require collateral, so you won’t be putting your RV at risk if you default on the loan.

Flexible Approval Requirements

Unsecured loans are easier to qualify for than secured loans, making them an excellent choice for individuals with a lower credit score.


Higher Interest Rates

Since unsecured loans are more risky for lenders, they often come with higher interest rates.

Lower Borrowing Limits

Unsecured loans typically have lower borrowing limits, which may not be ideal if you’re planning to purchase a high-end RV.

Less Flexibility in Repayment Terms

Unsecured loans may have less flexible repayment terms compared to secured loans, making it less convenient for some borrowers.

camper, mountains, van

Factors to Consider

When deciding between secured and unsecured loans, consider the following factors:

Your Credit Score

If you have a high credit score, you may qualify for a lower interest rate on a secured RV loan.

Your Budget

Consider how much you can afford to pay monthly and the total amount you want to borrow.

The RV you’re purchasing: If you’re buying a high-end RV, you may need to opt for a secured loan to meet the purchase cost.

money, coin, investment

Where to Get an RV Loan

When looking for RV loans, look for a reputable lender, and compare RV loan term, interest rates, fees, and repayment period. Financing options are available through credit unions, online lenders, and RV dealerships. Frequently, RV dealerships offer manufacturers’ financing, which may come with lower interest rates, incentives, and extended warranties.

In conclusion, RV loans are an excellent way to finance your dream of owning an RV. With the right research, planning, and preparation, you can find an RV loan that fits your financial needs and goals. Remember, it’s essential to compare loan terms, interest rates, and repayment plans to find the one that works best for you. So, don’t let the cost of an RV deter you from experiencing the joy of the open road. Start looking for RV loans today and get ready for your next adventure!

auto loan

Alternatives to an RV Loan

Are you dreaming of hitting the open road in your very own RV? You’re not alone! But if you’re like most, the cost of a recreational vehicle can be quite daunting. One of the most popular ways to finance an RV purchase is through an RV loan. However, with rising interest rates and unpredictable financial markets, it may not always be the best option for everyone.

Personal Loans

Personal loans are a popular alternative to RV loans. They’re typically unsecured, meaning you don’t have to put up collateral like your RV as security. That means that the loan approval process can be much faster and easier than with a traditional RV loan. Personal loans can also have lower interest rates than RV loans. You can use the funds from a personal loan to buy your RV or to use it for other expenses associated with your RV purchase, such as insurance or registration fees. Just be sure to shop around and compare rates from different lenders to find the best terms and interest rates.

Home Equity Loans

Another option to finance your RV purchase is to take out a home equity loan. A home equity loan is a type of loan where you borrow against the equity you have in your home. Since the loan is secured by your home, you may qualify for lower interest rates than an unsecured loan. Additionally, the interest you pay on a home equity loan may be tax-deductible, which can save you money in the long run.

Credit Cards

While it’s not recommended to finance your entire RV purchase with a credit card, it’s still an option that can help with the upfront costs associated with buying an RV. Some credit cards offer rewards and cash-back programs that can help offset some of the expenses, such as gas and maintenance costs. However, be sure to compare interest rates and fees before using your credit card to avoid high-interest charges that could quickly accumulate.

Renting to Own

If you’re not ready to commit to a full RV purchase but still want to experience the RV lifestyle, renting to own could be a good option. This way, you can try out different RVs and decide on what suits your needs best before making a significant investment. Renting to own is also more flexible than traditional loans, allowing you to pay a smaller amount upfront, followed by a larger sum every month until you repay the total cost. Just remember that rates tend to be higher, so keep your budget in mind.


Finally, crowdfunding is becoming an increasingly popular way to finance your RV purchase. It works on the basis of a large group of people pitching in small amounts of money towards a specific project. By setting up a crowdfunding campaign, you might be able to reach out to people in your social network to invest in your dream RV. This way, you’ll have a community that shares your passion, and you can avoid high-interest rates associated with traditional loans.

rv loans tax deductible

Interstate Haulers

In conclusion, when the time comes to take your RV on its next journey, it’s important to make sure you’re getting the best possible care. Interstate Haulers has experienced professionals who understand the process of transporting an RV safely and securely to your destination. Don’t take chances with your beloved vehicle. Reach out to Interstate Haulers today and begin planning your next journey!


When it comes to RV purchases, there are many different financing options to consider, ranging from traditional loans to crowdfunding. Whatever option you choose, be sure to do your research, read the fine print, and compare rates to find the best possible terms. Remember, financing an RV can be a long-term investment, so make a plan that works for you and fits your budget. And most importantly, enjoy the journey.

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