CAN I get a RV loan with Bad Credit?(SHOCKING)

Can I get a RV loan with Bad Credit

You may have just found yourself in need of an RV either because you had enough of the city life or you have to move out your house.

The good news is that you can still get an RV loan with bad credit. It’s not always easy, but it can be done. Let’s take a look at some of the questions that you might have and how to find your solution.

What is A RV Loan?

An RV loan is a term. It is an acronym that stands for recreational vehicle. A RV loan is used to purchase a recreational vehicle, or RV, such as a motorhome, trailer, travel trailer, camper, or 5th wheel.

With an RV loan, you can finance the purchase and even the monthly payments.

An RV can be a great family vehicle that allows you to travel to new places. You’ll want reliable transportation when on vacation, so why not have some fun in buying your own recreational vehicle? RV loans are a wise financial decision – they offer low interest rates and long repayment periods.

How do RV loans work?

RV loans work in much the same way as a regular car loan, but they differ in one major aspect:

RV loans can be used to purchase any type of recreational vehicle. They can be used to buy a camper, boat, or even a golf cart, as long as it’s classified as an RV by the manufacturer.

Can I get a RV loan with Bad Credit?

If you have bad credit, then it won’t be easy to find an RV loan. The amount that you will need to borrow will also depend on factors such as your income and whether or not your vehicle has been paid off. You can start by comparing rates online and looking for loans from reputable lenders.

It’s very possible if you can show good reasons why your rating at this time would be better than it was previously. A bankruptcy is going to take a long, long time to disappear off your credit history.

A foreclosure can stay on your record for up to seven years and usually comes with a major ding in any score you may have amassed since then.

How hard is it to get approved for a RV loan?

Not as hard as you may think! There are several factors that go toward approving or denying an RV loan. One thing is for sure: no one lender can offer the lowest rates, the best terms and conditions and unlimited credit to everyone who applies.

It’s a matter of shopping around, understanding your needs and finding the right lender for your situation.

RV loans require a good deal of documentation…so, let’s start with what lenders usually need in order to make things work out:

1. Good income

Not necessarily huge wages but enough cash flow to meet living expenses while also paying off any debt incurred through the purchase of your new recreational vehicle.

2. A proven track record of debt management

This makes getting approved more likely

3. Stable employment history

This is one of the easiest ways to show good income

4. A conservative cash reserve to cover the loan amount

The Bottom Line: The more on-track you are in your personal and financial life, the better for everyone!

RV loan interest rates are tied directly to prime rate…and some lenders offer far better than others.

For example: if prime rate is at 5%, you could get an RV loan with a fixed interest rate as low as 3% or 4%. Some lenders may also offer variable rates that would be even lower, but they’re far less predictable and not recommended because of added risk factor(s).

Which FICO score is used for RV loans?

You Will need a score between 660 and 700 FICO score to get a RV loan Fixed Rate (FR) Loans.

The Risk Score Averaging approach is used on FR applications and will give the lender a general idea of your credit risk.

However, Fannie Mae does not require lenders to use all three scores when doing an automated underwriting of an RV loan. Some lenders may choose to only pull one FICO score for an RV loan application or even zero scores!

That’s right, some RV lenders are completely ignoring the lending guidelines set forth by Fannie Mae/Freddie Mac regarding credit scoring for Recreational Vehicle loans.

How long is the typical RV loan term?

The typical RV loan term for the buyer is 10 to 15 years. Usually it’s 10 or 12 years for a brand new RV and about 13 or 15 years if you’re buying used. This does not include any extended warranty that comes with your purchase.

What Minimum credit score do I need for a RV loan?

You will need to have a credit score of 690 or above for a loan. In addition to your credit score, lenders will also look at the amount of disposable income that you have and how long you can wait before paying off your loan.

You may be required to put down a deposit if your credit score is below 600 or if you do not meet certain requirements such as having enough income.

The total value of the vehicle will have an effect on whether you are eligible for a loan. A lower value means that it will be easier to qualify for a loan.

The loan that you get will either be from the dealer’s financing company or a bank or credit union that gives loans for RVs.

The dealership is likely to have a preferred lender, so look at your options carefully before choosing one. Only consider lenders who give personal service and go an extra mile to find out what you need in order to qualify for a loan. This will make the entire process easier on you and help you avoid headaches later on.


We own and operate multiple camping and RV Trailer site. Its our passion to see the world thru camping and traveling. There is no bigger pleasure for us then to share with you our readers our experience in RV Travels and Camping.

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