Trailer Financing with Bad Credit: Can You Buy a Trailer with Bad Credit?

1. Establish a Realistic Payment

To get trailer financing for bad credit, you need to establish a realistic payment to get pre-approval. One of the things lenders consider before approving a loan is whether you are in a position to repay it. The payment you choose shouldn’t stretch your budget since there are other costs you will incur like RV fueling and insurance.

2. Make a 10% Down Payment

You also have to make a 10% down payment for travel trailer financing bad credit check to get preapproved. Some lenders ask for a 20% down payment. Making a bigger down payment increases your chances of getting preapproved. When you make a larger down payment, you get the following benefits:

• Lowers your payments for years to come
• Gives you a positive loan-to-value ratio

3. Select a Trailer

Once you have made a down payment, the next thing you need to do is to pick a trailer. You need to decide on the size of the trailer, storage space, and your lifestyle and match your towing vehicle to your trailer.

4. Get Preapproved

If you get preapproved for bad credit travel trailer loans before you can go shopping, it increases your negotiating power with the dealer. This helps you get a loan at relatively cheaper prices. Trailers are considered a luxury and as such, they attract high-interest rates because they pose a higher risk to lenders.

As such, you must get multiple loan offers so that you can choose one with the best terms. Besides, the dealership will take you more seriously if you visit them with a pre-approval letter from the lender. Eventually, the lender will give you a better price.

5. Sign the Paperwork

Before signing the paperwork, you must first go through the paperwork. Get to understand all the terms and ask questions where you don’t understand. If everything is clear, you can go ahead and sign the paperwork.

You can then start using your trailer while you repay your trailer loans. As you pay the loan, you will also be improving your credit score at the same time. This can help you refinance RV loan with bad credit at a better rate down the line.

My USA Financing

My USA Financing is an online lender that can help you with travel trailers bad credit financing. They approve loan applications with low credit scores of as low as 550 with repayment terms of up to 15 years. Even if you have a past bankruptcy, you can still qualify for a loan. Their loan amounts range between $10,000 and $50,000. You will need to make a down payment of 10% and you can also do a trade-in. APRs depend on your state of residence, the RV you are financing, and your credit score. You will be required to pay a $495 document fee.
 

Southeast Financial

Southeast Financial is also a great online lender that offers travel trailer financing bad credit. You can get camper trailer finance bad credit with terms of up to 240 months. They offer bad credit travel trailer financing for an RV up to 15 years old. You need to be employed, a minimum income of $20,000 and have a minimum credit score of 550. You will need to make a down payment of more than 20% to get approved. The interest rates depend on your credit score, and borrowers with poor credit scores pay a higher interest.
 

Capital Solutions

Capital Solutions Capital Solutions is a lender that specializes in travel trailer financing for people with bad credit or no credit at all. They do not require a minimum credit score, and borrowers can use their personal assets as collateral for the loan. Capital Solutions offers telephone pre-approval, and they extend financing to people who have previously been declared bankrupt.

However, there are a few restrictions on Capital Solutions’ travel trailer financing program. First, the trailer must be 2009 or newer. Second, Capital Solutions does not charge interest rates, but instead writes their loans as lease purchases. This means that the borrower will not own the trailer outright until the end of the loan term. Finally, Capital Solutions allows for early payoffs without a penalty after nine months, and borrowers can make larger payments each month if they want to.
 

RockSolid Funding

RockSolid Funding offers bad credit trailer loans for consumer, commercial purposes. They require a credit check, but they still work with low credit scores. You also need an employment history, and they have different approval processes for various types of loans. APRs apply depending on your credit score and the kind of funding you need. If you want the funding of less than $7,500, you don’t need a down payment to have your credit approved.
 

Trailer Solutions Financial

Trailer Solutions Financial is a bad credit trailer financing for consumer and commercial trailers. You need a minimum credit score of 530 to get approved. You also need a minimum gross income of at least $1,700 to qualify. APR rates depend on one’s credit scores and type of financing. You can get funding within 48 hours after getting approved.