RV Loans, otherwise known as a recreational vehicle loan, is financing for a camper, RV (recreational vehicle), or motorhome. This type of loan includes luxury RVs, new and used RVs, campers, pop-up camper, hard top trailer, pull behind, driveable camper, or a motorhome. Basically, any RV or camper style recreational vehicle that is not a permanent structure.
If you have a bit of savings you intend to use for your dream RV, here are a couple of ways to consider using it.
First, you can get your approved loan amount and the interest rate by getting pre-approved, then use the down payment to reduce the initial costs. Doing so reduces your overall total loan request, in turn, reducing the amount of interest you pay.
Your second option is to see what loan amount you qualify for and use the savings as a safety net as you proceed with your RV purchase. Essentially, your loan amount would cover the RV cost and you could use your savings to pay for the taxes, title, and any other additional expenses you may not have considered. Keeping this money to pay for the fees helps relieve the stress of any added costs.
Third, if you have a substantial down payment and find an RV slightly outside your loan budget, you can use it to absorb the extra cost and get the RV of your dreams.