Best RV loans of May 2024

RV prices range from thousands into millions of dollars. Towable RVs represent the more affordable end of the spectrum, starting around $14,000, according to Bish’s RV, while luxury Class A diesel motorhomes can top out well over $750,000.

If you need a loan for your RV dreams, it pays to find the right lender by comparing interest rates, terms, fees, and minimum credit requirements, to name a few. Our evaluation equips you with the knowledge needed to navigate the complexities of RV financing with confidence.

Compare RV loans rates of May 2024

Best RV loans

The following personal loan lenders represent some of the best unsecured RV loans, based on loan amounts, annual percentage rates (APRs), loan terms, funding time, eligibility criteria, and more. Note whether loans are secured by the RV or unsecured, as is the case with most personal loans. And prequalify to see which lenders are most likely to approve your loan, and to get a sense of rates you might qualify for.

SoFi: Best overall

Upgrade: Best for fair credit

LightStream: Best home improvement loans and low rates

BHG Money: Best for large personal loans

Methodology

We evaluated the best personal loan lenders for RV loans based on factors such as customer experience, minimum fixed rate, maximum loan amount, funding time, loan terms, fees, discounts, and whether cosigners are accepted. Our team of experts gathered information from each lender’s website, customer service department, directly from our partners, and via email support. Each data point was verified by a third party to make sure it was accurate and up to date. Read our full lender rating methodology for more information.

What is an RV loan?

An RV loan is a type of installment loan you can use to purchase an RV. Depending on the type of RV loan, you may receive a fixed-rate loan in a lump sum that you can use to purchase an RV. Or, if using dealer financing, the money will likely bypass you and go straight to the dealer.

In either case, you’ll make monthly payments for the term of the loan. Most RV loan terms range from two to ten years, but you may be able to secure a longer repayment period, depending on the lender.

Types of RV loans

There are two types of RV loans: secured and unsecured. The right choice for you depends on your credit history, the loan amount needed, and whether you want to have your RV act as collateral or not.

Secured RV loans

A secured RV loan is similar to an auto loan, however the RV is used to secure the loan. Some lenders offer secured RV loans with repayment terms of up to 20 years, and often require a down payment of 10% to 20%. However, if you fail to repay your loan, the lender can seize the RV to cover its losses.

Secured loans are generally easier to qualify for since they place less risk on the lender. To qualify for an RV loan, you need to meet the lender’s credit, income, and debt-to-income (DTI) requirements. The higher your credit score, the easier it may be to get an RV loan. But since the loan is secured by the RV, you may be eligible even with bad credit.

Dealerships for RVs have financing options that may include special discounts or perks for using their in-house lender. Moreover, you may be able to qualify for lower rates and APRs than with an unsecured personal loan.

Unsecured RV loans

An unsecured loan is a personal loan that you use to fund an RV. Since it’s unsecured, you don’t need to use your RV as collateral. Plus, you don’t need to provide a down payment. Both are key benefits of personal loans relative to RV dealer financing.

While personal loans can be used for most legal purposes, some lenders allow RV loans, while others don’t. For instance, Lightstream and BHG Money offer RV loans for up to $100,000 and $200,000, respectively, and offer repayment terms up to 12 or 10 years.

Unsecured loans are widely available and can be found through banks, credit unions, and online lenders. Approval is dependent on your credit profile and financial health. Personal loan interest rates can range from around 8% up to almost 36% with the average rate for a two-year loan being 12.49% APR, according to Federal Reserve data.

How to compare RV loans

• Secured or unsecured: Consider whether you’d prefer a secured or unsecured loan, and what you can qualify for. Your desired loan amount and repayment term may impact your decision. Secured loans typically have higher loan amounts and longer repayment terms, but unsecured loans don’t require collateral or a down payment. The right choice for you will be the option that fits your budget best.
• Loan amount: Decide on your RV budget so you can shop for lenders that offer loans in the size you need. The amount you’re qualified to borrow typically depends on the lender, your credit score, your income, and your current debt.
• APR: The annual percentage rate accounts for the interest rate and any upfront fees. RV loans can have competitive APRs, especially if they’re secured. Compare rates across several lenders to find the lowest one.
• Fees: Some lenders charge fees, including origination fees on personal loans and late fees. Origination fees are typically 1% to 12% of the loan amount, depending on the lender, and are usually deducted from the funds before you receive them.
• Repayment term: An RV loan term can last from as short as one year to as long as 20 years, depending on the loan type. Some personal loan lenders, like LightStream, offer 12-year terms for RV loans.
• Monthly payment: Make sure your RV loan payment fits comfortably in your budget. Your monthly payment is determined by a combination of your loan amount, APR, and repayment term. It’s better practice to have an affordable monthly payment than the lowest possible interest rate.
• Time to fund: Many online personal loan lenders can fund your loan as soon as the same or next business day. However, some may take up to five business days. You could drive home with your RV the same day you apply for dealer financing. But note that while you can apply for a personal loan from the comfort of your home, you may need to apply at the dealer’s place of business to get approved.
• Customer reviews: Before choosing a lender, take the time to research customer testimonials. Some good websites to consider are Trustpilot and the Better Business Bureau.

Pros and cons of using a personal loan for an RV

Pros and cons of secured RV loans

Pros

• Lower APRs: Because these loans are secured by your RV, they often have lower APRs than an unsecured loan.
• Easier to qualify: Your RV is used as collateral, which makes it easier to qualify for.
• Longer repayment terms: Secured RV loans may have payment terms of up to 20 years.

Cons

• Not as widely available: Unlike unsecured loans, secured RV loans may not be offered by many major lenders.
• Puts your RV at risk: If you don’t repay your loan, your lender has the right to take your RV.
• May require a down payment: An RV loan may require a down payment of 10% to 20%.

Pros and cons of unsecured RV loans

Pros

• Widely available: Unsecured loans are available from most major lenders.
• Easy application process: Instead of sitting for hours in the dealer’s financing department, you can apply and get approved for a personal loan from home.
• No collateral required: An unsecured loan doesn’t require collateral, so your RV isn’t at risk.
• Fast funding: Some personal loans can be approved and funded within just one business day.

Cons

• Lower loan amounts: You may not find or qualify for a personal loan large enough to purchase the RV you want.
• Higher APRs: These loans often have higher APRs since the lender takes on more risk without your RV as collateral.
• Shorter repayment terms: Many personal loans have repayment terms of 1 to 7 years. This can mean a higher monthly payment.

How to get an RV loan

1. Check your credit: Before applying for any loan, check your credit score so you know what loans you may be eligible for and whether you should improve your credit before applying. You’re able to receive one free credit report per year by visiting AnnualCreditReport.com.
2. Set your budget and calculate monthly payments: Knowing the price range of RVs you’re shopping for can help narrow down your loan options, especially if you’re eying an RV on the higher end of the price spectrum. You can calculate your monthly payments as well to determine how much loan you can afford per month.
3. Determine the best loan type: You can purchase an RV with either a secured or unsecured loan. Different loan types may be best for certain types of borrowers and RVs, so consider your situation to decide which is right for you.
4. Get prequalified: Depending on your loan type and lender, you may be able to prequalify for a loan. Prequalification can give you an estimate of the APR and loan amount you may qualify for, and it won’t impact your credit. But it’s not an offer of credit, and the final rate you get may differ from the estimate.
5. Apply for your loan: Once you’ve decided on a loan type and chosen the right lender, complete your application. The lender will perform a hard credit pull, which can lower your score by a few points temporarily. The application process may look different depending on whether you’re applying for a secured or unsecured loan.
6. Finalize your loan agreement: If your loan is approved, you’ll have to sign your loan document to finalize it. You may receive your funds, or the lender may send them directly to the RV dealer — this is especially likely for a secured loan. For an unsecured loan, you can expect to receive funds anywhere from as soon as the same or next business day to up to five business days.

RV loans FAQ

What are current RV loan rates?

RV loans differ depending on whether you’re shopping for secured or unsecured loans, as well as your personal financial situation. As of May 2024, you can find RV loan rates for unsecured loans as low as 6.99% APR.

Do I need good credit for an RV loan?

You don’t necessarily need good credit to get an RV loan, but it certainly makes it easier to qualify. However, you may need good credit if you’re seeking a large RV loan. Even if you do qualify without good credit, you’re likely to get a higher APR, which can increase your loan costs. However, a cosigner with good credit can increase your chances of approval. But keep in mind they become responsible for making payments if you default.

How long are RV loan repayment terms?

RV loan repayment terms are different for secured and unsecured loans. Unsecured personal loans have terms up to seven years, typically, and up to 12 years with some lenders. An RV loan secured by the RV or your home could have a repayment term from 10 to 30 years.

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