RV Financing for Borrowers with Bad Credit

If you plan to hit the open road for a long-awaited road trip via RV with your friends and family but have also hit a snag with financing problems in the past, you might be wondering: how can you finance an RV?

Don’t worry, though, as it is entirely possible, albeit it will be challenging. The first thing you might think of is loans.

Yes, you can finance an RV with a loan, but then you’ll wonder if your credit score will cut it. Fortunately, there are some lenders out there in the market that are willing to let you borrow with bad credit. Some will even let you take out a secured loan as long as you show them proof that you’ll be able to repay them.

But how exactly will you finance an RV with bad credit?

Set an RV Budget

When buying an RV, you might want to decide whether you want a towable RV or a motorized one. Motorized RVs are generally more expensive than towable ones.

Not only that but if the motorized RV weighs more than 26,000 lbs, you’re going to need a special license. However, most motorized homes that you can find in the market are below 26,000 lbs since anything higher than is most likely a large class A motorhome.

What is class A, you ask? RV sizes are generally categorized by classes, which signifies their weight. The first class is A, which weighs between 13,000 to 30,000 lbs. Class B is the smallest of the classes, with an only weight between 6000 to 8000 lbs. The last one is Class C, which weighs between 10,000 to 12,000 lbs.

Most of the time, RVs are priced by how big and bulky they are. However, some RVs have unique features and additional functionality, so you might want to check first before buying. But, the cost of the RV isn’t the only one you have to prepare in budgeting. You should also include maintenance and insurance.

However, if you plan to buy an old one, of course, there are some discounts, especially if you buy from a dealer.

Always Keep Saving

Before you get a loan, you might want to crack down on your spending habits, especially if you’re looking to improve your credit score a little bit to increase your chances. Also, if you have money to spare, you can shave off a little of your balance. Make it until 0%, if possible. However, if you’re planning to add some charges to your balances, keep it minimal, like less than 10%.

If you manage to pay off a portion of your balances, it is now time to shop around for a loan. Unfortunately, if you still have bad credit, you’re going to find loans that cost high. This is because bad credit loans tend to have a higher interest rate. If you manage to find a bad credit loan with a low-interest rate, the chances are that it will require collateral.

Also, it would help if you kept your loan inquiries within 14 days apart. Having loan inquiries in a short period will further hurt your credit score. FICO tends to look at your loan inquiries as taking out loans. If you keep them 14 days apart, it will show up on your credit history as a particular loan. Before we forget, you should do all of these two months before the date you want to apply for an RV loan.

Where Do You Get an RV Loan?

One thing to remember when comparing different RV loans is to look at their APR. APR, which stands for annual percentage rate, includes all the fees and interest rates in that particular loan. Of course, the loan with the lowest annual percentage rate is the least expensive.

Online Lenders

The RV loans you can usually get from online lenders tend to be unsecured and are easy to finance. An unsecured loan is a loan that doesn’t require any collateral. Not only that, you can pre-qualify for online loans on online sites such as https://www.myfinancingusa.com/, no matter if you don’t have high credit scores.


Banks offer competitive rates and repayment packages for RV loans. However, they don’t offer pre-qualification and will also require you to visit their office personally.

But, some banks work with dealerships for their RV loans. However, these kinds of banks typically offer secured loans. This means you will use any of your property for collateral or use the RV itself to be collateral.

Credit Unions

If you haven’t heard of credit unions before, they are a nonprofit organization that serves their members certain loan products to help them financially. However, most credit unions only offer membership if you live in the same area or are associated with a particular group.

They also benefit their members with low APRs, even though you have bad credit. If you’re already a member of one, you might want to ask around if they offer RV loans. If they do, you will save a lot more money than loans from banks and other alternative lenders.


Dealerships tend to offer RV loans, even for people who have bad credit. These RV loans, however, come from a local lender that works with the dealership. With their cooperation, they can get you an RV most quickly and efficiently possible. However, it would be best if you were wary of additional costs and fees before going ahead.

Also, dealerships sometimes only offer RV loans from their partners that have a high APR. That said, you might end up with more bills than taking out loans from other lenders. In this situation, you can shop around for other RV loans from another source, whether it’s from a bank or a credit union.

If you manage to find a cheap one, you can ask the dealership to beat that price. They tend to be competitive when it comes to prices, so it’s in your best interest to use it to your advantage.


Financing an RV can be challenging, especially if you have bad credit. That may be the case, but it’s comforting that it’s not impossible. If you are patient and determined enough to find an easy and cheap way to finance an RV, then you’re already halfway to the road trip of your dreams.

Author Bio:
Lauren Cordell is a fashion enthusiast and an adventure lover. She is generally adept in writing about financing, fashion, and real estate. In her downtimes, she passes her time with board games like chess and scrabble. She is also active in social media and can easily be contacted through them.