Financing

[Sundance3200]

As a full timer and one who just sold the house, I have a question for you. If you want to upgrade to a larger, newer RV, Where can you find someone to finance it? We started looking at a new rig and when we got to the part of financing it we were told that in order to do this we would need a permanent address not a UPS mailbox that they would need to see an electric bill with our address on it. We have a trade in and could pay cash for one but want to hold on to the money. We are both retired and have great credit. We don't owe anyone. Any ideas out there.

[JMonroe]

Good luck. We were 'window shopping' last summer in anticipation of selling our house this year. We had planned to buy a new rig after selling the house. We were told, however, that it would be difficult to do so. One broker we spoke to said he represented 8 banks, only one would even talk to you if you did not own a home, and you'd pay at least one full point more than everyone else. We ended up buying last fall to be sure we could secure a loan. Once the house is sold we can pay it off at a much higher rate/shorter term, without penalty.

Do you have any close relatives that would let you list their home as yours? Once you have the loan you can submit a change of address to the lender to anywhere you want.

[okmunky]

You might want to contact a financial advisor. Mine told me to pay off my motorhome as my accounts were making about 5% and the interest rate on the loan was over 6%.

Have you contacted your bank who has had a long term relationship with you? Surely they can help you? Especially if you put down a huge cash deposit. Are you parked in a campground? Can you use that address? I established SD residency because of favorable tax and insurance rates for full-timers. SD required only a campground receipt in order to get a drivers license.

Good luck!

[shadrack]

These rules that the banks are using to refuse financing to full timers came into effect last October via a law Congress passed in 2002 or so. It has got to do with escrowing taxes and insurance, which we don't pay. There are some credit unions financing RVs now, but I have no idea the requirements for a loan are. Most RV dealers will tell you to arrange for you own financing if you are a full timer. Thanks a lot to them! We found out about the change when we tried to finance a new Tradition last October, only to find we were about two weeks late.

[bigdomino]

Essex Credit is now financing full timers. 17 or 20 years at 5.24% interest. Need high credit rating and very little debt. I just got a loan from them. Took a few weeks to work through it. ESSEX is owned by Bank of the West.

Steve

[Sundance3200]

Thanks I will check them out.