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 Veteran
Posts: 268
 
Location: 65 miles from the nearest Wal-Mart | I am thinking very seriously about buying a LQ trailer. But I'm wondering if the trailer is less than 10 years old, but less than 25k can I stil finance it for 10 years? |
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Extreme Veteran
Posts: 449
| Depending on credit and such, yes, you should be able to. Check with www.southefinancial.com They would be able to tell you for sure. You can submit a credit app and they will let you know your options almost immediately. |
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Pig-Bear Dog Lover
| Yes you can, shop for rates and it's better If you have something you can use as collateral, and put down what you can. |
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 Hummer's Hero
Posts: 3071
Location: Smack Dab in the Middle | I'm sure you'll take this wrong...but why in the HECK would you want to finance something for 10 years? You will pay more in interest than in principle--which is not good for your credit. I've financed 3 trailers now and not a one was over 4 years--and I've paid them off earlier than term. All were done through my local credit union, and written up like a regular vehicle loan. Buy what you can afford, not what you can afford payments on.
Edited by RockinGR 2014-09-05 10:08 AM
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 Expert
Posts: 5293
| I disagree. A VERY small percentage of the population can afford to purchase that big of an item all at one time. But sometimes its necessary. Dont forget that you can deduct the interest on a LQ trailer loan as a second home. It just has to have a toilet and a sink to be considered 2nd home. SO that helps out on the interest. |
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 Accident Prone
Posts: 22277
Location: 100 miles from Nowhere, AR | FLITASTIC - 2014-09-05 10:15 AM I disagree. A VERY small percentage of the population can afford to purchase that big of an item all at one time. But sometimes its necessary. Dont forget that you can deduct the interest on a LQ trailer loan as a second home. It just has to have a toilet and a sink to be considered 2nd home. SO that helps out on the interest.
I don't think Rockin was saying pay cash, just scale back expectations to something that can be paid off in a reasonable amount of time. Buy smaller/older to get to a price point you can do that. Being upside down on something you're financing is never a good idea. Debt is not a bad thing, but you need to be smart about it and manage it to your benefit. Dream trailers are wonderful if you can afford them, but most of us can't, so we compromise. |
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 Expert
Posts: 3534
Location: Stuck in a cubicle having tropical thoughts | I have found that shopping around and calling local banks and credit unions is the best way to get a trailer loan. The term is usually less, but so is the interest rate. Using the companies the trailer dealer works with will give you the ten year term, but the interest rate is twice as high.
My current loan is with a local bank that has 5 or so branches. My husband and I have had 3 different mortgages with them, we've made every payment on time and we have a good relationship with the manager of the branch we use regularly. When I was looking for a new loan (to get the trailer in my signature), I emailed the bank manager, told him all the details and what montly payment I was comfortable with. He came back and said they could do 6 years at 5% interest (and I'll have it paid off in way less time). My previous trailer loan was 11% interest (went through the trailer dealers finance person) and the few places that said they would do a trailer loan were all well over 10%.
We've also shopped around for vehicle loans and ended up refinancing our vehicles with the credit union affiliated with my work. They just happened to be running a special that month. Based on year of vehicle and your credit score, you could get a loan for as little as 1.89% for up to five years and you could borrow 105% of the vehicles current value. We refinanced both vehicles and took the extra money to buy a tractor. Our payments are the same as they were with the previous loan at 4-5% interest, but now we pay less than $50 a month in interest on both vehicles and we have a Kubota with 4x4, bucket, 3 point and a belly mower. They didn't care what you did with the extra cash. My co-worker did the same thing and paid off his wifes student loans with the extra cash. he also was able to get a loan to buy himself a motorcycle at this low rate and everybody else was quoting him 20-24% interest |
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Hummer's Hero
Posts: 3071
Location: Smack Dab in the Middle | Three 4 Luck - 2014-09-05 10:36 AM
FLITASTIC - 2014-09-05 10:15 AM I disagree. A VERY small percentage of the population can afford to purchase that big of an item all at one time. But sometimes its necessary. Dont forget that you can deduct the interest on a LQ trailer loan as a second home. It just has to have a toilet and a sink to be considered 2nd home. SO that helps out on the interest.
I don't think Rockin was saying pay cash, just scale back expectations to something that can be paid off in a reasonable amount of time. Buy smaller/older to get to a price point you can do that. Being upside down on something you're financing is never a good idea. Debt is not a bad thing, but you need to be smart about it and manage it to your benefit. Dream trailers are wonderful if you can afford them, but most of us can't, so we compromise.
This is exactly what I meant. I've worked my up from a $6k trailer that I paid cash for, to my dream trailer that cost more than my first house--in about a 10 year time span. But, I've been as smart about it as I can. I've bought quality trailers and taken good care of them. I've taken my time and shopped for good deals so that I didn't have to settle for something that wasn't quite perfect.
As a result, I've sold all my trailers for nearly what I paid for them--after they were paid off. I bought my dream trailer just a few months ago...financing only about 30% of the purchase price--which was already a fair deal because I took my time shopping for what I wanted. It's financed for 4 years, and I've paid more than my minimum payments each month. Being smart about it has allowed me to afford more trailer than I ever thought I could. |
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  That's White "Man" to You
Posts: 5515
| jropergirl - 2014-09-05 8:19 AM I am thinking very seriously about buying a LQ trailer. But I'm wondering if the trailer is less than 10 years old, but less than 25k can I stil finance it for 10 years?
I don't mean to be rude, and I realize this has already been touched on...but, that would be one of the worst financial moves you could make. However, If that is what you want, I hope you can come tell your story of what not to do in a few years. |
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