Pre-Qualifying for Boat or Yacht Financing

Starting the boat financing process can be a challenge.rate. Each lender has a unique program and will lend
Calling brokers for rate quotes over the telephone canbased on a different set of criteria. Thus by employing
sometimes be confusing; so before you make thata reputable boat loan broker, such as SeaDream
step it's best to understand how the process works.Marine Financing - with multiple lending sources, the
With any large purchase that is financed, customersbroker can match the customer with the appropriate
want to get the best rate available to them and boatlender and obtain the best market rate.
and yacht loans are no different. Understanding whatHowever, by shopping with multiple brokers you risk
you are getting into beforehand is important fordamaging your credit score. Brokers that don't
ensuring you get the best deal. Calling around tounderwrite your deal in house may initiate a process of
different brokers to feel out the market is a smartshopping or "shotgunning" your boat loan application to
idea. This will give you an indication of what boat loannumerous lending sources in "hopes" of finding a good
rates the market is currently bearing. However, theredeal. This may come at a serious cost to you. Every
are many unforeseen elements that this process doestime a lender receives an application, they will run a
not reveal.check on your credit history. Every inquiry will reduce
So why is it difficult to get a firm quote over theyour credit score. Submitting your application
phone? In order to provide an accurate boat or yachthaphazardly to multiple brokers that do not offer
loan quote it is imperative that the broker understandsin-house underwriting may seriously damage your
the nature of the purchase including your credit historycredit.
and current financial standing via an "underwritingTherefore it is wise to ask the broker about their
process." Without submitting a boat loan applicationprocess, including if they underwrite their applications,
though the underwriting process, the broker won't fullyhow many lending sources they utilize, and if they are
know if or how you qualify for a loan. A reputableadept at matching your application to the "appropriate"
broker can only give you an indication based on alender in their portfolio via the underwriting process vs.
range of A+ interest rates that "may" be available torandomly shopping your application to many or all of
you if you qualify.their lenders.
So why call different brokers if you can't get a solidA quality professional boat loan broker will underwrite
answer? Other than gaining a general idea of what A+the loan and then submit it to the "appropriate" lender
credit customer's rate is - not much reason at all. Sofor consideration. The lender will then approve the deal
what should one do if they are trying to get a solidand the broker will then call you back with a firm deal
quote for a boat loan interest rate? Customers shouldthat includes a locked interest rate and structure of the
"pre-qualify" for a boat loan.financing available to you. You are now officially
Pre-Qualifying for a Boat Loanpre-qualified to shop for the best deal and will have the
Pre-qualifying for a boat loan is a smart choice. Whyfinancing in place to make a strong offer. Once you've
shop for a boat or yacht without having the financing indecided on a boat the broker will then work with you
place to support your purchase? Pre-qualifying for aand the selling party to facilitate the deal within the
loan will create financial structure that will guide youframework of the approval. When you reach this
through the purchasing process.stage it's just a matter of signing on the bottom line
Boat loan brokers that have multiple lending sourcesand the boat is yours.
will match you with the lender with the best interest