Leisure loans: Boat loans & jetski loans. What you need to know.

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Lifestyle assets such as boats and jetskis are very popular with many of our clients. Most of our Lenders now fund these assets and at very competitive interest rates. But this wasn’t always the case. These type of products were once considered higher risk, than the more traditional products such as motor vehicles. As credit has become readily available and lender checks more comprehensive, so has access to cheaper funding. And lenders have become less risk averse to financing lifestyle assets.

Covid-19 has only expedited their appetite, with demand for leisure products during this period being strong. With very little overseas travel during the Covid era, many Australians choose to spend domestically; increasing the demand for lifestyle assets.

The great news is that our lenders provide some very flexible loan terms:

  1. Competitive Interest rates.

  2. Loan terms up to 7 years

  3. The ability to finance accessories and add-on insurances

  4. Private Sales and Dealer Sales

  5. Commercial options are also available, including Low Doc

  6. The ability to repay your loan early.

  7. Balloon options available to asset backed customers.

We are often asked if a deposit is required for the purchase of these assets. And in most cases, deposits are not required. However this comes down to the profile of the Applicant. For example, a young person with no previous credit, purchasing a jetski; may be required to contribute a 20% – 30% deposit. Conversely, a more established credit applicant with property ownership is likely able to borrow on no deposit. You should discuss these options with our finance specialists, so they can pre-qualify your position.

When you are looking to purchase a boat, jetski or water vessel, here a few suggestions for you to consider:

  1. Do you have a Recreational Skippers Ticket (WA) ? As of 1 April 2008, every skipper of a registerable recreational vessel powered by a motor greater than 4.5kwp (6 hp) (RST vessel) will be required to hold a Recreational Skipper’s Ticket (RST).

  2. Consider your budget, and include an allowance for ongoing trailers and accessory costs, such as life jackets.

  3. What are you intending to use your boat or jetski for? For example, if you are looking to tow on your jetski, you may require one with more horse power.

  4. Insure your vessel, and review the coverage of the policy. Does it cover accidental damage, fire, storm, theft, collision and malicious act?

  5. Fixed rates versus Variable rates? Fixed rate repayments remain the same during the life of the loan, where as the repayments of a variable rate loan can increase/decrease with the movement in the variable rate.

The yesapproved team can help guide you through these aspects of the purchase, We are Perth based but we can help interstate customers with their boat and jetski loans and enquiries.

When you have purchased your new boat or jetski, keep safe on the water. Here are some safety tips for you, to ensure your boating experience is a safe and pleasurable one:

  1. Download the Deckee App to keep up to date with local weather and marinee alerts.

  2. Look out for the Make A Difference lifejacket program and clinics. These clinics show boaties how to service their lifejackets and promoting the importance of using and operating a lifejacket.

  3. Perform the WA Department of Transport (DoT) BEST check before you use your vessel, and hit the Water.

  4. Lookout for others on the water

  5. Don’t consume alcohol when skippering a vessel.

  6. Ensure all of your emergency equipment is operational.

Enjoy your new toy 🙂

The information is intended to be of a general nature only. We do not accept any legal responsibility for any loss incurred as a result of reliance upon it – please make your own enquiries.

Any advice contained in this document has been prepared without taking into account your particular objectives, financial situation or needs. For that reason, before acting on the advice, you should consider the appropriateness of the advice having regard to your own objectives, financial situation and needs.

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