Boating / POSTED 17-Jan-2025;

You’re Ready to Buy a Boat! Now How Will You Pay for that Boat?

Buying a boat is exciting, and somewhat daunting, for first-time owners. Once you’ve narrowed down your selection and worked with your dealer to pick out the right boat for you, it’s time to decide how you will finance your boat.  If you plan to buy your boat outright, that’s great and can certainly simplify the process. However, most customers prefer to finance their boats, which can be a bit complicated. 

Chris Butler of Butler Marine, in South Carolina, has a great “Boat Financing 101” video on the dealership’s site that walks customers through each step of the boat financing process. The video sheds light on how boat financing works and explains to customers how they can leverage their full-service marine dealerships to lock in the best option.

Chris Butler at Butler Marine walks customers through the financing process step by step.




“The first thing I tell customers is that there are really not many banks that finance boats,” said Butler. “The best thing to do is to find a dealership that offers a one-stop-shop (we can sell you the boat, get the boat financed and service the boat) for all your boating needs. At Butler Marine, we work with about 10 different lenders. The interesting thing is that each of those lenders may present different loan and rate options based on the customer’s credit history and downpayment.”

There are many things to consider when choosing the right financing terms for your boat including term, rate and who is applying.


According to Chris, here are a few things customers should consider when they apply for boat financing:
  • The Best Rate. Believe it or not, the rate can go up if a customer puts down too much money. There are different tiers based on the price of your boat and how much you are borrowing. Sometimes the lower financed amounts have higher loan rates. 
  • Simple Interest Loans. A simple interest loan means that if you pay more than a standard payment, the extra money you pay goes directly to the principal you owe. What that means is that if you pay more monthly, over the life of the loan you will pay less interest and, ultimately, pay off the boat faster.
  • Term and Payment. You need to feel comfortable with your payment as well as the length of the term. If you can get the same rate on a 10-year term as you could a 12-year term, you should consider taking the 12-year term to give yourself a little wiggle room should payments become harder to make. 
  • Availability. Many times, banks and lenders are not available on the weekends when customers are typically shopping for boats. Dealerships like Butler Marine are, and that can make a big difference when it comes to applying for and closing a loan, as well as taking delivery of your boat.
  • Who is Applying? If you are applying with a spouse, you may want to both consider filling out the credit application. This allows you the most flexibility to get the best rate. Butler Marine highly recommends individually filling out applications. 
  • Insurance. Don’t forget you will need to build insurance into the monthly payment. Different boats have different insurance needs. For example, a smaller boat you just plan to run locally in shallow water may require less insurance than a bigger offshore boat. A full-service dealer can also help you make sure your policy suits the size and planned use of your boat.

“We do everything in our power to help our customers secure the lowest rates and terms that best fit their needs and, hopefully, keep the most money in their pockets over the life of the loan,” said Chris. “I would encourage anyone with questions to reach out to their dealers and work closely with them through the process to ensure a smooth sale and delivery. At Butler Marine, we consider it our job to start the ownership experience the right way with seamless financing and delivery. This ensures our customers can get out on the water and start making those wonderful memories as soon as possible.”

For more information or to view additional videos in the Butler Marine FAQ series, visit ButlerMarineInc.com.  


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