Boat loans let you finance a purchase — often secured by the vessel itself — with terms that can be longer than typical personal loans.
To get the best rates and terms, you generally need good to excellent credit, a down payment of at least 20% and sometimes a newer or pricier boat.
You can compare lenders and use a loan calculator to estimate monthly payments and find competitive offers.
This summary was generated by AI and may contain errors or omissions.
If you’re ready to get on the water, boat loans can cover up to 100% of the purchase price with terms as long as 20 years. The right lender depends on your credit, how much you need to borrow and whether you want a secured or unsecured loan.
Methodology: How we picked the best boat loan providers
We evaluated boat loan lenders and marketplaces across several factors:
starting APR
loan amounts
available repayment terms
credit score requirements
fees
collateral requirements
geographic availability
We prioritized lenders with transparent terms, accessible eligibility requirements and strong reputations as measured by Better Business Bureau ratings and third-party reviews.
All lender details were verified directly against each company’s official website.
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How we picked these
What is the Finder Score?
The Finder Score crunches 6+ types of personal loans across 50+ lenders. It takes into account the product's interest rate, fees and features, as well as the type of loan eg investor, variable, fixed rate - this gives you a simple score out of 10.
Boat loans work by offering you funding for a new watercraft that uses your vessel as collateral. It’s similar to a car loan — you can find a boat loan directly through a dealership or a private lender. If you finance through a lender, you can either have the funds sent to you or have the lender directly pay the dealership.
What gets me the lowest rates and longest terms?
To qualify for the most competitive deal, you’ll generally need to meet the following criteria:
Strong credit. You generally need near-perfect credit and income well over the minimum requirements for the rates lenders advertise.
A newer or more expensive boat. Higher loan amounts may come with lower rates and longer available terms. Used boats tend to come with higher rates and more limited terms.
A solid down payment. Putting down 20% or more signals lower risk and can improve your rate.
AutoPay enrollment. Many lenders offer a 0.25%–0.50% rate discount for setting up automatic payments.
How much can I borrow?
How much you can borrow generally depends on the price of your boat. Typically, you can fund 90% to 100% of the value of your boat. Minimum loan amounts can start anywhere from $5,000 to $25,000, depending on the lender, and maximums range from $100,000 for unsecured personal loans to $5 million or more with specialized marine lenders.
Don’t forget the down payment
Like car loans and mortgages, boat loans often require a down payment — generally at least 10%, though lenders tend to favor applicants who can put down 20%. The less you borrow, the less interest you’ll pay overall.
Boats depreciate like cars, not houses. If you borrow a large amount over a lengthy term, you may end up owing more than the vessel is worth. Putting more down up front protects against this.
Boat loan repayment calculator
Use our boat loan calculator to find out how much you might owe based on your loan amount, term and interest rate. This can help you compare offers to find the best deal for you.
Yes — without collateral and a down payment — by applying for an unsecured personal loan. LightStream offers exactly this for boat purchases. Loan amounts typically max out around $100,000, and terms don’t run longer than seven years for most lenders.
Not every personal loan provider allows boat purchases, so confirm this before applying to avoid a surprise denial.
Are secured loans an option for a boat?
If you have trouble qualifying without collateral, a secured loan using the boat itself (or another asset, like home equity) tends to offer lower APRs and easier-to-meet requirements. Most dedicated marine lenders — including Southeast Financial, Good Sam and Navy Federal — use the boat as collateral.
Where can I get a boat loan?
Depending on the type of loan you’re looking for, boat financing is available from:
Boat dealerships. Dealerships often offer promotional financing on new vessels.
Banks and credit unions. Credit unions like Navy Federal can offer very competitive rates for members.
Online lenders. Online lenders, like LightStream and Southeast Financial, typically offer a streamlined application process.
Loan marketplaces. Good Sam and LendingTree connect you with multiple lenders through a single application.
How much does a boat cost?
Boats vary widely depending on type and size. You can expect to pay anywhere from $25,000 for a new motorboat to well over $1 million for a new yacht. Used models can go for considerably less.
Other expenses to consider
Equipment. Electronics, water toys, accessories and safety gear could set you back $1,500 or more.
Operating costs. Fuel costs vary widely by boat type and usage.
Boat maintenance. All boats need regular maintenance. Costs vary by age, model and mechanic.
Storage. Mooring fees are calculated by the length of your boat and location.
Boat insurance. Depending on the type of boat and where you store it, boat insurance can cost $100 or more per year.
How can I find a good deal?
Comparing offers across lenders is the most effective approach. Ask yourself:
What is the APR? This includes interest and fees you pay each year — the quickest way to compare costs.
Is it fixed or variable? Most boat loans are fixed, but some may be variable.
Do I need a down payment? Make sure you have enough saved to meet minimum requirements.
How long are the terms? Boat loans can come with terms as long as 20 years, though those are typically only available for the highest loan amounts.
How much does my boat cost? Make sure the amount you need falls within a lender’s range.
How much will I pay each month? Once you have an idea of the loan amount, APR and term, use a boat loan calculator to learn how much your loan will cost each month.
What do lenders look for in a borrower?
Steady source of income. Enough regular income to afford monthly repayments after existing debt obligations.
Low debt-to-income ratio. Lenders want to make sure you won’t be overextending yourself.
Liquid assets. Shows you can handle payments if your income situation changes.
Good to excellent credit. Demonstrates a history of paying bills on time.
Experienced boat owner. Not required, but previous boat ownership may increase lender confidence.
How do I apply for a boat loan?
Compare your options. Compare multiple lenders, then narrow your list to two or three.
Check for prequalification. This lets you estimate your rate without a hard credit pull.
Gather your documents. You’ll need to gather proof of income, employment information and boat details (make, model, year, purchase price).
Submit your application. After you submit your application, be sure to read the fine print.
Review the final loan agreement. Before signing, confirm the rate, term and any fees.
Use your financing to shop. Once you get financing, it’s time to shop for a boat within your budget.
Will I need to know what boat I want before I apply?
It depends on the lender. Some ask for a specific make and model, while others allow you to apply for a ballpark amount. If you’re unsure, ask your lender what’s required ahead of time.
How else can I pay for a boat?
Leisure vehicle loans. Some lenders offer financing covering a wide range of vehicles — from jet skis to RVs — that includes boats.
Save up. The cheapest route — no interest or fees.
Rent a boat. Platforms like GetMyBoat let you reserve a watercraft when you need it.
Find a boat club. Monthly or annual membership gives you fleet access without insurance and maintenance costs.
Bottom line
Boat loans can help cover up to 100% of the cost of a new vessel and come in higher amounts and longer terms than your typical personal loan.
But if you need less than $100,000 and don’t want to use your boat as collateral, check out our guide to personal loans to find out if it’s the right choice for you.
Frequently asked questions
It depends on the lender. Southeast Financial accepts scores as low as 575, and Good Sam's network considers scores as low as 600. Navy Federal and LightStream don't publish a minimum but favor good to excellent credit. In general, a score above 670 opens up more competitive options.
A secured boat loan uses the vessel as collateral — if you default, the lender can repossess it. An unsecured loan (like LightStream's) is based on your creditworthiness only, with no lien on the boat. Unsecured loans tend to have lower maximum loan amounts but are simpler and don't require a marine survey.
Yes, though terms may be shorter and rates slightly higher than for new boats. Southeast Financial, Good Sam and Navy Federal all finance used vessels.
For well-qualified borrowers in 2026, anything starting around 6.49% to 6.95% APR is competitive. Rates climb from there depending on your credit, the age of the boat and the loan term.
It depends on your situation. A secured boat loan typically gets you lower rates and longer terms, which works well for bigger purchases. If you have strong credit and need less than $100,000, an unsecured personal loan like LightStream's skips the collateral requirement entirely, which can be a simpler path for smaller or used boats.
Megan B. Shepherd is a personal finance expert and editor for loans and insurance at Finder.
Her personal finance expertise has been featured on Forbes, Nasdaq, MediaFeed, Fox News, Time, Reviews.com, and carinsurance.com, adding invaluable information related to personal loans, financial strategies and smart borrowing tactics.
Megan graduated from the University of Texas at Dallas with a BS in Business Administration with an entrepreneurial focus. She's worked as a certified financial adviser and has earned certificates of completion from A.D. Banker & Company.
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