What Are The Requirements For An RV Loan?

• Understand RV loan eligibility checklist items like credit score, income, and down payment requirements.
• Compare secured loans and unsecured RV loans, and learn how each affects interest rates and approval odds.
• Discover how RV type, age, and usage impact financing options for first-time RV buyers and experienced owners.
• Explore where to find RV loans, how to evaluate offers, and steps to improve your chances of loan approval.
  
  

Purchasing an RV allows one to experience a passport to adventure, freedom, and the open road. But before you pull out of the driveway, there’s one important stop to make: securing the right financing. Whether you’re a seasoned traveler or one of many first-time RV buyers, understanding the requirements for an RV loan is key to making a smart, stress-free investment.

From credit score expectations to income verification and down payments, here’s a comprehensive guide to help you navigate the process with confidence.

What Credit Score Do You Need?

Credit plays a central role in RV financing. Most lenders look for a score of at least 660, but a higher score—typically 700 or above—can help you qualify for lower interest rates and better terms.

If you're working to build or repair your credit, don’t be discouraged. Some lenders, including Oklahoma Central Credit Union, consider applications from borrowers with less-than-perfect credit. Here’s what lenders are looking for:

• On-time payments: A strong track record builds trust.
• Low credit utilization: Ideally under 30% of your available credit.
• Length of credit history: More established borrowers often qualify more easily.
  
  

To boost your chances before applying, review your credit report for errors, pay down high balances, and avoid opening new lines of credit.

Income and Employment Requirements

RV loans—especially for motorhomes and higher-end models—often involve large sums. To ensure you can comfortably make payments, lenders require documentation that shows your ability to repay. This usually includes:

• Minimum income threshold: Varies by lender, but often starts around $25,000–$30,000 annually.
• Proof of employment: Recent pay stubs or tax returns.
• Debt-to-income ratio (DTI): Your total monthly debt payments divided by gross income. Lenders typically prefer a DTI under 40%.
  
  

Self-employed? You can still qualify, but be prepared to show at least two years of consistent income through tax filings, 1099s, or bank statements.

What’s the Typical Down Payment?

Most RV lenders require some money down, usually 10% to 20% of the RV’s purchase price. However, the actual requirement may depend on your credit profile, the RV type, and whether the loan is secured or unsecured.

• Secured loans: Backed by the RV itself, these loans often come with lower interest rates and may require less down up front.
• Unsecured RV loans: Not backed by collateral, these loans may have higher rates and stricter credit requirements.
  
  

Want to skip the down payment? It’s possible, especially with excellent credit, but keep in mind that a larger down payment can help lower your monthly payments and interest rate. If you need a savings boost, consider using a savings account to build your RV fund over time.

How Does the RV Itself Affect Eligibility?

Not all RVs are treated equally in the eyes of lenders. Several factors can influence whether a vehicle qualifies:

• New vs. used: New RVs generally qualify for longer loan terms and better rates. Used models may require a larger down payment or come with higher interest.
• Motorhome vs. travel trailer: Larger motorhomes often command higher prices and longer loans, while smaller towable trailers may have simpler loan structures.
• Age of RV: Many lenders place restrictions on the age of used RVs, often refusing to finance those over 10 or 15 years old.
  
  

Before you fall in love with a vintage camper or custom rig, make sure it qualifies for financing.

Other Factors That Lenders Consider

While credit, income, and down payment are the big three, lenders may also review:

• Employment history: Stable work history can increase your appeal.
• Assets and liabilities: Owning other assets can strengthen your application.
• Existing debt load: Too many concurrent loans could signal risk.
• Loan purpose: Full-time living in an RV may require special financing terms, so be transparent about your plans.
  
  

Completing an RV Loan Eligibility Checklist—like the one OCCU provides during pre-qualification—can help you determine where you stand and what documents you'll need to move forward.

Where to Find the Right RV Loan

Lenders come in all shapes and sizes, from local credit unions to online finance companies. Here’s how they compare:

• Credit unions: Member-focused institutions like Oklahoma Central Credit Union often offer lower rates, fewer fees, and more flexible terms.
• Other Financial Institutions: Provide options but may be stricter with approvals.
• RV dealerships: Offer on-the-spot financing, but it can come with higher rates.
• Online lenders: Convenient, but often less personal and may include additional fees.
  
  

No matter where you look, be sure to compare total loan costs (and not just monthly payments). Use OCCU’s loan calculator to estimate your monthly budget and repayment schedule.

How to Compare Offers

When evaluating lenders, ask the following:

• Is this a secured loan or unsecured RV loan?
• What is the APR (Annual Percentage Rate)?
• Are there any origination or early repayment fees?
• What is the loan term and monthly payment amount?
• Can I refinance later if I find a better rate?
  
  

Also, check how long the approval process takes and whether you can apply online. With OCCU, contacting a loan specialist can help you get fast answers and expert guidance.

Tips for First-Time RV Buyers

If you're new to RV ownership, financing can feel overwhelming. Start with these tips:

• Know your budget. Factor in not just the loan, but also insurance, fuel, maintenance, and storage.
• Get pre-approved. This gives you a clear sense of how much you can afford and strengthens your negotiating power.
• Avoid impulse buying. Research models, check reviews, and test drive before signing anything.
• Look beyond the sticker price. Taxes, dealer fees, and warranties can add thousands to your cost.
  
  

You can also explore OCCU’s guide on RV costs and definitions to better understand what kind of vehicle best suits your lifestyle.

Ready to Hit the Road?

Owning an RV can be a dream come true, but it starts with smart, informed financing. From understanding down payments to comparing loan types, getting your adventure rolling is easier with a trusted financial partner at your side.

Get pre-approved for an RV loan from Oklahoma Central Credit Union today and take the first step toward life on the open road.