Acquiring The Right Loan and Insurance for Your Horse Trailer
The acquisition of a horse trailer whether you intend to buy a new or used one is a major purchase. Most people are not able to pay the entire cost upfront and it’s a good thing that there are a number of ways to have horse trailers financed. As with any other purchases, different factors such as the borrower’s credit score and the cost of the horse trailer will decide the amount to be financed, the term and number of payments to be made.
To get started, find out first if financing is offered by the business or individual that you’ll be buying the horse trailer from. Most dealers to offer them. To be certain that you’re getting the best deal, it’s best to compare the terms that is being offered by the bank and a private lender. Don’t lose hope if you have bad credit because there are bad credit lending specialists that will still entertain you. If you’re buying from a private seller, you may pay in installment but they usually will not allow you to take trailer until you are fully paid.
Apply for the loan through your choice lender. Lenders that offer boat and car loans also usually provide horse trailer loans. If you can get a financing plan with simple interest, that’ll be much better than compounded interest. Since horse trailers are classified as recreational, they may have slightly higher interest rate than home or car loans. Some lenders even set a minimum amount for the loan.
Credit card is another option to finance your horse trailer. This is a good option if your credit limit can cover the amount of the trailer and if you have no other ways to finance your purchase. Credit cards however have compounded interest and have higher interest rates
Acquiring the trailer is not enough, it’s illegal to have a trailer out on the road without insurance. This is also something that you need to get done. As horse trailers are expensive and are used to haul live animals, it’s important that you have it insured to help protect your investment.
To get it insured, be sure to have all the information that you might need such as the model, make, year, and serial number, among others. You also need to provide details such as the number of horses the trailer can haul, that trailer’s hitch, it’s size specification and the purchase price. This is important and it helps the insurance company determine the quote for the insurance. Insurance companies might also ask if the trailer may be used for commercial purposes like hauling horses to be sold or just hauling services. Insurance coverage differs from commercial and personal use.
Shop around first for different insurance companies that do cover horse trailers. You can begin with your car insurance provider. Sometimes, getting more than one insurance product from one company can help get you discounts if you have existing policies with them. When you’re all set with your insurance, your horse trailer is now all set for the road. Sometimes dealing with your bad credit can be a hassle. If you need money, but have bad credit you are often forced to consider a bad credit loan. Companies like BHM financial specialize in bad credit loans.