The latest round of coronavirus outbreaks and lockdown restrictions is likely to generate even greater interest in the caravan lifestyle. The industry has experienced a massive surge in sales over the past 18 months with many manufacturers dealing with production pressures and buyers with delayed deliveries. Most caravans are built to order so buyers can select finishes and fixtures to their choice and essentially ‘build’ their van from the floorplans and options available to suit their travel style. Under normal circumstances, this can mean at least a few weeks between ordering and taking delivery. Under COVID conditions, that may be pushed out even further.
Buyers of some popular makes and models are registering on wait lists and pre-ordering well ahead to ensure they receive the caravan of their choice. But how do this waitlist and pre-order process work in regards to securing your caravan finance? At Jade Caravan Finance we make it as seamless and flexible as possible for our customers.
Flexible Pre-Arranged Caravan Finance
As key lenders to the recreational vehicle market, we fully understand and appreciate the current circumstances around stock availability and delivery times. With this in-depth industry information, we can tailor our finance offerings to suit buyers and ensure we facilitate a streamlined caravan acquisition process from the finance aspect.
When seeking finance for a caravan purchase, buyers can either apply after they have placed an order or committed to a sale or prior to purchasing. Arranging finance prior to purchase is an increasingly popular way to go as it presents many advantages to buyers. One of the key benefits is knowing that your loan application has been approved for the amount you are looking to spend.
For those that may not have sought finance for leisure goods previously, they may have a lot of question marks over what loans are available, their own borrowing capacity and what their individual repayments will be. A pre-approved caravan loan enables all those issues to be known prior to make the commitment to buy. Buyers can commit within their borrowing capacity rather than scrambling post-purchase to source a loan to suit the price they’ve paid.
Pre-approved caravan loans are arranged via the same process as post-purchase loans. However, as the loan is arranged prior to knowing the exact purchase price of their caravan, there are some differences:-
- Pre-approved loans are issued for a set time period. After the expiry time, the loan would need to be reviewed. There is no obligation with pre-approved loans so if the borrower does not proceed with a purchase, the loan application simply expires.
- As a pre-approved loan is arranged before the final purchase price is known, it will need to be reviewed on receipt of the invoice from the manufacturer.
- When a final invoice is received by our consultant, the loan would be reviewed and finalised. If the final price is more than originally estimated and originally applied for, repayments may be different.
- Depending on the timeframe elapsing between applying for a pre-approved loan and finalising the loan, the interest rate may be the same as when the loan application was made and hence no change would apply.
- When the final pricing is known by the buyer, the buyer may choose to vary the loan term on a pre-approved loan to achieve their preferred repayment amount.
- The loan amount on a pre-approved loan may be increased by the buyer with the inclusion of extras on the caravan which are selected and ordered during the manufacturing process.
- If a pre-approved loan expires and within a short time frame the applicant seeks to re-apply for a loan, the application process may be expedited as many of the approval aspects had previously and recently covered. The outcome would depend on any changes to the applicant’s income or credit rating during the time period.
- Pre-approved loans can be applied for at any time. If the delivery or ‘wait’ time for the caravan exceeds the timeframe for the pre-approved loan, your Jade consultant will advise of the most convenient way to handle this situation.
By engaging Jade Caravan Finance as your lender, your consultant will be handling these issues on your behalf to simplify the process.
Types of Wait List Boat Loans Available
If you’re looking at pre-ordering a caravan, camper trailer, campervan, mobile home or another type of RV, we offer our full portfolio of loan options for both private and business buyers.
For private buyers, our Secured Caravan Loan is the most popular loan type while most business buyers are opting for a Caravan Chattel Mortgage at the moment. Both follow secured loan formats and include our cheap interest rate offers. Both loans can be secured on a pre-approved or post-order or purchase basis.
To discuss how best to approach your finance if considering pre-ordering your caravan or registering on a waitlist for a certain model, speak with one of our experienced Jade Caravan Finance consultants. We can present the options available for you and source you the cheapest quote from across our vast lender panel.
Call 1300 000 003 to discuss lending with a Jade Caravan Finance consultant
DISCLAIMER: THE DETAILS AND INFORMATION IN THIS CONTENT ARE PREPARED AND PRESENTED PURELY FOR INFORMATION AND NOT INTENDED IN ANY WAY AS THE SOLE SOURCE OF FINANCIAL ADVICE FOR CARAVAN PURCHASING. IF ADDITIONAL FINANCIAL ADVICE IS REQUIRED, READERS SHOULD REFER TO A FINANCIAL ADVISOR. NO LIABILITY IS ACCEPTED FOR ANY ERRORS, PRODUCT DESCRIPTION VARIATIONS, OR OTHER MISREPRESENTATIONS OF INFORMATION AS PRESENTED.