(419) 433-5798

Frequently Asked Questions

Q:What is the best way to get started?
Complete and submit the online loan application or contact us at 419-433-5798 to complete an application with Ted Melching via phone.

Q:What type of information is required?
  • Most recent W-2 and a recent paystub (most common).
  • One to Two years of current 1040 Federal Income Tax returns complete with all Schedules, including W-2’s.
  • If Self Employed – Business Financial Statements and two years Corporate Federal Income Tax returns.
  • Any documents or statements, explaining a unique or special situation.

Q:What are current loan rates?
Boat loan rates and terms are based on several different factors: the amount being financed, age of the boat, down payment and, most importantly, your credit score. A credit application is required to quote actual rates.

Q:How long is the rate locked after approval?
Typically lenders lock the rate for anywhere between 30-60 days.

Q:What typical loan terms are available?
Terms can vary based on credit and age of boat, but typical terms would be:

Q:What are the down payment requirements?
15-25% is standard for most loans. Certain boats can require as little as 10% down or much as 30% down. Any equity (trade allowance less loan payoff amount) in a trade in may be counted as part of the down payment.

Q:Are there any “points”, loan application fees or closing fees?
Marine loans do not typically have “points” like real estate loans. Any closing or loan application fees will be fully disclosed prior to completing loan documents. Typically fees are under $200-500 depending on lenders. State title fees, registrations or U.S. Coast Guard documentation fees are additional. All fees can be wrapped into your loan or paid separately.

Q:How much are pre-payment penalties?
Penalties can range from $75-200, however, not all lenders have pre-payment penalties.

Q:How long does it take to get approved and closed?
Approvals can take a few hours (on business days) to a few days depending on complexity. The loan closing can follow within a day or two once the approval has been obtained, all supporting documents have been received and all conditions have been met. The loan closing can take place in our office or via certified mail.

Q:What is the least and most amount I can finance?
The minimum loan amount is $10,000. There is no maximum.

Q:Do you have any marine lenders who deal with someone with sub-par credit?
YES! South Shore Marine has several marine lenders who deal with these types of loans.

Q:Can I seek pre-approval without a specific sales contract signed?
YES! In fact we encourage buyers to consider financing as part of their early due-diligence and affordability analysis to determine their comfort level in financing up front.

Q:If I have a longer term loan, can I accelerate payments?
YES! For example, if your payment is $300 monthly, and you paid an additional $200 a month, the additional $200 adds directly to principle reduction.

Q:Can I refinance my existing boat loan?
YES! For any customers with above market rates, we welcome a credit application to see if we can help lower your financing costs.

Q:What is U.S. Coast Guard Documentation and will my boat need it?
U.S. Coast Guard Documentation is a national form of registration with the United States Coast Guard in lieu of state title. Lenders have certain requirements based on amount financed, boating location, tonnage, etc. Typically, federally documented vessels still need a state registration sticker, but not the actual registration numbers that would be required on boats with a state title.