Rates vary depending on loan amount, down payment, geographic area and boat age and value. Our rates are always changing but we strive to offer the lowest rates and the best terms in the business. For a competitive and personalized rate quote, please call us at (757) 377-3313 or complete our online rate quote form.

We're glad you asked! Applications are available online where you may apply on line, or print an application, or we will be more than happy to fax or mail you the application. The application includes a personal financial statement. Complete the application and return it to us via facsimile @ (866) 468-4802. In certain cases, such as large loans, or to secure a better interest rate, two years of income verification in the form of your most current 1040's (and supporting schedules) may be required. A credit decision can be made in as little as 6 hours but up to a day or two, depending on the loan amount, type of boat etc.

With a completed application and personal financial statement along with appropriate income verification, Boat Loan Superstore can respond with a credit decision usually in 6 hours or less, but may take longer depending on your loan amount, type of boat, etc.

Generally speaking, depending on the size of the loan, credit history, whether a new or used boat, down payments vary considerably. As a basic guideline, loans under $100,000 generally require a 10% to 15% down payment. Loans over $100,000 generally require a 15% to 20% down payment. The down payment is based on the total sales price, including taxes, titling and registration fees. For qualified buyers, many of our lenders will accept a Zero down payment on loans less then $100,000. As we represent several lenders, we certainly have a program to fit your budget!

Our minimum loan amount is $20,000. Our maximum loan is $10,000,000.

Boat loan terms may vary depending on the type of boat, and age of boat, and credit history. Generally terms are as follows:
· Under $25,000 - Maximum term is 144 months (12 years)
· Loans from $25,000 - $75,000 - maximum term is 180 months (15 years).
· New Boats, Over $50,000 - maximum term is 240 months (20 years), restrictions apply.
· Loans Over $75,000 - new and used, maximum term is 240 months (20 years)
· Note: Certain lenders that offer lower rates may require $100,000 to be financed to qualify for 240 months financing.

Yes. Most of our loans do not carry a prepayment penalty.

Yes, every loan we write is simple interest.

Boat Loan Superstore does not charge any application fees. The closing costs vary according to services provided. Depending on if the boat is purchased from a private seller, Broker, or Dealer, registration fees and or USCG Documentation vary. Call us for complete details. Boat Loan Superstore is able to provide all titling, registration and Coast Guard Documentation needed in order to satisfy the loan contingencies.

Once your loan has been approved one of our representatives may meet with you or we will overnight all documents to you to sign at your convenience. Upon us receiving your signed documents, Boat Loan Superstore representing OLD LINE MARINE will issue a wire transfer or cashiers check payable to the seller. This is a very fast process. The normal time from acceptance to funding is generally less than 3 days*. (Note: Old Line Marine is a division of Old Line Bank, Member FDIC)

Boat Loan Superstore specializes in the financing of powerboats, houseboats, and sailboats. Boat Loan Superstore has nationwide lending authority for boats as old as 1970.- Including Wooden Boats.

Your boat may qualify for the same IRS tax advantages that are available for your home. By financing your purchase, instead of liquidating assets or paying cash, you increase your financial flexibility. This enables you to take advantage of attractive new investment opportunities as they come along and the earnings from these investments can easily exceed the cost of your marine financing. Most financial advisors would agree, finance your boat and keep your money working for you, especially as you always have the option of paying off your boat loan. However, if you pay cash for your boat, most lenders will not consider a "cash out", or allow you to finance a boat that is fully paid for. In the end your boat may cost less by not paying cash.

Tax deductibility of yacht loan interest.

Qualification of yacht as a residence:

Under IRC section 163(h)(2) a taxpayer may deduct any qualified interest on a qualified residence, which is defined as a principal residence and one other residence owned by the taxpayer for purpose of deductibility for the tax year. IRC section 163(h)(3) defines qualified residence interest as any interest, which is paid or accrued during the tax year on acquisition or home equity indebtness with respect to any qualified residence of the taxpayer.

In accordance with IRC section 163(h)(4), a boat will be considered a qualified residence if it is one of the two residence chosen by the taxpayer for purposes of deductibility in the tax year as long as it provides basic living accommodations such as sleeping space (berth), a toilet (head), and cooking facilities (galley). If a boat is charted out the taxpayer will have to use the boat for personal use for either more than 14 days or 10% of the number of days during the year that the boat was rented, in accordance with section 280A(d)(1).

Forms:

Tax form 1098 is not necessary for deductible interest expense. In accordance with IRS instruction for schedule A, form 1040, if the taxpayer does not receive form 1098, deductible mortgage interest should be reported in line 11 instead of line 10 on schedule A.

Borrowing against you home:

Home mortgage interest deduction is limited to interest paid on mortgage debt used to purchase or improve a residence, or to refinance the remaining balance on a purchase improvement. If the money is not used for the home then the interest expense does not qualify for the deduction.

Home equity loan:

Home mortgage interest deduction is limited to interest paid on home equity loans up to $100,000. By using a home equity loan, you may limit the amount of interest that is deductible, if your boat loan exceeds $100,000.

Stock margin loan:

Second home mortgage interest deduction is limited to interest paid on second homes that are secured by that second home. You would need to have a written collateral agreement (security agreement) indicating the boat as collateral, which is something your broker probably would not be prepared to provide.

Example saving for financing your boat:

For instance a 20-year loan at a fixed rate of 8.5% for $100,000 would require a monthly interest and principal payment of $867.82.

The interest cost of this loan over an anticipated 60 months would be $40,196.30.

If you are in the 30% tax bracket, this interest expense deduction would save you $12,058.91, effectively reducing the cost of the loan to $28,137..39.

This same $100,000, if invested earning 9%, would grow to $137,703.68 (after tax) in the same time period. Tax free municipal bonds yielding 6% could earn $34,885.02 over 60 months. More aggressive investments could obviously make earnings even more attractive.

The preceding information was compiled with the help of the National Marine Bankers Association and Deloitte & Touche, LLP. Rates are subject to change without notice. Actual rate may vary based on credit history, collateral, state of residence, down payment, loan amount and other criteria

The term "secured lending," suggests its meaning. It provides that the lender has certain rights and remedies that reduce the implied risk in making a loan. In this type of loan, the borrower grants the lender a right of possession to some property of value in the event that the borrower meets the terms and conditions of the promissory note. In marine lending, it is the actual boat being purchased which is secured as "collateral". One of the many factors that affect interest rate on a secured loan is the lenders ability to "secure" interest in the collateral. The stronger the method of recording, the lower the lender's rate is likely to be.

As consumer lending began its vast expansion in the American economy in the sixties and seventies, lenders sought ways to make loans on high-ticket items such as private airplanes and pleasure boats. The existing models for recording a security interest in the property being purchased were home mortgages, and automobile loans. Real property deed recordation systems based on "ancient" law were effective for recording security interest in home purchasing, and all 50 states had automobile titling systems allowing reciprocal enforcement of lender interest in autos as collateral.

Today, there are still only 33 states that have boat titles, and in the seventies, when consumer marine lending really began, fewer than half the states had boat title systems. Lenders turned to the U.S. Shipping Code and the Preferred Ship Mortgage Act of 1920 as a vehicle by which security interest in the boat could be perfected. Having roots in 300-year-old Admiralty Law, and shipping instruments known as "bottomry bonds", the Federal laws provide for a system administrated by the U.S. department of Transportation, United States Coast Guard in which boats are registered and mortgaged. This is called U.S. Coast Guard boat Documentation.

Marine lenders are particularly fond of this method of recordation, since the Coast Guard "Abstract of Title" is an inviolable public recording of any and all legal engagements of the boat. In addition, under the umbrella of Maritime Administration treaties throughout the world, a Preferred Ship Mortgage is enforceable not only in all 50 states, but in most foreign waters. And the Owner's Certificate of Documentation identifies the boat as a flag boat of the U.S. Fleet entitled to all the rights and courtesies of any U.S. boat on the high seas. It also serves as a boat's legal identification in all foreign ports. Not only does this provide a level of security above all others for the lender, but also it actually enhances the value of the boat somewhat due to the clarity of title. For these reasons, most marine lenders say, "If it can be documented, it should be!"

In June 2000, Fair, Isaac surrendered to increasing pressure from Congress and consumer groups and released a list of the criteria it uses to determine credit scores. In addition, the company plans to develop a web feature so you can check your own score.

The five main criteria are:

• Your payment history payment history on credit cards, retail accounts at stores, installment loans, and mortgages. 35% of total score .

• Amounts owed. What is important is how many accounts have balances and how much of the total credit line is being used on credit cards and other "revolving credit" accounts. 30% of total score.

• Length of credit history. Thats why parents should help children establish credit histories before they go out on their own. 15% of total score.

• New credit. Applying for too much new credit is one of the easiest ways for people to inadvertently harm their credit score. (10% of total score)

• Types of credit. This takes into account your mix of installment loans, mortgages, retail accounts, credit cards and finance company accounts. (10% of total score)

The scores that companies like Fair, Isaac compile are sent to the credit reporting agencies as composite numbers. In addition to your salary and other factors mentioned above, here are some of the things that scoring agencies consider:

• Your education level. It sounds arbitrary, but its true. A college-educated person is given more points than a high school graduate, for example.
• The number of years youve lived in a single location. If youve moved around a lot, you lose precious points. If youve moved because of a better-paying job, you can recoup some of those points if your salary has increased, for example.

• The number of years youve worked for a single employer. Scoring agencies like people who are stable. Thats why they assign more points to people whove lived in a particular place for several years or whove worked for a single employer for many years.

• Are you a homeowner? If you are, you get additional points. Renters are considered more transient and less reliable to repay their loans.

If all of this sounds arbitrary or unfair, remember that scoring systems have allowed department stores and other lending agencies to offer those on-the-spot credit approvals. You know the routine. You fill out some basic information on a card and five minutes later (if the computer is working properly), youre either approved or disapproved for a loan.

Fair, Isaac is only part of the process. Once the company processes a score, it is then transmitted to the lender, which makes the ultimate decision on whether a credit application is approved or denied. Lenders insist that the scoring system does not unfairly hurt minorities, but simply reflects overall lending histories.

One of the biggest mistakes made when buying boat insurance, is assuming that all policies are the same. Well your assumption could cost you dearly. There isn't a standard Boat insurance policy and you might discover some gaps should you suffer a loss.

Check your policy for these riders

Hull Coverage: Agreed Value vs. Actual Cash Value (AV vs. ACV). Fair market is the "Agreed Value" that the Boat insurance companies and you agree on. If you suffer hull loss, your payout is the agreed value without deduction for depreciation. Actual Cash Value will factor in depreciation at the time of loss before the payout so you will receive much less.

Protection & Indemnity (P&I) vs. Watercraft Liability: Protection and indemnity is the broadest coverage. It covers your hired crew, wreckage removal, and negligence if your boat is unseaworthy, bodily injury and property damage. Coverage is from $100,000 to $1 million and even higher. Watercraft only covers bodily injury and property damage.

All Risk vs. Specified Perils: Unless it is specifically excluded on the policy, all risk coverage provides coverage for any loss. Only specific losses listed on the policy is covered with Specified Perils.

Navigation Limits: if you have a loss outside of the stated navigational limits on your policy your insurance coverage could be invalid. Figure out where you want to go and include it in your navigation limits coverage.

Deductible: Higher deductibles mean lower annual Boat insurance premiums. Consider Lower deductibles only for electronics, personal property, and tenders. Lay-Up Periods: If you're a part time sailor, include longer lay-ups. This will lower your Boat insurance premium.

Other Coverage in a Boat insurance policy may include medical payments, personal effects, uninsured boater, and towing. Credits can also be given for completion of a boating safety course and of course, having safety equipment onboard your vessel.

By: Ron Sward
Website: http://www.1st-AAA-insurance-mall.com