I thought that the big money makers bought their toys with just cash and cash only. I was so wrong. They actually have so many different ways to buy their play toys:
Dealer financing: For as little as 10% down, you can be in action, but you'll need good credit and several years of credit history to get a good interest rate.
OEM financing: One option for motorized personal watercraft, as well as all-terrain vehicles, motorcycles and snowmobiles, includes a revolving credit card through original equipment manufacturers (OEM). Find a loan that's right for you at the Loan Center
Credit card: Quick, easy, accepted everywhere, no credit checks or paperwork. But unless you pay it off quickly, the interest rate on that boat might just sink you.
Co-buying: You and your buddies might buy that ATV jointly, but what happens if someone wants out, doesn't pay or wrecks it the first time out? Look closely at the "what-ifs" to determine beforehand if your deal -- and your friendships -- will survive.
Personal loan: Credit unions and community banks can take the whole bill and feed it back to you slowly at agreeable terms. If you own a home, this may be the most cost-effective way to finance your fun.
Cash: Before paying cash, remember that personal sports vehicles lose their value significantly the minute they're sold. If part of your plan is to keep your new toy in good shape, then resell it next year and get a big percentage of your money back, you may want to reconsider financing it.
Family co-sign: Mom and Dad may be willing to help you get that loan, but what would happen if you couldn't make the payments? Plan on paying this loan back just as if you owed it to the folks themselves -- because you do.
The co sign thing is something that I thought you only did when it came to your home or car!!! shocked me.
