People who want to buy boats can buy them even if they do not have the necessary funds, as boat loans are easily available. But a person with a low credit score would be hesitant to apply for a loan as chances of rejection are very high. In fact, till online lending came into the picture, bad credit loans were very rare. This is because lenders believed that the chances of people with low credit scores defaulting were high. Today, things are quite different and a low credit score should not prevent a person from buying a boat.
Though it is true that even people with low credit scores can apply for boat loans, lenders usually fix the minimum credit score to be eligible for the loan. This minimum score may change from time to time depending on the state of the economy, the willingness of lenders to take risks and such other factors. For instance, when the economy is in good shape, jobs are available in plenty and the risk of defaulting is low, the minimum credit score is not very high. In such a situation, 525 is considered as the minimum credit score limit by many lenders in the U.S. A person planning to take a loan can first find the minimum score from the lender’s website.