There are a wide range of rates offered on boat loans across the marine lending market. Lenders who specialise in marine finance will generally offer the most attractive rates. The rates available on the market are based on the country’s cash rate as determined by the Reserve Bank of Australia. Each lender builds its own forecast and assessments of the market, and their own costs. 

Rates also fluctuate based on the type of loan. Commercial boat finance will generally attract lower rates than personal boat loans, which are categorised as consumer credit and regulated by ASIC. The regulations imposed by ASIC require consumer boat loan providers to display the boat loan APR and a Comparison Rate when advertising their interest rates. The comparison rate is calculated based on a specific boat finance example and includes some lender fees and charges. 

The boat itself is also a contributor to the interest rate. Second-hand vessels will generally attract different rates to new boats. For more information on interest rates in the marine financing sector, connect with us online or give our office a call and talk to one of our expert marine loan specialists.