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Looking to finance a boat, motorcycle, snowmobile, or another recreational vehicle? If so, Prefera Finance may be the place for you. They offer loan amounts of up to $30,000 so that you can purchase a vehicle directly from a dealership or private seller. You can also secure financing for the purposes of repairing one of your existing vehicles. You’ll be able to choose from a variety of payment plan options or pay off your loan at any time without penalty. Check out their website to get a quote today.
How to Qualify With Prefera Finance
Prefera Finance specializes in financing for recreational vehicles. So, before you apply, it’s best to prepare your finances in the same way that you would with an everyday car or truck loan. While loan amounts, interest rates and repayment terms may vary from client to client, the best way to qualify for good financing conditions is to:
- Have a solid source of employment/income for at least a few months
- Maintain a good credit score of 660 – 900 (or improve your score if it’s low)
- Pay off any outstanding debts (especially those with high-interest rates)
- Check your credit report for errors or signs of identity fraud
- Save up enough money for a down payment (not always necessary)
- If your finances or credit aren’t strong, ask someone to cosign your loan
Loan approval is about proving to your lender that you can comfortably afford any and all costs that come up during your repayment term. The more financially stable you are, the less risky you’re considered as a potential client. So, you’ll be more likely to qualify for a large amount of financing, an affordable interest rate and a longer-term.
How to Apply For a Loan With Prefera Finance
While Prefera Finance does have a main office located in Etobicoke, Ontario, most of their potential clients apply for financing via their website. The application process should only take a few minutes, during which you may need to provide various personal and financial documents or information, including but not limited to:
- A piece of government photo identification (driver’s license, passport etc.)
- Your most recent pay stubs or other proof of your income/employment
- A utility bill or other proof of your permanent Canadian address
- Your most recent bank statements or other proof of an active bank account
- A pre-authorized debit form or VOID cheque
- Similar information about your cosigner if needed
You must have an active bank account so you can properly receive your loan funds and make payments. However, keep in mind that these are just some of the things that you may have to provide during the application process. Prefera Finance may ask you for other forms of documentation or identification prior to approving your loan, so be sure to ask one of their customer service representatives about their requirements before you actually apply.
Features That Make Prefera Finance Loans Stand Out
Although recreational vehicle loans are Prefera Finance’s main products, they also offer vehicle repair financing, so you can get your car back on the road. Here are some of the other major features you’ll see if you’re approved for a loan from Prefera Finance:
- Financing amounts of up to $30,000 in liquid cash
- Repayment terms of 12 – 84 months
- The option of making weekly, bi-weekly, or monthly payments
- You can change your payment frequency up to 3 times during your term
- The option to adjust your final payment date (with 4 business days notice)
- The ability to purchase a variety of recreational vehicles
- The ability to make any necessary car repairs more affordable
- The ability to make a down payment, if you can’t afford the full vehicle price
- The chance to get approved for financing, even if you have bad credit
You can also make your loan payments using an assortment of methods, such as:
- Pre-Authorized Debit (automatically withdrawn from your bank account)
- Interac e-Transfer
- Internet banking
- Visa or Mastercard
- Directly at a Bank of Montreal (BMO) service location
Costs You May Encounter With Prefera Finance
As mentioned, Prefera Finance offers loan amounts of up to $30,000. There are also a number of costs that you’ll have to factor into your budget, including but not limited to:
- Loan Principal – Your loan payments can significantly increase your daily expenses and be too large for your income if you’re not careful. If you think you won’t be able to afford your payments, discuss the situation with Prefera Finance.
- Interest – Your interest rate can vary according to your income, credit score and other such factors. Typically, the weaker your finances and credit are, the more risk you present, so you may qualify for a higher, less affordable interest rate.
- Fees – Although Prefera Finance will not charge you to pay your loan off early, you may be subject to various service fees during and after the repayment process, for example, loan origination and document processing fees.
- Penalties – You could be charged a defaulting penalty for every late, short or missed payment. If you choose pre-authorized debit payments, you could also receive a penalty if you have non-sufficient funds (NSF) in your bank account.
What Are the Pros and Cons of Prefera Finance?
Every credit product and lender has benefits and drawbacks that you must be aware of before you give away any personal or financial information.
Pros of Prefera Finance
- Easy application and approval process (minimal requirements)
- Candidates with poor credit histories can still qualify for financing
- $30,000 can buy you a decent recreational vehicle or finance a large car repair
- A variety of payment frequencies, terms and methods are offered
- Responsible payments can slowly increase your credit score
Cons of Prefera Finance
- Not enough information about loans or related costs on their website
- Applying with low income or bad credit can lead to less affordable loan conditions
Prefera Finance - Frequently Asked Questions
What kinds of recreational vehicles can I finance?
Remember, you can also use your Prefera Finance loan to cover the cost of any maintenance or repairs that your car needs.
Will my credit score affect my loan approval?