Loan on a boat

[martski]

Sorry if in wrong forum but I have a very basic question about finance on a boat.

If someone wanted to lend me £50k to buy a boat how would it be secured, can you have a charge over a boat like on a house? How is it registered, what's to stop me sailing to Nigeria and selling it? etc etc.

Perhaps someone could steer me in the direction of a numpties guide!!

 

[bobgoode]

Marine mortgage...boat is used to secure the loan. Company hold all documents and their interest is noted.
Marine loan...loan is not secured on the boat so you are personally liable but the company hold the title deeds making it difficult to sell without telling them.

 

[Babylon]

Marine mortgage...boat is used to secure the loan. Company hold all documents and their interest is noted.
Marine loan...loan is not secured on the boat so you are personally liable but the company hold the title deeds making it difficult to sell without telling them.

Or you just take out a personal loan - no security. Oh, I did that early in 2007, so things might have 'regressed' as bit since then!

 

[Seakindly]

marine loans

Interest rate is not always great on marine loans. Try extending mortgage, personal loan, aged relatives. I looked into marine loans -talk about hard sell. The guy kept visiting me at home and he was very skilled. It was hard to summon up the grit to tell him I didn't want his marine finance. He looked at me mournfully and said " do you mean it's all over between us?". Scraping the barrel or what? Wife shot me a very peculiar glance.

 

[CharlesSwallow]

Marine mortgage...boat is used to secure the loan. Company hold all documents and their interest is noted.
Marine loan...loan is not secured on the boat so you are personally liable but the company hold the title deeds making it difficult to sell without telling them.

** Yes, so it seems but when I bought a Hunter 30 by this method in 1993, Lombards admitted after I later sold the boat and "redeemed" the "mortgage" that they had no provision for establishing charges on non Lloyds registered craft and that the arrangement was nothing more that a Personal (unsecured) Loan.

If you don't mind an extra liability on the roof over your family's head, a further advance on an existing property mortgage will prove the cheapest option especially if you take advantage of current re-mortgage deals - see an independent adviser.

Chas

 

[dingdongs]

here's a reputable one;http://www.lombard.co.uk/assets/marine/

 

[Tranona]

To get a secured Marine Mortgage the boat has to be registered on the Part 1 register because that is where the mortgagor registers his interest. This means it is very difficult to sell as the mortgage has to redeemed before the change in ownership occurs. It also means that the Mortgage company can seize the boat if there is a major default in payment.

Borrowing agaisnt the security of your house has been a good way of raising finance economically, but not for everyone and probably difficult now.