Caravan loans for big adventures

  • Checking your eligibility won’t impact on your credit score
  • Compare over 50 UK lenders
  • Aro is a credit broker, not a lender

Caravans and motorhome loans, it’s all systems go

What types of caravan or motorhome finance are available?

From conventional, twin axle and pop up caravans to fifth wheelers, tiny teardrop trailers and The American Airstream, whatever caravan you’re looking for, Aro has the loan for you. Discover your different borrowing options below.          

Personal loan

If you’ve got a good credit score, would like to borrow up to £35,000, and you want to pay back your caravan loan over a few months or years, then a personal loan could be the one for you. You simply pay back your loan, and interest, in monthly instalments until the end of your loan term.       

Homeowner loan

With caravans ranging from £2,000 for pre-loved ones and as high as £150,000 for a brand spanking new one, a homeowner loan could give you the option to set your sights high. Because the loan is secured against your home, it gives lenders a bit more financial security so they’re often willing to lend you larger amounts of money. And if this wasn’t enough, your monthly repayments could be reasonably low thanks to the longer repayment term. But please note, if you fail to pay back your loan, your home could be used to recover the debt.

Your home may be repossessed if you don’t keep up repayments on a mortgage or any other debt secured on it.

Conditional sale

Not heard of this one? Don’t worry, it’s dead easy to understand. It basically means your caravan finance is secured against the caravan or motorhome itself until you’ve paid off what you owe and you own the vehicle outright. The thing that’s different about conditional sale is you may pay a deposit, usually 10-20% of the total debt. You then make your monthly repayments at a fixed interest rate over a fixed repayment term.         

Hire purchase

It works really similarly to conditional sale finance but the only difference is you’re usually given the option to buy the vehicle or part exchange it for a new one at the end of the agreement, instead of automatically owning it outright.  

How do I check my eligibility for a motorhome or caravan loan?

The best place to check your eligibility is our eligibility check. You pop your details in and our smart, dynamic search will compare over 50 UK lenders and match you with the option that’s best for you. Best of all, our smart search won’t harm your credit score as we only complete a soft search. 

At Aro, we put the power in your hands. That’s why when you complete an eligibility check with us we show you all your finance opinions in one place, so you can compare your loan options side by side and make an informed borrowing choice. And where we can, we like to show you real rates, so you can see exactly how much the borrowing will cost you before you proceed.  

Are there bad credit motorhome loans available?

You’ll be pleased to know, yes there are. If your credit score is looking a little unhealthy and you’re a homeowner,  you may be able to take the homeowner loan approach. This is because lenders have a bit more security as the loan is secured against an asset, usually your property. Homeowner loans can sometimes provide more favourable rates that result in lower monthly repayments. But please be aware, if you’re unable to make your repayments the lender could repossess your home.    

Your home may be repossessed if you do not keep up repayments on a mortgage or any other debt secured on it.

14.26% APRC Representative (variable). Representative example (if you choose to add fees to the loan): assumed borrowing of £25,000 over 7 years, plus a broker fee of £2,850 and lender fee of £367.50 would result in monthly repayments of £509.96, the borrowing rate is 12.78%, the APRC is 14.26% (variable), total charge for credit would be £14,619.14 and the total amount payable would be £42,836.64.

Not a homeowner? Well then, a guarantor loan could be an option for you. This type of loan may give you access to the money you need at a more affordable rate. You’ll just need to have a guarantor who can support you if you begin to struggle with the loan repayments. 

All is not lost though, there are loads of ways you can get a healthier credit score. Check out our guide on how to improve your credit score. 

How much can I borrow with a caravan loan?

It all depends on which loan option you choose, homeowner or personal. With a homeowner loan you can borrow from £5,000 to £500,000+ for terms ranging one to 30 years. Whereas with an unsecured loan, you could borrow anything from £500 to £35,000 over terms of one to seven years. 

Please remember, don’t borrow more than you need and can comfortably afford to pay back.   

36.8% APR Representative (fixed)

Representative example: 36.8% APR Representative based on a loan of £12,500 repayable over 48 months at an interest rate of 36.8% pa (fixed). Monthly repayment of £500.83. Total amount repayable is £24,039.67.

Warning: Late repayment can cause you serious money problems. For help go to