Horse Trailer Financing: How and Where to Secure Funding
If you need to purchase a horse trailer but don’t have enough cash on hand, personal loans can help. This guide will help you identify top lenders and horse trailer financing alternatives.
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Whether you’re heading to a competition, hauling your herd to auction, or transporting from the stable, keeping your horses safe is likely a top priority. That makes a quality horse trailer a necessity. But, as is often the case with equestrian supplies, new trailers can be expensive.
Fortunately, many farmers and hobbyists find personal loans to be a useful way to finance a horse trailer, and in some cases even their horses. This guide will show you how to find the best horse trailer financing.
In this guide:
- Best horse trailer loans
- Other horse trailer financing companies
- What you’ll need to secure a horse trailer loan
- Other ways to finance a horse trailer
Best Horse Trailer Loans
Most banks and lenders issue personal loans you could use to finance a new trailer. The right one for you will depend on factors such as your credit score and the amount you need to borrow.
Here are our best personal loans for borrowers of every credit situation.
LightStream
Rates (APR)
5.95% – 19.99%
with AutoPay
Loan Amounts
$5,000 – $100,000
Credit Score
660+
If you have excellent or good credit, LightStream is a great option. This lender offers competitive rates, zero fees, and even a program where they will make their rate lower than a competitor’s by 0.10 percentage points. With same day deposit times, you will receive financing for a horse trailer in no time.
- Credit score category: Excellent, good
- Soft credit pull to check rates: Not available
- Deposit time: As soon as the same day
- Origination fee: 0%
- Late fee: None
- Discounts: 0.50% interest rate reduction for enrolling in autopay
- Repayment terms: 24 – 144 months
Upgrade
Rates (APR)
7.99% – 35.97%
Loan Amounts
$1,000 – $35,000
Credit Score
620+
If you are seeking a smaller loan for your horse trailer, Upgrade can assist you. Upgrade allows borrowers to check their rates without affecting credit scores. Loan eligibility is more dependent on free cash flow as compared to other lenders.
- Credit score category: Fair, bad
- Soft credit pull to check rates: Yes
- Deposit time: As soon as the next day
- Origination fee: 2.9% – 8%
- Late fee: $10
- Repayment terms: 36 or 60 months
LendingClub
Rates (APR)
10.68% – 35.89%
Loan Amounts
$1,000 – $40,000
Credit Score
600+
LendingClub offers loans to those with bad and fair credit. With a deposit time as soon as 4 business days, you will receive quick financing for your horse trailer. LendingClub is a peer-to-peer lending option, so other individuals will fund your loan rather than a bank or financial institution.
- Credit score category: Fair, bad
- Soft credit pull to check rates: Yes
- Deposit time: As soon as 4 business days
- Origination fee: 1% – 6%
- Late fee: $15 or 5% of payment amount
- Repayment terms: 36 or 60 months
Other horse trailer financing companies
You can also work with a smaller lender that specializes in horse trailer financing. These lenders often partner with horse trailer suppliers to act as a financing middleman between the vendor and the customer. Or you can work directly with the supplier.
Here are a few examples of lenders and suppliers that offer horse trailer financing:
- Coolhorse — nationwide, online
- Double D Trailers — North Carolina
- GoldenWest Credit Union — Utah
- Dixie Horse & Mule Co. — Alabama
- NRS Trailers — Texas, Florida, Oklahoma, Kansas, Arizona
The best thing you can do is compare several financing options, including personal loan lenders as well as smaller lenders or suppliers that specialize in horse trailer financing, before making your decision.
What you’ll need to secure a horse trailer loan
Every lender has its own requirements, but if you’re considering financing a horse trailer, you’ll likely provide the same basic information to any lender, including:
- Social Security number.
- Income information.
- Bank account information.
- Basic contact information.
- Your driver’s license or identification card.
Lenders use this information to determine eligibility, which is often based on your credit history and debt-to-income ratio.
Though there are horse trailer loans for bad credit, most lenders will look for a satisfactory credit score, around 620 or higher, and a low debt-to-income ratio, typically below 36%.
It’s a good idea to check your credit report and score through a free site before applying for financing of any kind.
Other ways to finance a horse trailer
Although personal loans, horse trailer loans, and vendor financing are the most popular ways to finance a horse trailer, they aren’t the only options. You may be able to leverage your home equity, instead.
People often use home equity loans and home equity lines of credit to finance home improvements, but you can use the funds to finance other purchases, as well.
Home equity loans
Home equity loans allow you to tap into your home’s equity to access funding, and in this case, pay for a horse trailer.
Pros
- May have lower rates than unsecured personal loans.
- More accessible for borrowers with bad credit, because your home secures the loan.
Cons
- You’ll need to have enough equity (typically 15%) in your home.
- Your home is on the line if you can’t repay the loan.
- It may take more time to receive funding than other financing options.
- The application may be longer than for a personal loan.
Home equity line of credit (HELOC)
Like home equity loans, a home equity line of credit allows you to leverage your home’s equity to finance a variety of expenses, including a horse trailer. The difference is, instead of a lump sum of cash, a line of credit is revolving credit you can tap into as needed.
If you’re just getting started in the equestrian business and expect you’ll need assistance with cash flow, a HELOC can be useful. It will allow you to borrow only what you need and pay it off on a rolling basis, like a credit card.
Pros
- May come with lower rates than personal loans.
- Flexible financing allows you to borrow what you need over an extended period.
Cons
- Your home is on the line.
- HELOC rates can be higher than home equity loan rates.
Bottom line
Horse trailers can be expensive, but are a necessity for many horse owners. Personal loans can help you purchase a horse trailer, but are not the only option. You can also turn to small lenders, or home equity loans and lines of credit.
Regardless of what you choose, it’s important to shop around and compare your options before you make your decision.
Recap of horse trailer loans
| Lender | Rates (APR) | Loan Amounts | Credit Score |
| LightStream | 5.95% – 19.99% | $5,000 – $100,000 | 660+ |
| Upgrade | 7.99% – 35.97% | $1,000 – $35,000 | 620+ |
| LendingClub | 10.68% – 35.89% | $1,000 – $40,000 | 600+ |
