RV loans look like car loans with longer terms: 10 to 20 years is normal, which keeps the monthly payment manageable on a six-figure motorhome and also multiplies the interest. This calculator works out the payment from the full financed amount, including tax and fees, and shows what the same loan costs at every common term.
How it is calculated
- Amount financed = price + sales tax + fees − down payment − trade-in. Sales tax is charged on the price minus the trade-in in most states.
- Monthly payment = P × r ÷ (1 − (1 + r)−n), where P is the amount financed, r the monthly rate (APR ÷ 12) and n the number of months. This is the standard amortizing loan formula.
- Total interest = payment × months − amount financed.
Example
An $85,000 travel trailer with $10,000 down, 6% sales tax and $500 in fees: $80,600 financed. At 8.5% over 12 years the payment is about $895 a month and total interest $48,200. Over 20 years the payment drops to $700 but interest rises to $87,300, more than the original loan.
Rates, terms and depreciation
RV rates run higher than mortgages and usually a little above car loans; new units and strong credit get the best rates, and loans on RVs over about ten years old cost more or are unavailable. Lenders typically want 10–20% down. RVs lose 20–30% in the first year and about half their value in five, so long loans with small down payments leave many owners owing more than the RV is worth well into the term. Gap insurance covers that difference if the RV is totalled.
Frequently asked questions
What is a typical RV loan term?
10 to 15 years for most RVs, up to 20 for expensive motorhomes. Longer terms lower the payment but can double the interest, and the RV depreciates faster than the balance falls.
What interest rate can I expect on an RV loan?
In 2025–2026 roughly 7–12% APR, depending on credit score, down payment, RV age and loan size. Larger loans and new units get lower rates.
How much should I put down on an RV?
Lenders usually require 10–20%. Putting 20% down keeps the payment reasonable and reduces the time you owe more than the RV is worth.
Is RV loan interest tax-deductible?
Sometimes. If the RV has sleeping, cooking and toilet facilities and the loan is secured by it, it can qualify as a second home in the US, and interest may be deductible if you itemize. Check with a tax professional.
Can I pay off an RV loan early?
Most RV loans are simple-interest loans with no prepayment penalty, so extra principal payments cut the interest directly. Confirm in the loan documents.
What would the payment be on a $50,000 RV?
At 8% over 10 years, about $607 a month, with roughly $22,800 of interest over the life of the loan. Stretch the same loan to 15 years and the payment drops to about $478, but the interest climbs to about $36,000. RV loans run longer than car loans and the vehicle depreciates faster, so the long terms are where owners most often end up owing more than the rig is worth.
Read more
- What interest rate should you expect on an RV loan?US credit unions published starting rates from 5.74% to 10.24% in September 2026 — a spread wide enough to change the payment by hundreds a month. Here is what every lender published, what actually moves your number, and the term trap underneath it all.
Sources
- CFPB: What is an amortization schedule?
- IRS Publication 936: Home Mortgage Interest Deduction (second homes including RVs)
- APG Federal Credit Union: boat and RV loan rates — rates effective 2026-09-19; new RV 5.99–6.74%, used 6.49–7.24% by term
- Members Cooperative Credit Union: RV loan rates — APR effective 2026-09-19; 2023-or-newer 5.79–6.79%, 2017–2022 6.79–8.39%
- Wings Credit Union: RV rates — rates effective 2026-09-18; model year 2021 and newer, 5.74% over 84 months to 7.24% over 240
- Service Credit Union: recreational vehicle financing — advertised 10.24% APR, rates accurate as of 2026-02-12
By Calcelate Team. Formula from the sources above.
- 2026-09-20 · Formula and texts checked
- 2026-09-19 · Reference data as of this date