Bad Credit ATV Financing Options in 2025
It can seem impossible to finance an ATV with less-than-perfect credit. But with the right strategy, you could turn your ATV dreams into reality. From picking the right borrowing option to deciding if now is a good time to buy, we’ve boiled down what you need to know about bad credit ATV financing.
What is a bad credit powersports loan?
Also known as a bad credit ATV loan, a bad credit powersports loan is a type of personal loan. Personal loans come as a lump sum of money that you can use for almost anything, powersports vehicles included.
Unlike credit cards, personal loans have fixed interest rates and your payment will stay the same each month. You’ll have a set period of time to pay back your loan (called a loan term) and you’ll pay interest on what you borrowed.
Many powersports loans are unsecured, meaning they don’t require collateral. Your lender won’t repossess your ATV (or jet ski or snowmobile) if you don’t make your payments. This is different from a typical auto loan, which uses your car as collateral.
Even if you do qualify for bad credit ATV financing, that doesn’t mean it’s a good idea. The worse your credit score and credit history, the higher your rates and fees. And for most people, ATVs are a luxury item. You don’t want to take on expensive debt for a toy (even if it’s a cool one).
Use an ATV loan calculator to understand the true cost of borrowing. Pay attention to overall interest and your monthly payments. If either seems outrageous, consider improving your credit score before financing.
| Lender | Minimum credit score | APR range | Loan terms | Loan amounts | |
|---|---|---|---|---|---|
 | 300 | 7.40% – 35.99% | 36 or 60 months | $1,000 – $50,000 | |
 | 550 | 9.95% – 35.99% | 24 to 60 months | $2,000 – $35,000 | |
 | 560 | 8.99% – 35.99% | 24 to 60 months | $2,000 – $50,000 | |
 | 580 | 9.99% – 35.99% (with discounts) | 24 to 84 months | $1,000 – $50,000 |
Upstart
Upstart is a lending platform that uses AI modeling to see if you can keep up with a loan. This helps it approve people other lenders would turn away. It even waives its credit requirements for college students and grads. To be eligible, you must be enrolled at (or have graduated from) an accredited university, in an associate’s degree program or above.
Still, don’t expect Upstart to be cheap. Its maximum APR is high but fairly standard for a legitimate bad credit ATV loan. However, it also charges an origination fee of 0.00% - 12.00%. If you have truly bad credit, expect to pay the higher end.
Learn more by reading our expert Upstart personal loan review.
Avant
As convenient as an online loan can be, they can be equally as frustrating if you need to get a hold of customer service. Avant’s customer service department is open seven days a week, with hours long past the typical 9 to 5.
On the downside, Avant may call your job to confirm employment (although it tries electronically first). This could be a turn-off for some.
Learn more by reading our expert Avant personal loan review.
Prosper
Prosper (a peer-to-peer lender) has a highly rated mobile app. You can use it to check rates without giving out your contact info. Once you’re on board, take advantage of your free FICO scores. This might be the motivation you need to move your credit from bad to good.
Generally, peer-to-peer loans have looser eligibility requirements. Under this model, individual investors fund your loan instead of a bank or lender. Prosper gives investors 14 days to pick up your loan. If by that time your request isn’t at least 70% funded, your loan request will expire.
Learn more by reading our expert Prosper personal loan review.
Upgrade
Upgrade isn’t just a personal loan platform. It offers checking accounts, too (through FDIC-insured Cross River Bank). Opening one may even get you a lower rate on your ATV loan.
You must get at least $1,000 a month in direct deposits to qualify for the best perks. And technically, Upgrade requires fair credit (580+) to borrow. Adding a second person to your loan could help if you fall short (assuming that the person has strong credit).
Learn more by reading our expert Upgrade personal loan review.
How to compare bad credit powersports loans with LendingTree
Bad credit ATV loans can be hard to find. Imagine applying with lender after lender, just to be told at the very end that you don’t qualify. Let LendingTree do the legwork for you.
- Check your credit score. Tap into LendingTree Spring to get your credit score for free. According to a LendingTree study, moving your score from fair (580 to 669) to very good (740 to 799) could save you over $22,000 in loan and credit card interest. Think about whether you should wait to finance or if you’re ready to borrow.
- Tell us what you need. If you’ve decided that a bad credit powersports loan is right for you, compare multiple offers from our network of lenders (the nation’s largest) with no impact to your credit score.
- Compare and win. You could get loan offers from up to five of our partners after one quick form. We’ll also show you which lenders we think are most likely to approve you. If you find a loan you like, we’ll help you take the next step in formally applying.
Pros and cons of bad credit ATV loans
Pros
- No down payments. Personal loans don’t require down payments, but some dealership loans do.
- You can use it for gear. You shouldn’t overborrow, but you can tack on a little extra to pay for helmets and other necessary items.
- Quick and easy. Many online lenders only take a few minutes to review an application. If approved, you might get same- or next-day funding.
Cons
- Higher rates. Unlike manufacturer and dealer financing, most powersports loans do not use your ATV as collateral. Loans without collateral are generally more expensive.
- Could pay a fee. Powersports loans can have an origination fee. This is a fee that your lender will keep for itself before sending you your loan.
- No promotional financing. If you use a powersports loan, you could miss out on holiday sales events offered by the manufacturer.
How to qualify for ATV financing with bad credit
The best way to qualify for loans with low rates is to improve your credit score, but this isn’t an overnight fix. In the meantime, you could:
Focus on bad-credit lenders
If you have bad credit, getting a loan can seem out of reach. If you target the right lender, getting ATV financing with a 600 credit score (or lower) might be possible, but it is time consuming.
Avoid frustration by sticking to lenders that have low minimum credit score requirements (like the ones on this list). Otherwise, you might waste time applying for loans that you aren’t eligible to get.
Make a down payment, apply for a smaller loan and choose a short term
The higher the lender’s risk, the higher your rate. A smaller loan is less risky for the lender, so smaller loans tend to be easier to get.
The same goes for loan terms. The longer it takes for you to repay your loan, the more opportunity you have to fall behind. As a result, don’t expect to get a long loan term with bad credit.
Make a down payment on your ATV (10%-20%), depending on if you’re buying new or used). This will help keep your loan amount down. Then, go for the shortest loan term that you can comfortably afford.
Add a second person to your loan
Getting a loan with a friend or family member can help boost your approval odds. Just be sure that the second person has at least good credit and knows the risk. If you make late payments on your loan, their credit score will also be affected — not only yours.
Consider offering your ATV as collateral
Some financing options (like manufacturer and dealership financing) use your ATV as collateral. This is called a secured loan. Secured loans are less risky for the lender and are typically easier to qualify for. If you fall behind, the lender can recoup some of its losses by repossessing your ATV.
Other bad credit ATV financing options
Manufacturer financing
What we like: Might find a promotional rate discount or another sales event during the holidays
What we don’t like: Credit requirements are often vague, and may only approve “well-qualified buyers”
Some manufacturers offer in-house financing. Here, the company that makes your ATV provides your loan. For instance, if you’re buying through an authorized Honda dealer, you could get a loan through Honda Financial Services.
Not all manufacturers offer loans for people with bad credit. To make things trickier, many don’t publicly disclose their minimum credit score requirements. In that case, the best way to tell if you qualify is to get preapproved for a loan.
Bank or credit union loans
What we like: Often have lower rates and fewer fees than online loans
What we don’t like: Can have tough eligibility requirements
You could get a powersports loan from your current bank or credit union. These are generally harder to qualify for (particularly true for bank loans). Still, your financial institution might be willing to work with you if you have a long, positive history with them.
Not all banks call their powersports loans by the same name. For example, Digital Federal Credit Union (DCU) offers ATV loans, but under its RV loan umbrella. Other banks might not offer a specific powersports loan but may let you get a large purchase personal loan instead.
If you aren’t sure whether your bank offers powersports loans, your best bet is to ask.
Dealership financing
What we like: Can take the stress out of buying since the dealer shops for the loan on your behalf
What we don’t like: Harder to compare rates when you’re not in the driver’s seat
If you’ve ever bought a car and let the dealer handle the loan part, that’s dealership financing.
In essence, the dealer contacts its network of lenders to see which is willing to give you a loan. This could include financing from the manufacturer but also third-party loan companies. Dealership financing might be convenient, but stay vigilant. Your dealer is under no obligation to shop for the lowest rate for you.
Also, avoid buy here, pay here lots. Buy here, pay here can be tempting if you have bad credit, but many come with predatory interest rates. Also known as in-house financing, buy here, pay here loans are funded by the dealership itself.
Frequently asked questions
If you buy your ATV through manufacturer or dealer financing, you may have to make a down payment. These work similarly to auto loans. But even if a down payment isn’t required, it can be a good idea to make one anyway. Down payments can make it easier to get approved for financing.
Most of the lenders we’ve highlighted here have repayment terms that start at 24 months. However, none of them charge a prepayment penalty, or a fee for paying your loan off early. Paying your loan off early will help you pay less overall interest.