Fund recreational adventure confidently and efficiently

As your members seek new ways to enjoy the outdoors and make lasting memories, many of them will turn to specialty vehicles like RVs, boats, and powersports equipment. Whether it's a family exploring national parks in a travel trailer or a couple cruising the lake on a new pontoon, specialty vehicles enable people from across the country to embrace recreation and leisure. As a credit union, you're in an ideal position to support buyers with this spirit of adventure.

If you're looking to diversify and grow your lending portfolio, specialty vehicle loans present an opportunity to build stronger member relationships, increase loan volume, and deepen community ties. However, stepping into the specialty vehicle market requires thoughtful planning, sound risk management, and the right tools to ensure scalability and compliance.

The rising appeal of specialty lending

Industry reports show that Americans are prioritizing leisure and experience-driven purchases. The RV Industry Association projects shipments to climb in the coming years as younger buyers enter the market. Powersports and boat sales have also experienced sustained interest following the pandemic-era surge in outdoor recreation.

These trends present a natural entry for your institution: you can provide secure, accessible loans to support your members without stretching your lending teams too thin. Offering financing for lifestyle-enhancing purchases, like a camper for summer road trips or a snowmobile for backcountry exploration, can strengthen member loyalty while bringing in high-quality loan volume.

Lending smart: Growth at the right pace

Entering or expanding into the recreational lending space shouldn't mean compromising risk or operational control. Set your institution up for long-term success in these markets by creating a roadmap for growth. That starts with:

• Setting clear lending parameters. This includes capping loan amounts, setting interest rate ranges, and defining acceptable vehicle types. These safeguards ensure loans meet member guidelines without welcoming unnecessary risk or underwriting strain.
• Choosing dealer partners carefully. Not all dealers are created equal. Limiting participation to reputable, trusted dealers—ideally those that align with your service values—can reduce the likelihood of fraudulent or low-quality deals.
• Maintaining a close focus or branching out. As an organization, you may choose to focus only on regional dealers that support nearby members or opt to grow more broadly across other regions. Either strategy can work, so long as it's supported by a reliable lending platform and consistent processes even in remote settings.
• Tailoring loans to regional interests. Take time to research and understand which recreational activities matter most in your community to craft more relevant and attractive offerings and decide which loan types to support. A credit union in Michigan may prioritize snowmobile loans in winter, while one in Arizona might focus on side-by-sides or RVs for year-round desert exploration.

Reducing risk through automation and compliance

As your reach into recreational lending grows, so will your compliance requirements and operational risks. Each state may have different regulations around titles, taxes, and disclosures—and dealerships vary widely in how they handle these details. A misstep can expose your credit union to costly errors or reputational damage.

To stay protected, rely on technology platforms that automate documentation, enforce lender-specific loan criteria, and maintain detailed audit trails. This minimizes human error and ensures that every loan meets your policies before it reaches your funding team.

How AppOne supports credit union success

AppOne, a web-based platform, empowers you to participate in indirect recreational lending with confidence and control. It connects your credit union with dealers in your supported regions while allowing you to:

• Define and enforce custom loan guidelines, so you only receive applications that fit your risk profile.
• Automate credit evaluations and funding workflows.
• Ensure full regulatory compliance at the dealer level.
• Securely collect and manage member data through encrypted processes.
• Scale lending volume without overextending operational resources.

With AppOne, your credit union can grow your presence in specialty markets and beyond without sacrificing member experience or exposing yourselves to unnecessary risk.

Serving members and communities through recreation

Ultimately, specialty vehicle financing is more than just a loan product. It's a way to support members in their search for fun and adventure. By offering flexible and tailored lending options, your credit union can deepen your community roots while contributing to members' joy and connection with the outdoors.

With smart strategies and the right technology, you can expand your lending portfolios responsibly and confidently, one adventure at a time.

Sponsored by: