Financing a boat through a private individual is possible with a written loan contract, a traceable transfer, a formulaire 2062 declaration above 5 000 € and, for a francised vessel, an optional marine mortgage that protects the lender until full repayment.
Why boats are often financed outside the bank
Banks readily finance a new boat sold by a shipyard, far less a twenty-year-old second-hand yacht bought from a private sailor in La Rochelle or Brest. A loan from a relative or a sailing friend often bridges that gap.
New boat, second-hand or co-owned shares
The arrangement differs by purchase type: a new boat from a dealer, a second-hand sale between sailors, or co-ownership with others. In the last case, the loan between co-owners should be separate from the joint ownership agreement that governs use of the vessel.
Francisation and the vessel's papers
Depending on its length and engine, a pleasure boat may be francised with French customs, which issues the acte de francisation (French registration certificate). This document identifies the owner and determines whether a marine mortgage can be registered for the lender.
The marine mortgage, security tied to the vessel
For a francised boat, the lender can obtain a marine mortgage registered with the customs service. If the boat is sold, it gives the lender priority payment; a notary or lawyer can draft the deed, see our page on notaries and private credit.
Checking a used boat is not already pledged
Before lending for a second-hand purchase, ask the seller for a recent customs document confirming that no mortgage is registered. A vessel already encumbered could be seized by the earlier creditor, and the new lender would lose their security.
A loan contract suited to pleasure boating
The contract states the boat's name, registration number, purchase price, amount lent, rate and schedule. A clause can forbid resale without the lender's consent, as with a peer-to-peer car loan backed by the vehicle.
Annual costs to budget before borrowing
Mooring, winter storage, antifouling, the annual francisation and navigation duty for some boats, and third-party insurance often required by harbour masters all weigh on repayment capacity and belong in the budget presented to the lender.
Usury rate and loans for a catamaran or yacht
A friend lending for a catamaran may charge interest, but the effective rate must not exceed the usury limit published each quarter by the Banque de France for the relevant loan category, or criminal penalties apply.
Bargain boat adverts and fake sellers
Fraudsters list sailing boats at very low prices on classified sites, claim to be living abroad and ask for a deposit or transport costs. This pattern overlaps with the international transfer scam used by fake lenders.
Fake lenders specialising in boating
Some profiles in sailing enthusiast groups promise boat financing without a bank in return for an advance covering insurance or file fees. No genuine lender demands payment upfront, so report these posts on PHAROS, the French online reporting platform.
Tax on interest for the sailing lender
Interest received by the lender is taxable and declared as investment income. The borrower files formulaire 2062, the French loan declaration form, once the amount lent exceeds 5 000 €, as detailed on our page about private loan taxation.
What happens after damage or a sinking
If the boat sinks or is destroyed, the debt remains. The contract can provide that the insurance payout goes first to repaying the lender, provided the insurer is told in writing and the policy truly covers the value of the vessel.
Steps to finance a boat through a private individual
- Draw up the full budget: boat price, transfer costs, mooring, winter storage, insurance and annual maintenance.
- Check the vessel's papers, the acte de francisation and the absence of a mortgage with customs before any commitment.
- Sign a loan contract identifying the boat, with rate, schedule and a clause on resale or loss.
- Register a marine mortgage, if both parties wish, with the help of a legal professional.
- Pay the funds by bank transfer directly to the seller or borrower, never by mandat cash.
- Declare the loan on formulaire 2062 above 5 000 € and keep every proof of repayment.
Indicative budget for a private boat loan
| Item | Indicative cost | Comment |
|---|---|---|
| Agreed interest | Freely set, below the usury limit | Rates published by the Banque de France |
| Contract registration | 125 € (fixed fee, indicative) | Optional |
| Marine mortgage | Deed and registration fees, on quotation | Only for francised vessels |
| Annual running costs of the boat | Vary with size and harbour | Include in the repayment budget |
| Deposit paid to a fake seller | Total loss | Frequent fraud on classified ads |
Paperwork to gather for the boat loan
- Identity documents of the borrower and the lender
- Acte de francisation or navigation licence of the boat
- Bill of sale or preliminary agreement signed with the seller
- Customs certificate confirming no registered mortgage
- Loan contract and repayment schedule
- Insurance certificate for the vessel
- Formulaire 2062 for an amount above 5 000 €
- Bank details and proof of transfer
Boat loan traps to steer clear of
- Lending for a second-hand boat without checking with customs that no earlier mortgage burdens the vessel.
- Sending a deposit to a seller supposedly living abroad who has the boat delivered by an untraceable carrier.
- Leaving mooring and winter storage out of the budget, which makes instalments unmanageable from the first season.
- Paying insurance fees to a lender met on a sailing forum before receiving a single euro.
- Leaving the boat solely in the borrower's name with no security or resale clause in the contract.
Common questions about private boat loans
Can a friend who lends me money take a mortgage on the boat?
Yes, if the boat is francised. The marine mortgage is registered with customs and follows the vessel if it is resold. For a small unregistered craft, the lender will have to rely on a contract and possibly a personal guarantee.
Must a 15 000 € loan to buy a sailing boat be declared?
Yes. Above 5 000 €, the borrower declares the loan on formulaire 2062 with their income tax return. Any interest appears in the lender's income. Optional registration of the contract costs a fixed fee of 125 €.
Can a lender require the boat to stay moored until repayment?
The contract can regulate use, but a total ban on sailing would be hard to monitor and unrealistic. It is better to provide suitable insurance, a ban on resale without consent and allocation of the insurance payout after a loss.
How do I spot a fake boat-for-sale advert?
A price far below the market, a seller abroad, refusal of a viewing, payment requested by money order or cryptocurrency: these signs are enough. Insist on seeing the boat and its original papers, and report the suspicious advert on PHAROS.