Paragon Bank - Indicative Rate Table (October 2026)
| Finance Type | Indicative Rate | Min Loan | Max Loan | Max LTV | Max Term | Key Feature |
|---|---|---|---|---|---|---|
| Secured Business Loan (new) | 7–9% | £50,000 | £1,500,000 | 75% | 8 yr | Fixed rate; clean credit and 2+ years accounts required |
| Secured Business Loan (used) | 8.5–12% | £50,000 | £1,000,000 | 75% | 7 yr | Considered on merit; age of vessel a key factor |
| Asset Finance (HP) | 8–11% | £50,000 | £750,000 | 70% | 7 yr | Title transfer on final payment; balloon available |
Rates are indicative for October 2026 and subject to underwriting, vessel survey and credit assessment.
About Paragon Bank Fishing Vessel Finance
Paragon Bank is a FTSE 250 specialist bank with a long-established commercial lending business. In the fishing vessel market, Paragon occupies the mid-tier - minimum £50,000, competitive rates from 7%, and a credit team that takes a thorough but fair approach to complex applications. Their 8-year maximum term is slightly longer than most specialists, which improves monthly payment calculations on higher-value transactions.
Paragon's secured business loan product uses the vessel as primary security in a more bank-like structure than a pure HP arrangement - the vessel is charged as security rather than owned by the lender until the final payment. This suits operators who want to maintain full operational control and insure the vessel in their own name from day one. The HP product sits alongside for those who prefer the conventional structure.
In October 2026, Paragon is a consistent mid-market lender for fishing vessel transactions in the £50k–£1m range. Their credit appetite is relatively stable, and their online application portal makes the initial submission process faster than some relationship-only lenders. For transactions that fit cleanly within their criteria, Paragon typically delivers a decision within 5–7 working days.
Strengths
- 8-year maximum term - slightly longer than most specialists, improving monthly payment calculations
- Secured loan structure means the borrower owns the vessel from day one (unlike HP where the lender retains title)
- Online application portal streamlines the initial submission process
- FTSE 250 listed bank - strong covenant for longer-term facilities
Limitations / Things to Know
- 75% maximum LTV is standard but less generous than Hampshire Trust Bank or the clearing banks at 80%
- Paragon's credit team applies a thorough but sometimes slow process - not ideal for urgent transactions
- Fishing vessel expertise is present but not as deep as dedicated marine lenders like Marine Finance Direct or Close Brothers
Is Paragon Bank Right for My Fishing Vessel?
Paragon Bank is a solid mid-market option for fishing vessel purchases of £50k–£1m where the borrower has clean credit, 2+ years' accounts, and is not in a rush. Their secured loan structure suits operators who want vessel ownership from day one. For time-sensitive purchases or very complex cases, Close Brothers or Hampshire Trust may be preferable.
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