Navigating the World of Motorcycle Financing Options and Advice for New Buyers

Navigating the World of Motorcycle Financing Options and Advice for New Buyers

Getting your first motorcycle is an exciting experience, from visiting a showroom to choosing the right motorbike and then finally having the best riding experience. But before purchasing either a new or a used motorcycle, you'll need to first determine how to finance your first Honda or Harley-Davidson. Continue reading as we navigate motorcycle financing options for your used or new bike.

What to Do First

How is your credit history? Motorcycle riders will likely get approved for a loan if they have a good credit score. Before acquiring a loan, we recommend checking with the credit unions first for your credit score. If you can, try to at least fix it to get better interest rates when applying for a loan. You may need to also prepare a larger down payment to get approval and to have lower monthly payments.

Motorcycle Financing: What Are Your Options?

As soon as you're ready with your down payment, the next step is to choose financing. So, what are your financing options? Depending on the type of motorcycle, you may be able to get financing at:

Dealerships: A motorcycle dealer usually partners with lenders to help their clients get financing for their first Yamaha or Suzuki bike. After choosing a motorcycle, ask the dealerships about their financing options as they likely have recommendations for you. The good thing is that most of the lenders they partner with approve clients with bad credit ratings. You should be able to get your Kawasaki motorcycle or even sports bikes at the dealerships via the lenders they work with. However, you may need to offer the motorcycle as collateral. They may ask you to surrender the motorbike if you're unable to secure your monthly payments.

Credit unions and banks: Another option for motorcycle riders or motorcyclists is to contact banks or credit lenders when buying a new scooter or motorcycle. You can get personal loans to pay for your bike. However, it might be difficult to acquire a bank loan if you don't have good credit standing. Before approaching the banks or credit unions, make sure you fix your credit first.

Online lenders: Motorcycle online lenders usually offer quick approval for their loans and you don't need to have good credit. You can get approved as long as you have income proof. We recommend having a larger down payment to have better interest rates.

Advice for New Motorcycle Borrowers

Whether you are a new rider or a seasoned motorcyclist, don't forget to do a test ride first before deciding to purchase. If you don't have a larger down payment, consider getting a used bike instead. You can also consider going for a lease to have lower monthly payments. The only downside is that you don't get to own the motorcycle in the end.

Contact Us Today

Are you looking to get a motorcycle loan? Talk to us. We do offer motorcycle financing for our clients. Get in touch and we'll also help you make an informed decision on which motorbike to pick.