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Risk-Free Motorbike Finance

If you want to purchase a motorcycle and need motorbike finance at decent rates from a company that you can trust, BIB Finance can help! 

2019-05-21

How to Get Motorbike Finance Without the Risk

If you are a motorbike enthusiast, you probably have an emotional connection to your motorbike. People often buy motor vehicles rationally and based on their utility and practical value; a couple with four kids will usually not opt for an impractical sports model and a single person looking for sporty transport will certainly not invest in a 7-seater minivan! Motorbikes, however, are passion projects. People who love them buy them, and they are usually seen as an indulgence. After all, they are not meant for transporting passengers in bad weather. 

Motorbikes can be very expensive, so it may be necessary to secure motorbike finance even before you start looking at bikes to purchase. The problem with being emotionally invested in something is that you sometimes want something you cannot really afford. In order to avoid this, it is essential that you apply for motorbike finance before you start looking, so you have a solid idea of how much you can spend. You have to be realistic when it comes to motorbike finance, and while there are some great deals on offer, it is still best to save up for a large deposit in order to keep the monthly instalments low. And stick to your budget!

Motorbike finance is similar to car finance, but there are differences. In both cases, you must borrow money to finance the purchase of a vehicle that costs more than you can afford in cash. Both are moveable assets and must be secured against another asset. The company where you apply for motorbike finance will carry out an analysis of your current financial status and determine your creditworthiness. Borrowing money for anything constitutes a risk, and the lender has to be sure that you will be able to repay the loan.

Finding the Right Financier for Your Motorcycle Finance

Most motorcycle dealerships offer their own finance products. They often partner with financial-services companies to arrange finance on the spot, while the buyer is at the dealership. It is just so easy to apply through the salesperson at the dealership. One may only have to wait a few minutes for approval from the finance company. People like using this option, because they are on the shop floor, they have seen the motorbike they want, and they are in a state of high excitement to buy it as soon as possible. While it can be very convenient, you should not necessarily expect the best deal from these companies. It is best to do your homework first and look at the deals and interest rates that a variety of motorbike finance companies can offer you. The best is to do all of this before you enter the showroom so that you know how much you have available to spend and is assured that you are getting the best deal on your motorbike finance. 

It is common for the motorcycle manufacturer to offer finance in the same way that most vehicle manufacturers offer finance on their vehicles. These options, however, may be limited to brand-new motorcycles or form part of special promotions or deals at the launch of a new model, so they offer deal sweeteners such as paying no deposit or including a service plan. But take note that most manufacturers will inevitably claim back the cost of these “discounts” in their interest or repayment structure. 

Mistakes to Avoid with Motorbike Finance

Consider what you are using to secure the loan. If you can avoid securing the financing against your home, do so if at all possible. Never buy a motorbike on your credit card either, because repayments and interest rates on credit cards are extremely high and you may end up paying a great deal more than you intended or expected. Of course, the best way to buy anything is still cash, but because motorbikes can be so expensive, this is not always possible, especially if you want a brand-new one. 

If you want to purchase a motorcycle and need motorbike finance at decent rates from a company that you can trust, BIB Finance can help! Contact us today to find out more about our affordable rates and reasonable deals on financing, and you might be riding your new motorbike off the showroom floor before you know it.