COMPETITIVE MOTORCYCLE LOANS
COMPETITIVE SCOOTER FINANCE & SCOOTER LOANS
COMPETITIVE
MOPED FINANCE &
MOPED LOANS
Looking for a competitive
motorcycle loan, competitive scooter loan or
competitive moped loan ; here at inter-bike we know (cause
we're bikers too) that raising the necessary
competitive motorcycle loan to
purchase a motorcycle, scooter or moped can be a
major headache, irrespective of whether your looking
for new or used motorcycle financing. If your new to motorcycling and
purchasing that first bike be it a scooter, moped or
motorcycle, or upgrading your existing motorbike,
scooter or moped for a larger or newer model or even
purchasing a second machine, raising the required competitive motorcycle finance or a
competitive motorcycle loan (or competitive scooter
finance or competitive moped finance) could be the
key to owning your new machine.
The old fashioned way was slow: Not
very long ago, obtaining affordable motorcycle finance could be
difficult. Applying for the motorcycle loan meant
going to the bank, completing lots of
paperwork and hoping that sometime in the next week
or two they might approve your motorcycle loan
( or scooter loan or moped loan) and in the meantime
you had to wait and wait... and hope.
Now it can be faster and easier to obtain
online motorcycle finance (or by phone) : Times
have changed for the better! Many loan companies,
finance houses, banks and building societies offer
online financing for your motorcycle, scooter or
moped purchase. Hassle free motorcycle loans
and fast approval motorcycle finance is now a
reality, with online motorcycle loan
application forms or telephone loan applications you
can know in minutes if you are motorcycle,
scooter or moped
loan has been approved. Yes minutes!
Just click on the many links above to some
of the UK's leading competitive motorcycle loans providers
and competitive scooter finance providers and you could know
TODAY if you can buy that dream motorcycle,
scooter or moped. Do you really want
that motorcycle? Then stop waiting and apply today!
Further check out our
free comprehensive motorcycle
finance guide below to which should help put you
on the right track to getting a competitive
motorcycle loan that's right for you.
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Financing your competitive motorcycle loan.
Today many people are unable to purchase their
motorcycle, scooter or moped outright. Many now
look to the web for competitive online motorcycle
finance.
Many finance companies do not usually require a down
payment or application fee. To cut down the cost of
your motorcycle or scooter loan it is best to put down a
payment or deposit against the bikes's value
and arrange the motorcycle or scooter loan to cover the
balance. The repayment periods can range from 12 to
36 months and or even longer, up to 72 months,
usually dependant on the size of your loan. However, the longer the loan term, the more
you will pay in loan interest but a 60 or 72 month
loan term can make your monthly repayments smaller
and more affordable than the monthly repayments on a
24 or 36 month loan period.
Are there any other charges other than the
interest?
You should always find out the following
before signing your motorcycle finance agreement-
- Is there a loan or finance set-up fee?
- Is a loan down payment required?
- Are there any extra charges at the end of
the loan period?
- Are there any extra charges for paying the
loan off early (early settlement penalties)?
- Are there extras being charged for (which
you may or may not want depending on your
circumstances) e.g.:-GAP (Guaranteed Asset
Protection) or payment protection insurance?
- Is the interest rate you've been quoted the
APR (annual Percentage Rate) or the flat rate?
Benefits of arranging your motorcycle finance
online.
The APR is usually lower and thus more
competitive for on-line motorcycle
loans and approval times are generally much shorter,
which can be important if your trying to secure that
dream bike! Without leaving your home or work you
can get, from many on-line lenders, a response for
your motorcycle loan application in as little as 15
minutes!
How much to borrow?
Make sure when you arrange your motorcycle
finance
to make sure you've borrowed enough to cover that
required for your motorcycle purchase and those
added costs which will occur, such as road tax,
motorcycle insurance, warranties, loan insurance,
service contracts etc., Consider your monthly
financial budget and make sure you will be
able to pay the loan repayments easily. Larger
loans can have a preferential interest rates or
lower interest but don't get a motorcycle, scooter
or moped loan larger than you
need or can pay back comfortably!
Why it may not be a good idea to arrange your
motorcycle loan or scooter finance via the
motorcycle or scooter dealer.
Dealer arranged motorcycle or scooter loans are
often at a marked up price. This is because
many motorcycle dealers sell the motorcycle
financing contract to another banker or lender. To
add to the motorcycle dealers profit on your motorcycle
or scooter purchase, they can often increase their profit they often simply add
a few extra interest points before selling the loan.
By going to a separate finance company you can cut
out the expensive middleman and potentially save
yourself a lot of money.
With your motorcycle loan or scooter
loan cheque in hand you will
have the same power as a cash buyer. You will have
more power to negotiate a deal with the motorcycle
dealer who will know you are a serious buyer and not
someone just window shopping!. The motorcycle dealer
will know that he or she will be able to sell
a motorcycle or scooter that day if they can agree a deal
with you. An already arranged motorcycle loan or
scooter loan could be just the extra
bargaining tool you need to get a better price and
secure that dream motorcycle, scooter or moped.
Often motorcycle dealerships will give you a
higher interest rate because of 'bad credit'. If you
take out motorcycle financing with them they can
often use non-standard consumer reporting agencies
which could give you a lower credit score than that
which is reported by the major agencies when
reviewing your motorcycle loan application. By
obtaining your motorcycle loan from a separate
company your credit score will be checked by
leading consumer agencies, giving you a more
accurate credit report, which should lead to a
lower interest rate and hence a more competitive
motorcycle or scooter loan, saving you money. Remember it
is always important to check your own credit report
before applying for motorcycle financing, so you
don't give them outdated or wrong information,
incurring higher interest rates.
The loan terms a motorcycle dealer may give
you can be more restrictive than those arranged from
open market motorcycle loan lenders. Motorcycle
dealers usually offer more inflexible terms when you
borrow via them like secured down payments, shorter
length of time to pay it off, meaning the payments
are higher and some loans may be restricted to older models of motorcycles that the dealers are having a
hard time to sell. By using an open market lender
you will have more flexible terms, longer to pay the
loan off and usually lower interest rates, saving
you money, which is what you want when arranging a
competitive motorcycle or scooter loan! |
Obtaining competitive motorcycle finance rates.
The following
are the factors that have a bearing on the final rate of
interest that you will pay on your motorcycle finance:
- Your credit report score - Lenders for
motorcycle finance usually rank your credit history as the
most important factor in setting your motorcycle finance
rate. The higher your credit score usually the less you
will have to pay in finance interest rates.
This makes it very important for you to check your own
credit rating before applying for a motorcycle loan,
as any outdated or incorrect information could mean you
will be paying higher interest rates on your motorcycle
loan rather than more competitive motorcycle loan interest
rates.
- The loan term - The longer repayment
period you have your motorcycle loan or
scooter loan for the more
interest you will end up paying. Whilst motorcycle
loans taken out for 60 months may have a lower monthly
interest rate than a 36 month loan, the overall interest
total will be larger for the 60 month loan.
- The price you pay in total for the motorcycle and
any dealer add-ons-
The motorcycle purchase price - fully
research the market price for the motorcycle, scooter or
moped you intend to purchase. Know how much the
motorcycle, scooter or moped you intend to buy is
actually Don't pay to much for the motorcycle of
your choice either from a private seller or a
motorcycle dealer as this will have a great effect on
your monthly motorcycle loans payment, as you could end
up having to borrow more to finance the higher price.
Buying a new motorcycle - Try and determine
what the dealers cost (the price he paid) for the
motorcycle is? The ideal sales price is somewhere in the
dealers purchase cost between that and the sales price
(the price they are trying to sell it for), because
obviously the motorcycle dealer still needs to
make a profit from his sale. It is important to
know this if you can because you will be able to tell if
the motorcycle dealer is trying to make a huge
profit from the motorcycle, and if you have room to
negotiate with them over the price and hence
lowering your motorcycle finance repayments.
Buying a used motorcycle - If you are going to
buy your used motorcycle from your local motorcycle
dealer they may price it at the highest listed retail
value they can which includes the cost of reconditioning
the motorcycle at the motorcycle dealers expense. A
private seller may price their used motorcycle at the
highest "Private Party Value" regardless of the
motorcycle's condition. To reduce the amount you pay for
your motorcycle, and ultimately your motorcycle loan, become
knowledgeable on the condition and price of motorcycles
being sold in your area, so that you can get a fair idea
of how much is a reasonable selling price for a used
motorcycle. Sellers will normally assume that you will
try to negotiate with them over the selling,
hence their asking prices will be higher than they
expect to get, so adjust your offers accordingly.
Dealer add-ons -Many fees and options that
motorcycle dealers add to a new motorcycle's asking
price you may not need to pay for, as all they do
is increase your motorcycle loans total value.
Some of these options may include a setup or
assembly charge, freight expense, paint sealant, dealer
advertising association holdbacks, sales promotion fund
etc Shop around various motorcycle dealers to look for
the best price and also get to know which items
should be included in the asking price and which should
be removed.
Glossary of Terms
Please note these definitions are for guidance only. For
full definitions please refer to your loan document or
lender.
- APR (Annual Percentage Rate) - A
standard method of calculating how much the loan
will cost you over the full period of the loan
expressed as an annual percentage rate.
(The cost of a loan being interest,
loan insurance and all other fees.)
- Credit Score - A measure of credit
risk calculated from a credit report using a
standardised formula. Factors that can produce a
low a credit score include late payments,
absence of credit references, and unfavorable
credit card use. Lenders may use a credit score
to determine whether to provide a loan and what
rate to charge.
- Flat Rate -The monthly interest rate
charged. Be careful, the flat rate is not the
true cost of the loan. Make sure you are told
the APR, the flat rate can be as little as half
the APR so it looks much cheaper.
- Fixed rate loan -A loan in which the
interest rate does not change during the entire
term of the loan. For an individual taking out a
loan when market rates are low, the fixed rate
loan would allow him or her to "lock in" the low
rates and not be concerned with fluctuations. On
the other hand, if interest rates are
historically high at the time the loan is
taken out , he or she might benefit from a
variable rate loan, because as the market rate
falls to historically normal levels, the rate on
the loan would decrease.
- Variable rate loan - Any interest
rate that changes on a periodic basis. The
change is usually tied to movement of an outside
indicator, such as the Bank of England base
rate. Movement above or below certain levels is
often prevented by a predetermined floor and
ceiling for a given rate. For example, you might
see a rate set at "base rate plus 2%". This
means that the rate on the loan will always be
2% higher than the base rate, which changes
regularly to take into account changes in the
inflation rate.
- Secured loan - A loan backed by
a pledge of collateral such as you bike or home.
The lender can repossess the collateral pledged
if you fail to pay the money owing under the
loan.
- Unsecured loan - A loan that is not
backed by collateral loan, that is the lender
has no security against the loan.
- Hire Purchase - Under a Hire Purchase
agreement the lender owns the motorcycle,
scooter or moped. The customer purchases the
bike over an agreed loan period with monthly
repayments. A deposit is usually required and
the finance is usually secured on the motorbike,
scooter or moped itself. At the end of the
repayment period they may be an additional fee
to pay before the bike is legally yours.
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