So, you’ve decided to take the plunge into getting a new motorbike, or maybe you have decided to trade in your trusty steed for a newer version.
Your decision to get a bike loan for your new pride and joy will probably be in the top 3 biggest financial decisions that you will make over the next few years, so it’s important that you get it right.
Technology has made it so easy to apply for a bike loan online without even leaving your home or office. Sometimes people don’t even realise they are actually applying for a loan rather than just enquiring about a motorbike loan online. Applying for a bike loan with too many financiers can greatly affect your chances of being approved by any lender. Credit reporting agencies can now make note every time a financial institution checks your credit history. If you’ve applied for multiple bike loans recently, financiers are likely to consider you to be a high risk and decline your application.
You can obtain a copy of your credit report to see what information it holds about you and also to see what the financiers can see. In the meantime, only make an application for a loan once you are happy that your chosen financier is going to offer a competitive bike finance rate. We can’t stress this enough, the worst thing you can do is to make multiple applications at one time. Read more about knowing your credit file intimately and why it’s important to your financial future.
When choosing the best loan term, some things to consider are how long you will be keeping the bike for and how much you can afford to pay each pay period. Once you have the answer to these questions, it is important to speak with someone that can help you calculate what the repayment will be over the best loan term for you. Don’t fall into the trap of just taking the loan out over the longest loan period possible. If you can afford a shorter loan term, then why not take that? This will save you plenty of interest and keep you hard earned cash in your bank account.
It’s true, new bike loans can sometimes be easier to get that approval that you are looking for over a used bike loan. If the repayments for a new bike fit within your budget then it may work in your favour to get a better overall bike loan deal and walk away with manufacturer warranty for years to come. Finance companies see older motorbikes as harder to sell if things go bad and as such think of them as a higher risk. You can still have your bike loan approved for an older bike, but history tells us that it can be a lot easier to get approved for a brand new bike.
You can certainly have an influence on the turnaround time for your bike loan approval and help your chances of getting your loan settled fast. There are some items that you can get together and have ready for when you make your application that will speed up the process for you. Having your pay slips, ID and knowing your last 3 years employment and residential history will be a great head start. If you can show you have regular employment and have the capacity to save money you will be highly regarded by most financiers.
This one is a no brainer, but it surprises us how many times we speak with clients that don’t know a lot about their current loans. We get swept up in the emotion of riding away with a new bike that the fine print gets overlooked. Not all financiers are the same, and as such this also means that not all banks are the same. This is why it’s very important to speak with someone that can help you compare your bike loan options to ensure you are getting the very best deal on the market today. Financier’s appetites for deals change every month, so it is important that you speak with someone that has their finger on the pulse. It’s never wise to rush into any long term financial commitments without taking the time to speak with someone that can give you obligation free advice about all of the possible bike loan options. If you are patient and do your homework, you could secure yourself a better bike loan than you originally thought possible.
Fox Finance Group is one of Australia’s leading personalised financial service organisations. We have spent many years getting things right so that you can rest assured that you are getting the very best financial advice available on the market today. We work for you, not the banks, plus we can have a loan pre-approved ready to go the same day!
As a Fox Finance Group Client, we understand your passion for motorbikes. With us, you have access to your very own Accredited Bike Loan Specialist along with access to your very own Qualified Financial Planner. Our team comprises of specialists with many years’ experience in Bike Loans, Home Loans, Bike Loans, Boat Loans, Jet Ski Loans, Camper Trailer and Caravan Loans, Truck Loans, Personal Loans, Business Loans, Insurance, Financial Planning and more. Yes, we have a large team here at Fox Finance Group ready to help you.
We pride ourselves on the unique personalised service that we provide our Clients. Your Bike Loan Specialist can help you either over the phone, via email, at your home, at your work or at your own business. You get their direct email address and mobile number, which makes it easy for you to stay in contact with them when you have questions.
If you are keen to learn more or you are ready to act now, you can contact us on 1300 665 906 or you can get started here.
Learn more about the Author Nathan Drew.
Nathan joined Fox Finance Group in 2018 to help drive the strategic growth of the business and also help build on the solid foundations that have held strong in the business since 2006.