Can I finance a motorbike?
Are you eyeing a motorbike in the showroom but wondering if your wallet can handle it? Financing a motorbike might just be the solution you're looking for. Let's dive into the world of motorbike finance and answer some common questions.
Can I get finance for a motorbike?
Yes, you can! At Car Finance 247 we could find you a great deal from our panel of trusted lenders. Whether you’re after a sleek 125cc or sturdy 1000cc, we’ll help you find finance for your dream two-wheeler.
Motorbike finance loans simply work much like car loans, where you borrow money to purchase the bike and then pay it back over time with interest.
How does financing a motorbike work?
Financing a motorbike works similarly to financing any other big purchase. You apply for a loan, and get approved based on your creditworthiness, amongst other factors. You then make regular payments over a set period of time until the loan is paid off, along with any accrued interest.
Here’s it broken down in steps:
Apply for a no-obligation quote and get a response in minutes.
If your loan application is approved, your dedicated account manager will give you a call to talk through your loan options.
You choose the bike you want from any reputable UK dealer and let us know.
We do the admin and paperwork for you.
You drive away happy.
Is it worth getting a motorbike on finance?
Yes, for many people, getting a motorbike on finance is the best option for getting on the road. It can be especially worth it if you're unable to pay the full price upfront.
Financing allows you to spread the cost over time, making it more manageable. Just remember to consider the interest rates and fees associated with the loan to ensure it's a good deal for you.
Here are some points to consider:
Affordability: Can you afford the monthly payments comfortably within your budget? While financing allows you to spread out the cost, you'll still need to ensure that the payments fit comfortably within your monthly expenses.
Interest rates and fees: Consider the interest rates and any additional fees of the finance agreement. A lower interest rate can make financing more affordable in the long run.
Total cost of finance: Calculate the total amount you'll pay over the loan term, including interest. Compare this to the cash price of the motorbike to determine if financing is cost-effective compared to paying upfront.
Value retention: Evaluate the motorbike's depreciation rate and resale value. Some models hold their value better than others, which can affect your ability to recoup costs if you decide to sell the motorbike in the future.
Do you need a good credit score to finance a motorbike?
While a good credit score can certainly help in getting better terms and rates, it's not always a strict requirement.
We work with lenders who specialise in bad credit finance, so don’t let that hold you back!
To get a good idea of the loan deal you could be offered, use our car finance calculator and select which credit score best describes yours.
Is bike finance easy to get?
The ease of getting bike finance depends on various factors such as your credit score, income, and financial history. Generally, if you have a good credit score and a stable income, you're more likely to be approved for finance.
But don’t worry if your credit score is less-than-perfect. Some of our lenders have great options available for those with a bad credit score, or have been refused finance elsewhere.
Can I finance a 125cc motorbike?
Yes, you can finance a 125cc motorbike just like any other bike. The size of the motorbike typically doesn't impact your ability to secure finance. Whether it's a 125cc, 250cc, or larger model, you can find lenders who offer finance for various motorcycle sizes.
As long as you meet the lender's criteria and can show your ability to repay the loan, you should be able to finance a 125cc motorbike without difficulty.
However, it's worth noting that some lenders may have specific requirements or restrictions based on the type or age of the motorbike. So it's a good idea to check with lenders about their financing options for 125cc motorcycles specifically.
What do I need to finance a motorbike?
To apply for a motorbike finance loan, you'll need to be 18 or older. You’ll also typically need to gather several documents and meet certain criteria. Here's a checklist of what you may need:
Full UK driving license: You’ll need to provide a valid form of identification, such as a UK driver's license, passport, or national ID card, to prove your identity.
Proof of income: Lenders will want to ensure that you have the means to repay the loan, so you'll likely need to provide proof of income. This could include recent pay slips or bank statements.
Proof of address: To get a motorbike loan with us, you’ll need to show three years’ address history in the UK.
Down payment (if applicable): Depending on the lender and the terms of the finance agreement, you may need to make a down payment. The amount of the down payment can vary and may affect the terms of the loan.
Insurance information: Most lenders will ask you to have insurance coverage on the motorbike to protect their investment. Be prepared to show information about your insurance policy or arrange for coverage before finalising the finance agreement.
I have motorbike finance with First Response. Can I get car finance?
It would be unlikely that First Response would give you another loan on top of an existing motorbike finance agreement.
However, there is a chance that one of our other lenders may be able to help. Please make an application and once approved, you can choose a car from any reputable dealer.
Can I get a motorbike on finance without a licence?
No, to get a motorbike on finance from one of our lenders, you must have a full UK or EU motorcycle licence.
Can I finance a motorcycle with a 500 credit score?
500 is considered a low credit score. However, while it may be more challenging to get finance with a lower credit score, it's not impossible. Just bear in mind you may have stricter terms and have to pay back more interest.
At Car Finance 247, some of our lenders specialise in providing finance options for all kinds of financial circumstances, including bad credit. Don’t let that put you off from applying. We run a soft credit check first and foremost, and this won’t harm your credit score.
Can you pay off bike finance early?
Yes, you can typically pay off your bike finance early in full, if you have the means to do so. This is called a settlement figure.
Usually, the quicker you can pay off your loan, the less interest you’ll pay. However, some lenders may charge early repayment fees or penalties, so it's important to check the loan terms beforehand.