Probably you’ve just got a new job, you’re excited and can’t wait to begin, but it’s an hour away. The only way you can reach there is by bus, which takes about two hours. This isn’t a suggested way to get there.
Now the need for a two-wheeler arises. This is the best way to get to work and save time travelling daily. But what do you do when you can’t afford a motorcycle?
The two options to finance the loan
When you’re hard on cash and can’t afford to buy a motorcycle on your own, getting a loan might be your best option. Getting a motorcycle loan is a personal loan, and there are two options to obtain one, they are:
• Secured motorcycle loans
If you’re getting a secured loan, your motorcycle will be used as security. This means that the bank/ lender has the right to take the bike and sell it if you don’t pay them.
But this option is only given when you use the loan to purchase a new bike. Many lenders provide the option to pay the loan early, reducing the overall interest you pay.
• Unsecured motorcycle loans
You will have to get this type of loan if you buy an old bike. It’s a personal loan that serves the purpose of allowing you to buy a motorcycle.
What can a motorcycle loan be used for?
When you get a motorcycle loan, you can use it to pick from various bike options. Some of them are:
• Dirt bikes
Are you eligible?
All lenders have their own eligibility criteria when you apply for a motorcycle loan. The most basic criteria require that you are:
• 18 years or older
• A citizen of the country or on a residence visa
• Employed and getting a stable income
What should you consider before getting this loan?
Though it seems like getting a loan to buy your bike is the best option, there is a chance it’s not. Before you go ahead with actually getting one, you should consider these points-
• Getting a bike you can’t afford
After you buy the motorcycle, you will have to make many more payments. You’ll have to pay for petrol, servicing, insurance and more. So you’ll have to consider whether your income will be enough to cover all costs.
• Rushing into the decision
Take time to really think about this decision before you go ahead and get the loan. Rushing into this purchase could lead to you compromising on your budget or the quality and safety of the bike. It’s better to weigh the options and go for a test ride before you choose the bike.
Getting motorcycle finance might be a little hard if you aren’t eligible to get one. But there are so many lenders available, and surely someone will be able to help you out. Make sure that you properly consider all factors before you get the loan.
Also, when you’re buying an old bike, make sure to get it checked by a mechanic and take it for a test ride.