Embarking on the journey to buy a new motorbike is usually the start of a very exciting experience. Making your list of possibles and probables, different makes and models and thinking through how each will work for your lifestyle and meet your two-wheel travel purposes. A motorbike is a considered purchase and deserves in-depth consideration of many aspects. If you plan to take out finance to make that purchase, then equal consideration should also be taken of the loan side of the purchase. There are a number of actions that motorbike buyers can take in preparing to apply for a motorbike loan which can contribute to a cheaper loan offer and a faster approval process. Both highly desirable outcomes for those seeking a bike loan.
Review and Repair Credit Rating
There are many lenders in the consumer finance market – banks, finance companies, non-bank lenders and broker-style lenders such as Jade Bike Loans. While differences prevail in regard to interest rates, loan features, lender approach and other aspects of how they operate, there is one constant. When assessing consumer loan applications, the credit rating and profile of the loan applicant forms an essential part of the process.
So if you think you may have issues with your credit score, possibly been late with payments of bills or other loans or have had some problems in the past, then prior to applying for a loan is the time to address this.
Get a copy of your credit report, which is available free of charge, and see what is included and what can be fixed. Information can be sourced at MoneySmart, a Government website which provides details on how credit scores and credit profiles.
Other ways which can improve a credit profile are:-
- Pay down debt by paying out other loans if possible
- Reduce credit card balances
In general terms, the less current loan commitments the better the credit score/rating.
Assemble Financials
Access a consumer loan application form which you can source from Jade Bike Loans, to see what information, details and data you will be asked to provide. Knowing what to expect can remove any surprises and give you the chance to prepare and source the docs and historic details that you will need ahead of time. Trying to remember on the spur of the moment the name of an agent/landlord for where you lived 5 years ago could be a stretch!
Docs and details around:-
- Income and employment history – payslips, tax returns etc
- Residential history – possibly details re landlord, rent paid etc
- Assets including cash and goods – bank statements etc
- Regular expenses, costs of living etc
- As most transactions are done via electronic transfers and cards, download recent bank statements for those card accounts
Prepare your own rough budget to get a good idea of what you feel you can comfortably afford in new bike loan repayments so you can brief our consultants or other lenders to source loan quotes.
Remember that when buying a bike with finance, the lender will require you to take out an insurance policy. Don’t forget to allow for this when preparing your budget. Many policies can be paid monthly rather than annually and as such can be more easily budgeted for.
Matching Model Choice with Loan Repayments
Price tag doesn’t mean that much when buying a bike with finance. The more significant figure is likely to be the monthly repayment. That’s the amount you are going to have to meet every month for the term of the loan.
There’s little point in proceeding with discussing price on a model if the repayments on the loan are beyond your affordability. On the other side of that coin, with the cheap interest rate loans we can achieve on motorcycle loans, that higher-priced model may be more affordable than you think.
So before making the purchase decision, add our Bike Loan Calculator to your buying toolkit. This is a great tool for quickly getting rough repayment estimates for as many bikes as you want. Just enter the price, remembering to include an allowance for on-roads, rego etc, select the loan term you would prefer and automatically a loan repayment estimate is displayed.
Great way to match bike model dreams with repayment realities!
Seek Professional Loan-Sourcing Assistance
There are many lenders in the motorbike loan space. Not all will actually list a specific motorcycle loan but most will have a general Personal Secured Loan which would cover motorbikes. With such a wide variation in interest rates and even the type of loan, it can be a challenge to and time-consuming to narrow down the market to what is best for you.
Engaging the services of a finance broker such as Jade Bike Loans instantly cuts through and cuts out many of these issues. With our vast lender accreditations and sharp negotiating skills, we can quickly and easily source and bargain for the best loan that suits your individual requirements.
Before approaching the actual loan application process, feel free to have an obligation-free discussion with our team about how we can assist you before, during and after applying for your motorbike loan.
To discuss how we can assist bike buyers looking to apply for a loan, contact Jade Bike Loans at 1300 000 003
DISCLAIMER: IN REGARD TO ANY ERRORS OR MISREPRESENTATIONS IN THIS MATERIAL, NO LIABILITY IS ACCEPTED. THE DETAILS, CONTENT AND DATA ARE PRESENTED PURELY FOR GENERAL INFORMATIONAL PURPOSES FOR MOTORBIKE BUYERS AND THOSE SEEKING MOTORCYCLE LOANS. THIS IS NOT INTENDED AS THE SOLE SOURCE OF INFORMATION FOR FINANCIAL DECISIONS. IF SPECIFIC ADVICE IS REQUIRED AROUND FINANCIAL DECISIONS, READERS SHOULD SEEK THEIR OWN FINANCIAL ADVISOR.
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