Guide to Financing a Motorcycle

Financing a motorcycle is a lot like financing any other kind of vehicle. You must follow a similar process because it is a similarly large and expensive investment. There are other financing options open to you if you cannot afford to buy a motorcycle with cash. However, consider what you can afford in the long-term without issue. Having an idea about your finances is a smart first step to buying a motorcycle. If you want to discuss financing options in person, check out St. Charles Harley Davidson in St. Charles, Missouri. Our staff is here to help customers from St. Louis and St. Peters, Missouri.

Credit Check

Just like when you are looking to finance a car, you will have your credit checked. Lenders conduct credit checks to see if you are a worthwhile risk. A person with a lot of debt may be considered too risky for someone to lend a large sum of money. Or, a lender will be able to offer you a loan at a high-interest rate that would be a bad investment on your part.

Dealership Financing

If you are not able to pay cash for a motorcycle, you do not have to despair. A lot of dealerships will provide a range of financing options to their customers. Dealerships will have a lot of different lending options. Always look over the interest rates and other terms of an agreement carefully. 

Manufacturer Financing

Even motorcycle manufacturers offer different programs to help customers finance a new bike. You can sometimes find these programs on new models or models that have not been as popular as expected. You can also ask a dealer if they have bikes with original equipment manufacturer loans on them. However, original manufacturer loans are only an option for a new motorcycle. 

Bank Loan

If it is possible, your best choice is to seek out a bank or credit union loan. Your local bank will be able to offer the most agreeable terms but research a little before choosing one. 

What Not to Do

While some financing options are better than others, there are two options you should always avoid. Never use your home or any other major piece of property as collateral for a loan. This type of financing is a dangerous choice. Also, never purchase a motorcycle using a credit card. 

Stay realistic when shopping around for financing options for a motorcycle. You can enjoy your purchase a lot more if you do not have the burden of a huge loan. Visit St. Charles Harley-Davidson, and our staff can offer personalized assistance. Our dealership, located in St. Charles, Missouri, welcomes customers from St. Peters and St. Louis, Missouri.