The benefits of financing are many and varied. It can help you spread the cost of your new bike over time, giving you more freedom to use your cash for other things. You can also choose a repayment term that suits you, and if you’re self-employed, it boosts your chances of getting approved for credit in the first place. If all this sounds good, read about why motorcycle finance is worth considering.
You can pick your repayment term.
One of the benefits of financing is that you can pick your repayment term. This means you can choose a term that suits your budget and then pay off the loan early if you want to save on interest by paying it back more quickly.
Alternatively, if you don’t have enough money to get a bike outright but want one anyway? You could opt for a longer repayment period so that the cost spreads over more years and lessens its impact on your monthly budget. And if this all seems too difficult, another option exists: find friends who love riding bikes as much as you do!
It lets you buy a better model.
With credit card finance or hire purchase, you would have to pay interest on the money borrowed and pay back an inflated price for the new bike. Motorcycle finance is different—you still have to pay interest on what you borrow. Still, instead of paying more for your motorcycle than it’s worth when using finance, your payments will be based on its actual value as determined by independent market conditions at the time of purchase.
You can keep your cash free.
If you’ve been thinking about buying a motorcycle, you likely have some spare cash lying around. Motorcycles are expensive, so saving up takes a lot before purchasing them. However, if you’re looking for ways to save money on your new bike purchase, then finance is the answer!
Financing allows you to get your hands on a brand-new motorbike without losing any extra cash upfront. This means that instead of using all your savings on one thing, they’ll be free for other things like paying off debts or going on holiday with friends and family.
If you’re self-employed, finance could boost your chances of approval.
If you’re self-employed, finance could boost your chances of approval. The same is true if you work for a small business. If you run a freelance business or own a small shop and make enough money to meet the requirements, then finance can be an option for you. This is because banks will often offer better interest rates (or lower interest rates) to self-employed people than employees who work for someone else.
It’s important to note that sometimes this works in reverse: those who larger corporations employ may be able to borrow more money than those who are self-employed or work for smaller companies. It all depends on how much income has been reported on their tax returns and whether they have any outstanding debts, assets worth mentioning or bad credit history that would affect their ability to get approved by lenders.
Finance is more flexible than hire purchase.
You can repay the loan early or more than the minimum payment with finance. You can also choose to pay less than the minimum payment, which is great if you’re short on cash but still want to make some effort to keep your credit score in good standing. And finally, you can call it quits and cut your losses at any time without penalty—don’t forget about that interest!
In conclusion, motorcycle finance is a great way to buy a new bike without spending all your cash upfront. You can spread the cost, choose your repayment term to suit your budget, and keep your cash free for other expenses.