Same Day Motorbike Finance Approvals
You may have noticed that with some finance companies, you can only use the money that you have been approved for to buy a motorbike from a registered dealership. Ever wondered why that is?
It sure can limit the choices you have when it comes to buying your next motorbike. In today’s age, most people are getting their motorbike finance pre-approval set up before heading out to buy their new pride and joy so having their choices limited to what is sitting on a Dealer’s showroom floor at the time can be frustrating. You might also find that you can get a better deal on a similar motorbike that you find advertised by a private seller.
If you want a bike loan to buy a used motorbike from a private seller then you need to make sure that the people that you have on your side helping you get the right motorbike finance have the right financiers on their panel to offer you the best bike loan options available on the market. Typically, bike finance lenders fall into one of three categories:
- Those that will only offer you a secured loan to be used when you buy from a motorcycle dealership.
- Those that will offer you a secured loan for a dealership bike, or an unsecured loan with a higher interest rate for a private seller’s motorbike.
- Those that offer you loans with attractive interest rates, whether you want to buy privately or from a dealership. The team at Ask4Finance deal with a number of financiers that fit into this category.
Why Are Private Sale Motorbikes Treated Differently?
Most financiers that will look at doing motorbike finance have restrictions for one simple reason, and that is that private sales are viewed as a riskier transaction for them. Understanding their reasons will help you to decide which financier is the right one for you.
Finance companies are always concerned with risk. With any finance purchase, the risk is that the customer may fail to make their repayments, in which case the company needs to recover its money somehow. With a dealership motorbike finance package, the bike itself is the security for the loan, and there is a strong paper trail for the purchase.
In this circumstance and in the financier’s eyes the value of the motorbike is more assured, plus the dealer must have a Motor Dealers Licence in order to operate. In a financier’s opinion this helps reduce the risk and lends them to be more open with their lending which includes opening up to lower rates and sometimes more flexible lending options for the customer.
With a private sale motorbike, it’s harder to know that the seller is genuine and that the motorbike is legitimately in full working order and not modified. There’s less assurance that the lender will be able to recover the money if the customer fails to make repayments.
How Can This Affect Your Interest Rate?
If you want to buy your motorbike privately, some companies will only offer an unsecured personal loan, which can come with a much higher interest rate. They do this to offset the risk of the private vehicle sale. They may also request to take additional security over something else that you currently own, for example your car.
At Ask4Finance, we have a number of financiers that are willing to offer our customers very competitive interest rates on a normal secured loan contract, even if you are buying your motorbike privately. There are some verifications and checks that need to be performed by us in this scenario but that’s just part of our job and part of the normal process that we work through everyday.
So Here’s Our Pitch
Ask4Finance is one of the largest writers of motorbike finance in Australia today. We have specialists that deeply understand motorbike finance, car finance, jet ski finance, boat finance, camper trailer finance, caravan finance plus insurance and warranty options. We have access to over 20+ lenders and can also help you find the right motorbike or any other vehicle for that matter throughout our trusted network of Dealerships and Wholesalers.
With Ask 4 Finance you get access to your very own experienced Finance Broker from the start. Your personal Finance Broker is available to you 24/7. You get their direct email address and mobile number, which makes it easy for you to stay in contact with them if and when you have questions.