To find the right used motorcycle loan, you must not only compare the best motorcycle loan offers but also know who to contact. We will also see that depending on the price, there are several options for obtaining a used motorcycle loan.
A used motorcycle loan, is it interesting?
Whatever the brand, Yamaha, Kawasaki, Harley Davidson, a new motorcycle quickly loses its value and after a year on the road, it loses on average 25% of its value according to www.lerepairedesmotards.com.
Sales of used motorcycles were rather good in 2016 with 569,570 sales of 2 wheels according to France Racing. Sales of new motorcycles rose 7.5% to 151,759 sales, including 47,239 scooters.
Second-hand motorbike credit is a generic term that overlaps as much with a scooter, quad credit, a vehicle with 2 or 3 wheels… This is also the reason why in our comparator, to obtain a comparison of second-hand motorbike credit, choose the type of project “Used car loan + 2 years”. In fact, this type of “generic” credit, in reality, makes it possible to finance any type of vehicle, from a motorhome, via a boat, to the second-hand motorbike loan, as we will see later: a used vehicle loan.
Used motorcycle loan vs new motorcycle loan
The used motorcycle loan is generally less attractive in terms of rates than the new motorcycle loan. The main reasons are:
- For a professional seller, the margin made on a used motorcycle is generally lower than that made on a new motorcycle. Indeed, on a new vehicle, the dealer has more facilities to offer a very attractive credit (even at 0% in times of credit promo rate but beware of traps !!) in order to close the sale. Note that it is difficult to play on the 2 tables if one benefits from a very low rate on the new motorbike credit, the reduction agreed on the purchase price will be all the weaker. This is not the case with a used motorcycle loan.
- If the borrower is in default, it is easier for the bank to grab a new motorcycle or almost sell it. For these reasons, the rate for a used motorcycle loan is regularly higher and it can also vary more or less depending on the recency of the vehicle. For example, Cetelem, one of the main players in second-hand motorcycle credit, makes a price distinction on second-hand motorcycles less than 2 years and more than 2 years; the proposed rate is higher for motorcycle financing with more than 2 years of seniority.
Where to take a used motorcycle loan?
Motorcycle loan in a concession
A dealer margin less on the resale of a used motorcycle than a new motorcycle because like any reseller of used vehicle its selling price is more or less indexed on the argus of the motorcycle.
Since its margin will be lower, the dealer should be less inclined to offer an attractive rate on the used motorcycle loan. On the contrary, he can count on the commission he will receive on the sale of the used motorcycle loan to enable him to make his sale more profitable. As such, the used motorcycle loan offered directly by dealers is rarely the best.
Credit with specialized organizations
The other possibility is that the purchase is made directly from the individual to individual. In this case, no credit will be offered for sale and the buyer must have previously decided if a used motorcycle credit is necessary. If this is the case, you have to go around the market of credit organizations and banks to find out on the one hand if you can get credit and on the other hand at what rate.
This is exactly what our simulator offers. Not only do we collect all the rates from the largest financial organizations on a daily basis, for all projects including second-hand motorbike credit under the “Used car loan + 2 years” category. But in addition, we have developed an exclusive system which makes it possible to obtain the principle response in time from the least expensive organism.
In this way, everyone knows what better used motorcycle loan rate he can get adapted to his file. Indeed, if the file does not pass, it is possible to question the second-best organization and so on.
Find the cheapest used motorcycle loan in a few clicks?
Before you no longer recognize anyone in Harley Davidson, we first advise you to recognize the best rate.
There are sites like ours that can compare second hand motorcycle loan offers from the credit agencies.
Our comparator allows in 5 minutes to:
- Finding the Best Used Motorcycle Credit Rate
- Get an immediate policy response
- Receive a formal proposal
Comparison of used motorcycle loan
To fully understand the value of comparing used motorbike credit, there’s nothing like an example. Imagine that there is a need for an 8,000 USD loan over 48 months through a used motorcycle loan (category to be selected in our comparison “Used car loan + 2 years”).
Least expensive rate: 3.30% fixed monthly APR: 177.96 USD cost of credit: 542.08 USD
Most expensive rate: 7.58% fixed APR monthly payment: 192.79 USD cost of credit: 1253.92 USD
Or a saving of $ 711 on the cost of credit, or 57% savings on the cost of credit for the same service….
This statement was taken on May 12, 2016. The classification and the rates vary according to the commercial offers of the moment. Therefore, in order to find the best-used motorcycle credit, the easiest way is to use our credit comparator.
Procedure for obtaining the cheapest used motorcycle credit
For those who did not want to read the whole article, in our credit comparison tool, you must select as “Project”: ” New Auto Loan or -2 years ” or ” Used Auto Loan + 2 years ” depending on the age of the motorcycle.
You must then complete the questionnaire to obtain the classification of the best rates for used motorcycle loans.
The next step is to obtain an agreement in principle from one of our partners by questioning them in order of classification.
You must then monitor your mailbox and / or your mailbox because the proposal for a used motorcycle credit contract will come up with one or both solutions. In the meantime, it is possible to prepare your file by preparing the usual credit documents.