Making the decision to invest in a new motorcycle is exciting, and potential bike owners may be dreaming of road adventures even before the paperwork is signed. But there are some factors to consider before jumping into such a purchase, especially when it comes to financing that dream bike in Sydney.
Besides the cost of insurance, upkeep, and registration, there are conditions associated with financing a bike that customers should be aware of before the process begins. After deciding which finance expert to work with, a buyer will also want to think about how long he or she wants to make payments, the amount of deposit to put down, the monthly payment, and interest rates.
Term Length: Term length simply refers to over how many months the buyer wants to stretch out payments. The longer the term, the more interest he or she will pay on a motorcycle. For instance, a loan secured for $10,000 at an interest rate of 5.9% per year and paid over 70 months may equal about $170 paid per month. That same loan amount paid over 36 months could raise the monthly payment to just over $300 but will reduce the interest amount.
Deposit Required: The amount of deposit required depends on the company responsible for financing a bike in Sydney. A deposit is an amount paid upfront as part of the buying process, an indication from the buyer that he or she is committed to the purchase.
Monthly Payment: The monthly payment amount is also a factor to consider in the purchase of a new motorcycle. A buyer will need to look closely at his or her personal circumstances and budget in order to evaluate how much can be paid toward the purchase each month or week.
Interest Rates: Interest rates, or the amount charged by a lender to a borrower, will vary between finance companies and customers. The best way to find out what the amount will be is to talk to a professional who understands the process of financing a bike in Sydney. He or she can explain how interest rates work and the best solution for the specific purchase.
For individuals who are thinking of investing in a new set of wheels, speaking with a finance specialist at Procycles is the best option. With locations in St. Peters and Hornsby, an expert business manager can outline the interest rates and financing options available on a variety of bikes from LAMS to Superbikes.