Motorcycle ownership has seen a surge in popularity, with many people relishing the adventure of the open highway. For countless individuals, riding motorcycles offers an ideal mode of transportation from one location to another, avoiding the contentious debate of “cars versus bikes”.
In bustling city hubs, motorcycles serve as an efficient and less congested means of commute, bypassing the daily traffic snarls that plague car drivers. An added perk is their relative affordability, whether new or pre-owned, as compared to cars.
However, one pressing concern for aspiring motorcycle owners is finding the resources to finance their dream two-wheeler. Fear not, as I am here today to offer hope and practical pathways to fulfill this dream, all without piling on enormous debt. So, if your dream motorcycle model seems financially unattainable, keep reading for practical tips!
How would you describe your credit score?
Predominantly, credit scores serve as a crucial parameter for lenders to gauge your reliability as a borrower. Reckless financial behavior in the past typically results in a poor credit score. However, make timely monthly payments without any defaults, and your credit score is likely to be robust, making you an attractive proposition for lenders.
Lenders, still recovering from the credit crisis of the last decade, have grown increasingly cautious about their borrowing clientele. Suppose you’re planning on financing your dream bike, having a respectable credit score can work in your favor. Yet, even if your credit history is somewhat tainted, numerous strategies exist to repair and rebuild it. A quick online search for “credit score repair” can provide some useful guidelines.
Are you neck-deep in debt?
It’s an undisputed reality that almost every adult owes some level of debt. Possessing some debt is normal, but when the volume of your debt starts spinning out of control, that’s a cause for concern.
Becoming a motorcycle owner is a significant step, calling for substantial monetary investment. Apart from the initial cost, recurrent expenditures like servicing, maintenance, and fuel are also integral parts of bike ownership. Hence, if your income is meager and your monthly payout is high, purchasing a motorcycle might not be a wise decision at this juncture. However, if you’re heavily indebted, prioritizing efforts to reduce or consolidate this debt can lessen your monthly fiscal burden.
If you’ve been extravagant with your credit card spending, consider securing a low-interest loan to settle these debts, as credit cards compound interest upon interest. Loans, on the contrary, entail a fixed monthly payment until the debt is fully repaid.
Motorcycle insurance, an essential expense
Now, let’s address the unavoidable aspect of motorcycle insurance. Riding without insurance exposes you to legal consequences, potentially landing you in jail. Multiple factors influence the premiums for motorcycle insurance, such as the model and age of the bike, your age, and your driving record.
While there is no magical formula to secure the most affordable motorcycle insurance, a few tips can be beneficial:
1. Shop around: Don’t stick to the first insurer you contact. Obtain quotes from at least five different companies and compare the details and prices for the best value.
2. Evaluate the best options: Ensure that the insurance providers you contact are legitimate.
3. Play the system: Share your best quote with other insurers to see if they can offer a better deal.
Finally, the decision to save or borrow funds to buy a motorcycle boils down to personal circumstances. Borrowing allows you to get your hands on the bike sooner, but if there’s no rush, saving for your purchase is an excellent strategy. Having the cash on hand to buy a used bike can even leverage a better deal.
Good luck with your motorcycle purchase, and thank you for reading!
