Back in November of 2005, I wrote a short post title “Motorcycle Loan Rates Seen Increasing” explaining why rates were rising for motorcycle loans. Back then rates were ranging from 7.5% -8.5% for a 60 month motorcycle loan which is still fairly low from an historical perspective.
Since this original post interest rates have been on the rise a little bit and are still expected the rise in the future. The average 60 month motorcycle loan rate for motorcycle buyers with an “A+” FICO credit rating are ranging from 8.75% -9.45% today. This is an interest rate increase of about 1.25% percentage point from November 2005.
The net impact on an $8500 loan amount for 60 months would result in you paying about an extra $305 in interest today compared to November 2005.
The bad thing is that the U.S. Federal Reserve does not appear to be done increasing interest rates so it is likely motorcycle loan rates will continue to increase throughout 2006. Therefore, if you are looking to purchase a new or used motorcycle with financing now is not a bad time.
One note of caution is that if you are considering holding off on your motorcycle purchase, there is the potential we could see motorcycle loan rates in the 10%-11% range in the future. You should factor this into your decision.
Hopefully, sometime this year the Federal Reserve will stop raising interest rates and the rates in the motorcycle loan market will start to level off.
Posted by Administrator as Financing - Loans at 2:31 PM PDT
No Comments »
Here is an article from one of our key partners Shiftcush at http://www.shiftcush.com/. The article is not directly about motorcycle loans, but it is motorcycle related and looks like a good accessory. Shiftcush in a modern day cushion that can be used for motorcycle riding which prevents your boots and shoes from being ruined by the gear shifter. It gives you a nice comfortable ride without ruining your boots. This article will tell you a bit about the product and how it can help you as a motorcycle rider.
In today’s age why are motorcyclists’ still destroying their riding shoes with those shifter marks from old school shifters? That’s a good question and we’re glad you asked!
Although the history of the motorcycle dates back to an invention of over a hundred years and technology has progressed exponentially since then, one major item which continues to have been forgotten from manufacturers and completely left out of the technology advancement is the motorcycle gear shifter. Read the rest of this entry »
Posted by Administrator as Motorcycles General at 1:36 AM PST
No Comments »
Here is an article I wrote a while back that I though would be a great addition to this blog. It basically focuses on explaining common mistakes that motorcycle consumers make when getting a motorcycle loan. It provides some common questions buyers can ask motorcycle lenders in order to ensure they are getting a motorcycle loan they understand. The best thing you can do as a motorcycle buyer looking to get a loan is ask a lot of questions and do not be shy about it. Many loans are very complicated so the more you ask the better you will be able to understand.
—-Here is the article enjoy!!—-
No matter if cycle financing rates are increasing or decreasing or it’s the ending of a model season with plenty of dealership promotions, many motorcycle riders frequently tend to make common errors whenever looking to get a motorcycle loan. Here are 4 common mistakes motorcycle riders often make with motorcycle loans.
1. Shopping for a motorcycle before considering shopping for a motorcycle loan.
A number of motorcycle consumers enter the showroom searching for a motorcycle prior to considering how much money a motorcycle lender is willing to loan to them for the purchase of a motorcycle. There is little reason to shop for a eight thousand dollar Yamaha motorcycle, whenever a lender is only willing to offer a loan amount of less than the motorcycle costs. Read the rest of this entry »
Posted by Administrator as Motorcycles General, Financing - Loans at 12:33 PM PST
No Comments »
This article is a little out of our normal motorcycle financing topic, but it is motorcycle related and a great article as Daytona Bike Week is approaching. Therefore, I thought I would share it with you. It will take you through some great motorcycle road trips in Northern Florida, which are a great option from Daytona Bike Week.
The article is brought to us from Michael Talbert who lives, works, and plays in Jax Beach and is the owner/operator of Biker Leather Ltd. You can visit his website at, http://NakedLeatherBiker.com
Here is the article, enjoy!
With bike week just around the corner, bikers from all over the country are pulling their motorcycles out of winter storage and cleaning up their leathers in anticipation of a motorcycle rally like no other. While Daytona is definitely the place to be the week of March 5th, Florida offers some great stretches of road through pristine landscapes to some great biker destinations.
About an hour and a half north of Daytona on A1A lies the bustling beach community of Jacksonville Beach, which is where we will meet for the start of our road trip- because, well, that’s where I’m from! On any given day you’ll find bikes and bikers parked and hanging out at the Jax Beach Pier parking lot. Just across the street is the famed biker bar Mango’s, a great place for bikers to meet, have some good home cooking and shoot some pool. Summer weekends will generally find some heavy metal band performing outside on the covered deck. So put on your best leather motorcycle jacket and come on out to Mango’s to start our first north Florida road trip. Read the rest of this entry »
Posted by Administrator as Motorcycles General at 9:06 AM PST
No Comments »
For those of you who are looking for a motorcycle loan I thought it would be a good topic to introduce you to few of the good reasons for getting online to begin your shopping.
One of the biggest benefits of going online to get motorcycle financing is that you can easily (at the click of a mouse) compare many motorcycle lenders quickly in the comfort of your own home and easily compare interest rates to ensure you get the most competitive rate possible. It is easy to compare rates with nationally reputable online motorcycle lenders like Lending Tree, E-Loan, and Capital One.
In addition these online motorcycle lenders can get you approved quickly and riding fast. Perhaps the biggest benefit to a motorcycle buyer is online motorcycle lenders can have a check to you in 24-48 hours so that you can head to a dealership with cash in hand and drive off on your new motorcycle. This prevents you from spending hours in the dealership getting financing arranged and signing lengthy paperwork.
Lastly, you will have the peace of mind of getting a motorcycle loan from a national bank which can service you with the utmost respect in the future. Remember it is likely your motorcycle loan will extend many years in the future. Therefore finding a reputable national bank is important for you to minimize hassle in the future.
As you can see there are many benefits above and in my opinion they far outweigh traveling from bank to bank looking for financing. Therefore, I highly recommend if you are looking to make your motorcycle buying experience hassle free, try getting your loan online. There is a very high chance you will get the best deal available anywhere.
Posted by Administrator as Financing - Loans at 9:47 PM PST
No Comments »
The Suzuki King Quad LT-A700X was just named the best of the best for 2005 by Field & Stream magazine. According to the article the fuel injected Suzuki King Quad 700 has superior towing capacity, great handling and the ability to power through the roughest terrian you can thow at it.
Here is a quote from one of the editors on Field & Stream’s website:
“On a test run in Canada, I submarined a 700 in a mudhole multiple times all the way up to the handlebars and it never stalled, sputtered, or got stuck. All I did was clean off the radiator and then drove it hard for another 60 miles without a misfire.”
You can find more information about this Suzuki King Quad ATV award at Field & Stream.
If you are interested in financing a King Quad ATV, Suzuki has a great financing promotion available on the Suzuki Credit Card. You can get 4.95% and a $39 a month payment for 24 months. After the 24 month term the interest rate increases to 11.99% until your loan is paid off and the payment will be 2.5% of the balance. Get it quick because the Suzuki financing promotion on the King Quad ends on 12/31/2005.
Posted by Administrator as ATVs at 6:09 PM PST
No Comments »
Have you seen some of the new quads manufacturers are rolling out these days? I am a big Atv race fan and I am glad to see manufacturers like Suzuki and Yamaha offering some incredible race quads. However, I must say some of these new 2006 utility Atvs are looking pretty fun, a lot sportier and very powerful with some displacements as large as 800cc and fuel injected engines.
Here is a tip for you. If you are in the market for a new Atv, the months of September and October typically are the best months all year to make your purchase. Manufacturers offer big rebates during these months and great Atv financing deals. Plus if you are looking for a utility style quad most manufacturers offer promotions that allow you to get a winch for a fraction of the cost.
My suggestion if you are looking for the best of both worlds (great prices and low interest rate Atv loans) purchase your Atv in the months of September or October.
Posted by Administrator as Buying Tips at 9:03 AM PST
No Comments »
For those of you looking for a motorcycle loan, the last 1 1/2 years have seen interest rates steadily rise. The increases in motorcycle loan rates have been a result of the US Federal Reserve increasing key short-term interest rates to prevent inflation in the US economy.
When the US Federal Reserve increase it key short term interest rates this increase motorcycle lenders’ cost of money. Since motorcycle lenders borrow money to issues a motorcycle loan to you, when their costs of money increases they often increase the interest rate they charge you on motorcycle loans.
I wanted to give you the heads up that today the US Federal Reserve is likely to increase its key short term interest rate (fed funds rate) again for the 12 consecutive time since June 2004. This will increase the fed funds rate from 3.75% to 4%. In June 2004 when the fed funds rate was 1% the best credit quality customers could get motorcycle loan rates in the 4% - 5% range. Today with the fed funds rate of 3.75% motorcycle loan rates are running about 7.5% - 8.5% for the best credit qualified customers.
So what does all this mean to you? It means if you are looking to purchase a new or used motorcycle with financing, you will likely get a better interest rate today than you will in the foreseeable future. So get moving and lock in your motorcycle loan rate quickly.
Posted by Administrator as Financing - Loans at 8:10 AM PST
No Comments »
I was thinking over the weekend that it is probably a good idea to provide a quick summary of motorcycle financing providers. For those of you who are looking for a motorcycle loan here is a quick summary of the most popular options in the industry:
Motorcycle Dealers - Motorcycle dealers provide motorcycle financing typically through GE Capital or HSBC Bank. Most motorcycle dealers have two financing option which are private label credit card financing or installment financing programs. These financing programs are co-sponsored by the manufacturer like Suzuki, Honda, Kawasaki, Harley-Davidson etc… although sometimes motorcycle dealer issues loans directly with the GE Capital or HSBC Bank. Dealers may also use Honda Finance or Harley-Davidson financing since these brands have their own financing arm.
Local Bank Or Credit Union - Finding a motorcycle loan at your local bank or credit union is an option and is typically in the form of an installment loan or personal loan. Sometimes your local bank or credit union may offer a better rate than the motorcycle dealer you which to purchase from. However, watch out for extra fees charged by bank or credit unions because sometimes these fees eat up all of the interest savings.
Online Motorcycle Loan: Online motorcycle loans are offered by national banks and lending providers. Typically because the Internet is a very price competitive environment, online motorcycle lenders offer some of the lowest interest rates and best terms available on motorcycle loans. The Internet also makes it easy to shop interest rates so that you ensure you find the lowest rate and terms available. Overall, the online motorcycle loan process is pretty easy and straight forward. You simply submit a no obligation online application and once you are approved and agree to the loan the lender can send you a cashier’s check usually within 48 hours. Here are two of the best online motorcycle lenders on web!
Motorcycle Loans At LendingTree.com
ELoan.com - Motorcycle Financing
Posted by Administrator as Financing - Loans at 12:59 AM PST
No Comments »
For those of you who do not follow the motorcycle financing market on a daily basis, I guess I should let you know that motorcycle loan rates are on the rise. Therefore, if you are looking to purchase a new motorcycle with financing now is probably a better time than later.
Since the Federal Reserve started to increase interest rates over the last 18 months, motorcycle loan rates have begun to creep up. Just 12 months ago you could get a 60 month online motorcycle loan from Eloan at around a 6.5% interest rate. Today that same 60 month new motorcycle loan will be at an interest rate of roughly 8%.
With the Federal Reserve recently indicating that inflation is at the upper end of its tolerance range chances are further interest rate increase are likely into the foreseeable future. What this likely means for you is higher motorcycle loan rates.
Even manufacturers who run heavy motorcycle financing promotions have begun to increase their promotion rates. For instance, in 2004, you could have purchased a Yamaha motorcycle or Atv on the Yamaha credit card for 4.9% for 24 months. Today that same promotion on the Yamaha credit card is 6.9% for 24 months.
Overall, be aware if you are looking to finance a new or used motorcycle, the rates offered today will most likely be higher in the near future.
Posted by Administrator as Financing - Loans at 12:55 AM PDT
No Comments »
