Financing a bike

[wysper]

Just looking at ways of financing my upcoming bike purchase.
Will be a new bike - first time ever for me

Colour me surprised but so far this is the order of cheapest to most expensive finance rates.

Cheapest - Freestyle Credit Card - National Bank
Finance through the dealer
Personal Loan - From Bank

I can't put it on a mortgage - don't have one.

I am stunned

Does anyone know of cheaper ways? The credit card is 15% up to the persoanal loan from the bank at 16.25%

Not much in it really but still, I am open to ideas. I suppose you could charge it up on one credit card and then do the "swap to another credit card for a cheaper rate deal" that comes along occassionally.

wysper

[skelstar]

I went to someone like Paciic Retail Fin and the finance cost as much as the bike (about29%). I said 'thats a bit ridiculous' and they said 'youre a good cust. how about 19%?'. Much better. Paying off a bike aint a great idea though .

Pays to ask eh?

[Hellraiser]

Go to a dealer that can do it through MTF.

[bobsmith]

have any close family members on graduate account???

I put mine with personal loan from bank on my g/f's graduate account - 10.55% interest with $150 set up, at the same time paid off our credit card with it too. ended up saving us money.

[SARGE]

try MTF if you have good credit.. otherwise, give Jeremy at Global credit a ring on 098343835.. h can do 2nd tier finance if you need it ..

[McJim]

Be careful with the interest rates - check the APR is the same.

I borrowed some money for my bike -
I was quoted 15% by a finance company - repayments would be $50 per week over 3 years
I was quoted 16% from a bank and it was $52 per week over 2 years.

Go figure.

Differences between compound interest etc. Ask about the term and the repayments NOT the interest.

[The Pastor]

Be careful with the interest rates - check the APR is the same.

I borrowed some money for my bike -
I was quoted 15% by a finance company - repayments would be $50 per week over 3 years
I was quoted 16% from a bank and it was $52 per week over 2 years.

Go figure.

Differences between compound interest etc. Ask about the term and the repayments NOT the interest.

Very wise advice.

The other option is go and buy 5 packs of the 92 tabletes of nurophen a and make about 10g of P then sell it and buy it new.... (google if you dont know how its pretty easy)

[skelstar]

I went to my bank first and they wouldnt loan me money cause I didnt have a car to secure it, and they dont know what bikes are worth. Either that or Dover gets finance at my bank and he uses GSXRs to secure his loan.

[Devil]

MTF are sneaky fuckers who'll charge you if you try and pay off early. Plus they have multiple account setup and maintenance fees. I wouldn't considering touching them again. Ever.
They're a middle-man finance company just taking a cut.
Go to the source. GE, Pacific retail, anyone but MTF.

[wysper]

Thanks everyone.
Some good advice
I will go and do the check the repaymenst thing

I have good credit.

Is MTF motor trade finance?

I think I have had a bike through them before.

Could try to sell the wife of course

[The Pastor]

Thanks everyone.
Could try to sell the wife of course

Rent her, you'll get more money

[McJim]

Very wise advice.

The other option is go and buy 5 packs of the 92 tabletes of nurophen a and make about 10g of P then sell it and buy it new.... (google if you dont know how its pretty easy)

My advice may have been wise but Renegade Master's on the money when it comes to profitability.

Respect.

[shafty]

Wysper, yes, MTF is Motor Trade Finance. Search for another Posting on finance - a very good one from someone on "the inside" - its a major article and bears out what I know from selling finance a few years ago. On a car yard or bike shop, the Dealers have 2 sales to make - first the Bike, then the Finance - they make $$ from each. If you can secure "pre approved" finance from someone, yoiu go in as a cash buyer, plus can also buy privately. I know you want new, but consider the $2-$3000 you can save on a bike with 1 or 2000 km's on it.

Also, there will inevitably be set up fees. They are sometimes called "Establishment Fees" "Admin fees" - you name it, they'll be there, and often more than one. Ask what they are for, and embarrass them! They are simply a way of making money and hiding the interest rate. Offer to pay cash for the fees if you can - this'll save heaps, cos you also pay interest ON THE FEES! If they are ethical in doing the deal with you, they must take the time to explain the difference between an interest rate and a finance rate. THey aren't always keen to spend time on this for fear of losing a sale. The finance rate is always higher than the interest rate - cos it includes the fees and add ons. The easiest way to check the actual cost of the finance is to ask how many instalments of how many $$. Do the multilplication (eg 36 payments of $416.66 = $15000) - then sleep on it!!

Withe the value of a (new) bike diving the moment its out the door, while you are paying way more than the cash (advertised )price, you may decide it may smarter to buy near new/privately, or wait a bit longer. Hope this helps.

Finally....................what bike do you want to buy????

[GR81]

i have previously used http://www.primefinance.co.nz/ and http://www.mtf.co.nz/

[Drum]

I dont mean to be a wowser, but borrowing big dollars on a depreciating asset is possibly the worst thing you can do with your money. If you tried to sell the bike in 1-2 years time you could actually end up owing more than its worth.

Still, new bikes are real purdeee. And it is your money to do with what you like, after all.