Finance companies that will use bike as security?

[R6_kid:Me]

Last time I applied for a loan i couldn't use the bike i was buying as security and needed a gaurantor for security. Does anyone know of any finance companies that will use a bike as security and will offer a fair interest rate?

In the past I had got finance through my father who withdrew the money from a low interest rate credit card, but im not wanting to lay the burden on anyone other than myself this time.

The bike I am buying will be purchased much below market value, and will be repaired for a small cost which will restore its value back to what the market is paying (a difference of atleast $3000) and it will be insured as such.

[Mom]

Depends on how much you want to borrow, and your history. Given your age ( I know it against the law to discriminate but...) and your lack of credit history, finding a 'reasonable" interest rate may be the challenge. I take it you are not buying through a shop?

[R6_kid:Me]

Nope not through a shop. Westpac say that between the age of 18 and 25 you will recieve a 'discounted rate' - their tertiary rates aren't bad so i'm hoping that this would be similar.

[Edbear]

...finding a 'reasonable" interest rate may be the challenge...

Yeah, there're a few loansharks around that will be happy to oblige, but they'll sting you exhorbitant interest and "other charges"!

As much as you want to be independent and responsible for yourself, it's a sad fact that you will find it hard to get loans without good security or a guarantor. Your Dad may well be of the opinion that he'd rather help you out again than see you getting stung, especially if you proved reliable last time.

If you show sound financial sense and have goals and a savings plan and can show a history of savings, it will help when approaching a bank. Unfortunately this takes time, but you have to start somewhere and the sooner the better.

Sorry to sound like a "Dad", but I've been in your situation, (most of us have), and having brought up three kids, I still prefer to help them where I can due to their good attitudes, and my youngest is now 23. Two daughters married and our son is 32 and single again. As much as they are independent and try to be fully self-sufficient, it's tough to get ahead these days.

[skelstar]

Dorchester Finance. Can't comment on how fair the interest rate is but REALLY wish that I'd paid attention when I was buying the damn thing.

[DougB]

I only needed $3500 I had the other $6000. Went to the
P.S.I.S. I had been a member for 36years. They would not accept a scooter as security, even a 400cc Burgman which is bigger and more powerful than alot of step overs.

They offered me an unsecured loan at 16%. They may lend on step overs I did not ask, just transfered my account to another bank.

I eventualy got $5000 at 8% from SBS using my house as security. The surpulus soon disapeared on accessories - a Laminer lip for the screen, Aerosoft cushion for the seat, a tank bag. (Yes they make them for maxi scooters) and an alarmed disk lock. Still looking for a tail bag and soft panniers.

[trumpy]

Check out Waikato Finance in Hamilton they have obliged on this in the past as far as I'm aware (although having recently bounced my head down the road minus my nice set of wheels, it could be a figment of my slightly concussed imagination!). I have, both personally and for my company used them (and continue to do so) a number of times and have found them great to deal with. Certainly worth a go.

[The Stranger:Me]

Seriously, I would be a little wary of over committing.
As you know some simple repairs are not what they may seem and perhaps have a word with Paul about what his debt means to him.

[klyong82]

Last time I applied for a loan i couldn't use the bike i was buying as security and needed a gaurantor for security. Does anyone know of any finance companies that will use a bike as security and will offer a fair interest rate?

Have a look at this website on the interest rates offered by various financial institutions. Though it stakes car loan but it can be used as a guideline and you could always call up an ask do they do bikes.

http://www.interest.co.nz/carloans.asp

If you have access to any form of asset that you can use as security then you could apply for a revolving credit which usually have more favourable or lower interest rates than vehicle or personal loans.

Out of curiosity this bike that you are buying would it happen to be a GSXR1000?

[jrandom]

The bike I am buying will be purchased much below market value, and will be repaired for a small cost...

Eeek.

I hear this, and I have mental images of yet another bike sitting in a garage not quite finished for months...

Oh well, I shall assume you know what you're doing.

Banks are currently offering unsecured personal loans at about 16-17%. You're unlikely to get a better rate secured.

However, having said that - PM cowpoos.