How Do Motorcycle Loans Work for You?
These loans are designed to help people get motorcycles and have them return the money in monthly installments. You can apply for motorcycle loans when you don't have enough cash to purchase a motorcycle. These loans can be secured or unsecured.
Loan details like the interest rates and repayment terms vary from lender to lender so you must make sure that you are aware of the entirety of the loan prices before applying for a loan. Furthermore, if you are looking to buy a used motorcycle, you may have to check if the lenders impose restrictions that allow you to buy only a brand new one.
Can You Apply For a Motorcycle Loan with Bad Credit?
Yes. Since approval depends largely on the lender, you can get a motorcycle loan even with bad credit. Many of them also consider other factors when approving your request. For example, you may get approved if you have a stable income that can cover the repayment.
However, the general trend is that the lower your credit score, the higher the interest rate on your loan and the lower the loan amount will be. Thus, there is a need to go through the conditions of the loan thoroughly and determine if you can repay it in time. Additional charges, such as processing fees, might also be included in the loan, so keep an eye out for them.
What Are the Steps to Get a Bad Credit Motorcycle Loan?
The process of getting a bad credit motorcycle loan is quite simple. You just need to handle a few prerequisites and then apply. Follow the steps given below and you will be set.
Know Your Credit Score
Even for a bad credit loan, lenders do consider your credit sore to some extent. You can get your credit report for free once a year from the three credit bureaus: Experian, TransUnion, and Equifax.
Build Your Credit Rating
A better score always has more benefits. You can get better loan terms, such as lower interest, with a higher score.
Assess Your Ability to Repay the Loan
Check your income and the loan amount, and calculate if you’re able to comfortably pay back the monthly installments.
Don’t Fall for Loan Scams
Identify scams from certain signs, such as upfront payments, no registration with the Federal Trade Commission of your state, and an unsecured website.
Compare Loan Rates
Every lender has different loan offers, and one offer might be better than the other. Make sure that you explore all available options before signing a contract. It is especially important to read the fine print to look for any hidden terms or fees.
Choose an Offer
Sign the best out of the multiple offers you receive. Once you enter the contract, the loan will be transferred to you shortly.
Can You Apply for a Motorcycle Loan with Bad Credit Through US Installment Loans?
Lenders we partner with do not offer motorcycle loans but there are great alternatives offered for such loans. Our personal loans can be availed even with bad credit. Therefore, you can finance your motorcycle purchase with the help of US Installment Loans easily!
You just need to proceed as mentioned below.
- Use the slider to select the amount you need.
- Fill in the application form with your basic details. Form completion and submission only take a couple of minutes.
- Our lenders will make their lending decisions in as little as 5 minutes after receiving your online form. Once your application is approved, you’ll receive different offers from our partner lenders.
- Simply compare the offers and choose the one that best suits you.
- Sign the contract digitally.
- Receive the funds directly into your bank account as soon as the next business day.
How Much Do You Want?
How Long Are the Repayment Terms of Motorcycle Loans?
Motorcycle loans have flexible repayment terms, but the extent of this flexibility depends on the lenders. Generally, bad credit motorcycle loans are long-term loans for bad credit with small monthly payments. The term is between two to seven years, so repayment isn’t a big problem. However, this leads to you paying a larger interest amount overall.
What Are Motorcycle Loan Rates?
Motorcycle loans can be unsecured loans so they have varying rates. The rates generally lie between the range of 6% and 36%. These rates are also dependent on your credit score. The higher your score, the better the rate you’ll get.
What Are the Differences Between Secured and Unsecured Motorcycle Loans?
Secured motorcycle loans are the ones wherein you use the motorcycle you buy as collateral for the loan. So, if you somehow default on the loan, you’ll lose ownership of your motorcycle to the lender. In contrast, unsecured motorcycle loans don’t require your motorcycle as collateral. However, lenders may require you to have good credit scores.
What Credit Score Do I Need to Get a Motorcycle Loan?
There is no set minimum credit score needed to buy a motorcycle. One important thing to keep in mind is that the interest rates and monthly payment amounts increase as your credit score decreases.
Is Financing a Motorcycle a Good Decision?
Financing a motorcycle is a decent option when buying more expensive luxury motorcycles that people want but don’t have the full cost of it on hand yet. However, for less expensive models, it is best to just save up for the full amount. Paying extra in interest is just not worth it in the latter case.
Motorcycle loans are great for getting the funds for an expensive two-wheeler. Still, some other great choices are less risky and more economical, such as personal loans. US Installment Loans works with reputable lenders who offer personal loans for bad credit. Head on over to our website, get your personal loan transferred directly to you, and buy your dream motorcycle!