Written byShaun McGowan
Your motorcycle loan interest rate is calculated based on your credit score, which reflects your ability to make repayments as a trustworthy borrower.
Lower credit scores don’t necessarily mean you will only be approved for motorcycle loans with high interest rates, it just means that you’ll be required to provide more supporting information if you want to access a better deal from a lender or you will have to deal with a lender that specialises in bad credit personal loans.
If you are only taking your credit score into account when applying for a motorcycle loan:
It’s also important to understand that interest rates aren’t the only indicator of a good deal on motorcycle finance, and that motorcycle loan interest rates are determined by a number of factors, not just your credit score:
Important: A brand-new motorcycle purchased from a franchise or dealership - i.e. not a private sale - will often get you the lowest interest rates on a motorcycle loan.
If you’re more interested in saving money than just getting a good deal, it’s important to consider the length (term) of your loan. The sooner you repay your loan amount, the greater the amount of total interest you will save.
If you’re wanting to get a better motorcycle loan interest rate by improving your credit score, you have two main options to consider.
Only you will be able to decide which option is more suitable for your situation.
You can check your credit score for free and without any impact on your credit score with Money Matchmaker®.
You'll need to create an account with these details:
Your score won't be negatively affected and we protect your data with encryptions.
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Shaun is the founder of Money.com.au and is determined to help people pay as little as possible for financial products. Through education and building world class technology. Previously Shaun co-founded CarLoans.com.au and Lend.