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[wing46]

What the difference between finance and personal loan when you buy a bike? (some says that personal loan is cheaper why?)

[zx10r bob]

hello peeps
Finance is from the dealer,an inturn he will make comision on this as well as profit on the bike,,,,,,,,,

a personal loan is money you finance your self from a bank or building society ................you will allways get a better loan rate from a bank rather than the dealer,,,,,,,But this is ware you have to get cleaver,,,,,,,,,add the cost of the bike plus what the bank will charge you for your loan.....now what you have to do is find out the total repayment of the dealer loan will be compare the two,,but ask the dealer what freebies he will throw in to the package,,,,,some dealers will go as far as puting a new helmet and gloves into the deal because of his comision on the finance,,,,,,,,,,

so some times the dealer can offer you a better deal.....with freebies thrown in....plus things like free insurance...

just do the sums on both don`t be lazy,,,,you mite miss out on some thing.....................good luck

[WAZHALO31]

Bob is spot on there, I managed to get R&G crash bungs, LED front indicators, R&G tail tidy, Datatool alarm, Tank protector, Full tank of fuel and 12 months road tax chucked in plus 0% finance. 

[EXJ10R]

I agree with zx10rbob, check the TAP total amount payable whenever purchasing finance, a nice shiny bike and payments to suit might get the heart racing but what the dealer makes out of you is important.
  Just a couple of notes though, a personal loan isn't always the cheapest, 0% and low flat rate finance deals are out there, some even do low rates on second hand, play them off against each other, make them work for their commision, after all, all they do is swan about in a nice showroom and play on the computers ( I did  ) also if you have a good credit rating most dealers will use Black Horse finance, the principle finance provider for bike sales, this isn't a loan secured to the bike, it's a personal agreement between you and them, they are just stumping up the cost of the loan so you can buy the bike.
  Some banks are complete wank when it comes to getting a loan and won't budge on the APR  rate, at a dealer you can always ask them to "sharpen their pencil" when it comes to them offering you a certain rate if you're not happy.
  Also a 'flat rate' isn't the actual APR but what they use to calculate your % rate.
Do your homework, find out about all of the above and just as importantly what the dealer is like after you've bought the bike, a stonking deal is one thing but issues with warranty and aftersales is totally different.
Good hunting.

[Shongololo]

Bob is spot on there, I managed to get R&G crash bungs, LED front indicators, R&G tail tidy, Datatool alarm, Tank protector, Full tank of fuel and 12 months road tax chucked in plus 0% finance. 

yes but you were holding a shotgun at the time     

[wing46]

What is it freebies?,,,,,,,,,,,,,,,,Cheers guys for all informations 

[Andy J]

also consider if you need insurance against unemployment etc when you take a loan, a 0% finance deal will not include any payment insurance protection and if you need it you will find it cheaper when bought seperately to the loan 

'freebies' is a term referring to where you negotiate with the dealer forhim to give you items with the sale with no charge 

[wing46]

insurance against unemployment is important to me,,,,,,,,,, thanks guys

[EXJ10R]

Payment protection isn't worth the paper it is printed on  , a dealer will push for it. Just watch them rub their hands together when you ask about it. As with any personal financial agreement just make sure you can afford the repayments or rather make sure it's money you won't really miss going out of your account each month.

Another thing, this time of year dealers are beginning to struggle so they'll do all they can to push units out of the door.

[wing46]

I"m thinking about personal loan.Because I dont have credit rating at all.

[WAZHALO31]

Bob is spot on there, I managed to get R&G crash bungs, LED front indicators, R&G tail tidy, Datatool alarm, Tank protector, Full tank of fuel and 12 months road tax chucked in plus 0% finance. 

yes but you were holding a shotgun at the time     

 

[andicog]

Every bike I've bought using Black Horse Finance has the loan secured on the bike, this is why you have to pay off the outstanding finance once you sell the bike (dont believe me ? do an HPI check on your Black Horse financed bike, it will show it has outstanding finance ) , That is also why it can be easier to get finance with black horse, stop paying and they take your bike away ! , personal loan through bank etc is the better way as it is just that, a personal loan, you can sell the bike and continue to pay off the loan. Beware of payment protection as on Black Horse loans it can be very expensive, they do pay out ok though, I was signed sick for 3 months last year and they paid out ok, some things are not covered, being sacked or leaving employment yourself will mean you cant claim, some illnesses are also not covered (think stress and back trouble without X ray proof) , all depends how much you want that new bike  . . . . do check TAP as a nice ZX10 over 5 years can cost around 10k with interest and payment insurance. Having said all this at least Black Horse enabled me to buy my ZX10, without them I would still be dreaming !