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Buying your bike - finance?

Discussion in 'Bike Reviews, Questions and Suggestions' started by Zaphod, May 23, 2007.

  1. Hi all,

    Just a question regarding how everyone is purchasing their bikes - leasing, personal loan, secured bike loan or cash?

    If it's with finance - who has the edge for providing a good service, rate, product etc?

    (If it's with cash - I am declaring myself as a non-profit organisation and seeking donations :LOL: :LOL: )

    With finance are you covering insurance, on road costs or equipment?

    I'm in a position where I can organise a commercial hire purchase and package it into my wage and making payments with pre-tax income - so I'm researching the options.

  2. I did cash, but if you can get it on a Salary Packaging option that is definitely the way to go. The money you pay towards it is taken out before tax, and that then drops your taxable income as well meaning you pay even less tax again. It's a big saving.
  3. Not quite there are FBT considerations and the total is still used to calculate medicare etc.

    Reading a past post it looks like you will be buying gear as well, if you can don't include this in the finance as youwill have major negative equity from day one and this is a pain in the arse. I am not a financial advisor, please speak to your accountant about the tax implications.
  4. i have a bank loan for my bike...... for smaller purchases i would normally just save for the it like i did with my 250. But when i wrote off the 250 i used that money + saving to use as a deposit to buy property, so hence not having as much desposable income (saving 12k was going to be alot hard task then before and also take alot longer) so a loan was a more viable option. Yes my loan also covered my insurance for the first year.

    Personally if you can save the money and pay cash thats the way i prefer to buy, but sometimes it's just not viable. :)
  5. I've paid cash for the last few bikes.

    With more expensive items like a car I've used either chattel mortgages or Hire Purchase and for smaller items a personal loan from the bank.

    At the end of the day it's more about what the loan costs you and how much interest you pay rather than how they structure it...
  6. Matti-san,

    As it turns out I am a financial advisor and now have my finances organised :grin: . I'm mainly curious to see how others have purchased their bikes - market research lets say (our company processes finance applications - from home mortgages and personal loans to operating leases for trucks and general plant to computers).
  7. Always paid cash, never borrowed, same goes for cars.

    And no I don't ride a dunger or drive a shitbox.
    Currently CBR1100XX
    2001 Nissan Patrol