Welcome to Netrider ... Connecting Riders!

Interested in talking motorbikes with a terrific community of riders?
Signup (it's quick and free) to join the discussions and access the full suite of tools and information that Netrider has to offer.

Honda Finance and Bike Advice

Discussion in 'New Riders and Riding Tips' started by iliketoride, Jun 23, 2006.

  1. Hello chaps,

    Just been down to bill's in adelaide to dribble over all their bikes, walked out with a card, a finance brochure, the 06 honda book and a soul full of moto desire.

    I'm too freakin stoked and I'm being impulsive but I want a bike NOW!!! Being a uni student, and having FA all savings I was considering finance, 36 a week and I can get me 6g's worth of VTR goodness. Anyone bought a bike the finance way? Anyone dealt with Honda finance? Any trappings apart from considering interest e.t.c?

    Lots of people here are of the opinion to not fork out too much on a first bike, but I love the VTR it calls my name and it IS something I'd hang on to for at least two years, simply because I won't be able to afford to upgrade much sooner. So does anyone wanna talk me out of spending 6g's?

    ps- I dont even have my L's
    pps- I love this forum, the vibes cool and I'm feelin the chi. :shock:
  2. Do what your heart desires mate... Better you regret your own decision than someone elses... Thats the ways i see it anyways
  3. Hi there, I used Honda Finance found them ok. Are you looking at used or new? Cos 6k wont get you a new VTR. And if you are after a second hand one better to look elsewhere.
  4. The shop had a nice one there with 13,000 on the clock marked with the price 6200, figured I could get it for under six, but I'm not about to jump in just yet. Could you elaborate on why its better to look elsewhere??

    *notice to SA people who want their L's, the rider safe course goes up from $103 to over $300 as of 1 July.. you cann book and pay prior to the 1st and save a whole lotta cash.
  5. Buy the cheapest thing you can... providing it is in road worthy condition and passes all the safty checks.

    Bikes are cheaper in Vic too.. so perhaps a long weekend might be a way to save $$
  6. I had a honda loan .

    Put my name in the computer ,asked about 10 questions ,and 15 seconds later ,a sheet of paper come out of the printer with ,approved for $25,000 ,he gave me the sheet and said go pick a bike.
    I didn't even ask for that much.

    VERY FAST AND VERY DANGEROUS i could see alot of young people getting a brand new supper dooper bike for $20,000 and not being able to pay it back.

    Payed it back in 6 months and the interest was %3 more then my credo .
    In the long run ,it at a guess would of saved me
    $700 ish ,over 5 years with my bank ,with 3 days of waiting then signing 600 forms ,and 3 trips to the bank with pay slips ,statements from othere loans ,that take 1-2 weeks to get.
    But it was just to easy and fast i had the bike then and there.

    Its up to you ,but i would do it again ,BUT $700 extra in interest ,didn't worry me.
  7. $6200 not bad although you dont say what year it is. All I meant was probably get a better deal going private.
  8. was is the rate on those loans? I recon check out a few banks or other loan institutiopns first. They might be easier to borrow from, but if you can save a few hundred bucks you might as well, the other thing is, if you get the loan from somewhere else you can buy the bike from anywhere, buying private usually means even more savings.
  9. iliketoride said he has SFA savings, buying private isn't an option.

    Nothing wrong with the honda finance, just compare interest rates. Usually these loans have higher interest rates than established institutions, but they can be less headaches, as the dealer will sort it all out.

    Not sure about honda finance, but many institutions will also make you get comp insurance (could be different in different states?), so factor that in also, especially if you didn't want it.

    Calculate the total amount owed over the life of the loan, you might be shocked to see that you'll be paying back over $10k if you choose insurance, making your good deal not so good anymore.
  10. My bank is %12.35 and honda is %12.95.

    A saving of % 0.60. :eek:

    I added mine up and it was $183 cheaper over 5 years with a bank. :roll:

    Thats $3 a month, .
  11. iliketoride, since you're in SA go look up Savings and Loans, they gave me my bike at 8.75%, insured it at $250/year (0 yrs experience). It will be more work than going through Honda, but you get to choose where you buy it through and save big $$'s on repayments.
  12. does a loan for a motorbike come under 'car loan' or personal loan?
  13. Car loan and personal loan are usually the same thing.
  14. Personally, I'd avoid the finance companies that are offered through the bike shops as the interest rate is usually higher than alot of other places. Shop around with banks and finance companies and see what better deals you can get out there.

    Although being a Uni student your options may be limited due to you not having a job of some sort (assuming you're not even working part time somewhere). Maybe also see if there are student loans available to you through the Uni or Centrelink?

    Also, if you see a bike you have your heart set on but don't yet have loan approval, you can put a deposit on it and make sure they note down as a condition of sale that it's "Subject to finance". That way if you can't raise the funds you can back out of the sale and get your deposit back.
  15. Do the calculations, all of them. Emphasis on the ALL.

    A mate bought a VTR from a dealer that offered him finance.

    He is paying 16% interest, some stupid amount of fees as well.

    I did the sums for him and once his loan expires he would have forked out $15,000 for a second had VTR.

    He loved the bike and doesnt really care what he's paying, but then again, I suppose that's the reason he was that far gone he was about to file for bankrupcy.

    Read the fine print, walk away, do the sums and if you are still happy, go back.

    I financed my Camry back in 1992 at the then rate of 14% that made it $356 a month for 5 years. After the 5 years I paid back $21,000. I think the purchase price was $17K
    $4K over 5 years was a fair amount to pay for someone that had no savings and who needed a car.
  16. Get your Licence first, nothin' worse than having to pay for something that you can't use. If you want a new bike, they will still be there once you have your licence. You wouldn't be the first person who wanted to ride really bad and then found they didn't like riding in traffic or something and decided to can the idea.
  17. I agree with everyone about checking all the fine print and compairing it with other secured (you will need to pay full comp insurance) and unsecured loans.

    Another thing for you to consider is your gear, good gear can get expensive (well worth it though). If you are set on getting a loan for the bike it might be a better option to get a stanadard personal loan and include the cost of the gear you will need.
  18. Depends. My credit union has new vehicle loans for around 8% and used vehicle loans for around 10%. Personal (unsecured) loans are generally around 13%.

    Figures are approx. Banks will be similar.

    When in the local Honda dealer recently I saw a new VTR1000, "ride away" for around $85 a week. When I got home I punched in the figures into a loan calc in Excel. It worked out to be around 15% or a bit higher. That was through Yamaha Finance.

    That type of finance is usually easy to get. For the lower rates, such as the dedicated vehicle loans, the lending criteria is generally stricter. But the savings is worth it if you don't mind the bullshit that you have to go through to get it approved.

    I just wish that I could novate lease a bike. That'd be great. A new bike every 2-3 years...
  19. At that rate you'd be better getting an Aussie Cr Card @9.99%, no loan app' fees, early payment fees etc, and if you can't make a big payment one month you just make the minimum required.
  20. Very good point Dale.

    Im sure ALOT of young kids are reading this thread ,DON'T sign anything if your not sure...... get a older wiser person to help you.
    If they are pushing you to sign ,so you don't lose the bike ,read all the forms and like Dale said and ,write {{{subject to finance}}}} next to every where you sign.
    I did this and i didn't fill in the last ownership forums till they delivered the bike to my house ,and i signed in my garage.