You have dreamed about it for years: cruising down the Gateway motorway, the wind pressing against your jacket, your bike rumbling between your legs as you smoothly cut through the traffic. You want that freedom but you can not afford to buy a bike with cash.
However, you can work out an affordable plan for a motorbike loan with iCREDIT’s bike finance calculator. Using a tool like this will help you work out repayments and plan with relative accuracy before you apply.
Here is how to make it work for you:
Enter the Loan Amount
The first step is to put in the loan amount. That is the figure you think you will need to buy your bike. If you are unsure, use the advertised price of the motorcycle as a base.
Our motorcycle finance calculator will give you a repayment estimate once you plug in this figure, helping you see what is realistic.
Set the Loan Term
Next, you need to decide how long you want to take to pay it off. Shorter loan terms mean you will pay the loan back quicker and reduce the total interest charged. Longer loan terms spread repayments into smaller amounts, but you pay more interest in the end.
Adjust the slider until the estimated repayment amount feels manageable without stretching your budget.
Adjust the Interest Rate
Most calculators allow you to change the interest rate. Knowing your credit score might help you determine the interest rate you can expect. If you do not know the exact rate you will be offered, use a range to test different scenarios.
Start with an average market rate and then increase it slightly to see the impact. This gives you a buffer so you do not overestimate what you can afford.
Review Repayments and Total Cost
Once the figures are in, the calculator will show you the expected repayment amount and the total cost of the loan. Look closely at both.
Your repayments should sit comfortably in your monthly budget, while the total loan cost will show you how much you will spend over time.
Keep these numbers in balance so you do not take on a loan that feels heavy down the line.
Use iCREDIT’s motorcycle finance calculator today before you apply so you can move forward with confidence. We will help you compare offers from lenders to secure a bike loan that works for your budget. Contact us now for further information.