All you want is the wind in your hair as you hit the open road on your new motorbike. But, you need to finance your ride first. All the financing options that are available through iCREDIT might overwhelm you.
Let us walk through the differences between a secured motorbike loan in Brisbane and an unsecured motorcycle loan so you can compare bike finance options and decide which path suits you best.
Secured Motorbike Loans
If you go the route of a secured motorbike loan in Brisbane, your bike will act as collateral. This means that, if you default, the lender may seize it. However, it also means that there is reduced risk for the lender, which translates into you getting a lower interest rate and more likelihood of approval.
iCREDIT can help you get secured motorcycle loan products that will allow you to access larger loan amounts while managing the risk.
If this is the path you want to take, then you will need to provide the details of the motorbike you want to buy and its valuation.
The nice thing about secured loans is that they often come with fixed repayments, which can make your budgeting easier. However, bear in mind that, if you repay early, some lenders might impose exit or break fees, so keep an eye on the fine print.
Unsecured Motorbike Loans
An unsecured motorcycle loan does not use your bike as security. Therefore, with this type of loan, the lender takes on more risk, so the interest rates tend to be higher and the borrowing limit is often lower.
If you go this route, the lender will be forced to rely more heavily on the strength of your credit history, income and financial stability to determine the level of risk. Basically, because there is no collateral, lenders will scrutinise your ability to repay more strictly.
However, unsecured loans give you more flexibility. If the motorbike you want is a private sale or an older model, then unsecured finance might be more feasible.
If you want help comparing loan options, whether it is a secured motorbike loan in Brisbane or an unsecured motorcycle loan, the team at iCREDIT is standing ready. Contact us now or apply online to get tailored bike finance today!