Making the decision to buy a first motorbike is a big moment. The coming of age of sorts for riders and for many the start of a lifelong fixation with two wheel transport. Narrowing down the choice of ride will depend on numerous issues including riding ability, transport needs balanced with recreational adventures and very importantly, price. Most motorcycle buyers will require finance to make that purchase and if it is a first loan application, that can come with challenges to overcome. But securing a great first bike loan is not an impossibility.
A great motorcycle loan is a real possibility for even first bike loan applicants, when you know your way around the lending scene – what to expect, how to prepare and who to go to for genuine assistance and lending services. Jade Bike Loans specialises in loans for all types of motorcycles and riders and we share the basics on first loans to assist applicants prepare and proceed.
Consumer Finance Laws
Depending on state regulations, learner riders may be under 18 when they are permitted to ride a motorbike. But when it comes to taking out a loan to purchase a machine that is not the case. Applicants will need to be over the age of 18 to apply for a bike loan. That’s not us being the fun police – it is a regulation under Australian Consumer Laws that all credentialed lenders must abide by.
Motorbike loans for personal use rides are classified as consumer finance, as opposed to business finance. In Australia, laws and regulations are in place which govern how consumer finance can be issued. Licensed Credit Providers such as Jade Bike Loans must abide by these laws and adhere to the responsible guidelines as set out by ASIC. These laws are in place to protect the borrower from taking out credit that they are not in a position to repay. It may be worth checking out as background research and prep.
One of the key issues which may be relevant to first bike loan seekers is the age restriction – you need to be over the age of 18 to be eligible to apply in your own right. For those under that age wanting to secure their own bike, they can consider having a family member or other older person go guarantor for the loan. There are rulings and implications that both parties should be across so as to be well-informed in proceeding.
Credit Profile
Regardless of what type of loan is being applied for or how many loans have previously being applied for or undertaken, the applicant’s credit profile will form a major part of the approval process. Lenders assess individual credit profiles when approval loans and making loan offers.
It is highly likely that even if no formal loan applications have been made previously, most individuals over 18 years will have a credit profile. A credit profile is not something that the individual needs to set up themselves. Essentially it is done and entries made by banks, lenders, finance companies and other credit providers.
For young people embarking on a first loan, previous entries on a credit profile may relate to an account for a mobile phone, internet services, streaming pay to view services, credit card accounts and buy now pay later if those arrangements have been entered into. Rental payments are also a finance agreement that may be reported to the credit agencies.
Before applying for a first motorbike loan, applicants are strongly recommended to check their credit profile to see their score and fix any errors that may be listed. Details on how to go about this can be found on the MoneySmart website.
The Motorbike Lending Market
Finding the right lender that suits a first bike loan applicant can be daunting. The consumer lending market is vast and growing as new lenders enter the market. Each lender will have their own individual guidelines around approving loan applications and as these vary, it can be complex and time-consuming to source the one most suited to you.
While not all banks and lenders promote specific motorcycle loans, Jade Bike Loans is a specialist in this area and we work with customers of all types and ages buying a wide range of motorcycles. Our services are available to first bike loan applicants and include sourcing the cheapest loan quote at the cheapest interest rate, assisting with completing the loan application, approval of the application and liaising with the bike dealer to finalise the sale. Services that save our customers time, hassle and usually money!
To complete loan application, proof of income and details of employment, residence, finances and other aspects will need to be provided. To bust a potential myth or doubt that first loan applicants may have – cheap interest rates and great loan deals can be achieved.
Secured Bike Loan
The most popular loan type is the Secured Bike Loan. This is suitable to both first loan and subsequent loan applicants. It does not have restrictions based on the number of loans previously held as the same features and benefits are applicable to all loan applicants. Each loan application is assessed on the individual merits and creditworthiness of the applicant.
The type of bike will be considered as part of the application assessment process with used machines potentially subject to greater scrutiny in regard to age and condition.
Applying for a first motorcycle loan can be as exciting and enjoyable as buying a first bike, by engaging with us and taking advantage of our broker-style lending service which is available to all-comers.
For a great first time motorbike loan, contact Jade Bike Loans at 1300 000 003
DISCLAIMER: IN REGARD TO ANY ERRORS OR MISREPRESENTATIONS IN THIS MATERIAL, NO LIABILITY IS ACCEPTED. THE DETAILS, CONTENT AND DATA ARE PRESENTED PURELY FOR GENERAL INFORMATIONAL PURPOSES FOR MOTORBIKE BUYERS AND THOSE SEEKING MOTORCYCLE LOANS. THIS IS NOT INTENDED AS THE SOLE SOURCE OF INFORMATION FOR FINANCIAL DECISIONS. IF SPECIFIC ADVICE IS REQUIRED AROUND FINANCIAL DECISIONS, READERS SHOULD SEEK THEIR OWN FINANCIAL ADVISOR.
