Getting The Right Finance Deal For Your Bike

Whether you are after finance for your new bike or your bike insurance there are several ways to go about it to minimise the cost. If you're purchasing your new wheels then the simplest way of doing it is hire purchase. The loan is secured against the bike so it is usually easy to get finance, but the percentage rates are generally high. When you get your bike insurance make sure that the bike is insured for the full repayment amount, or you could be out of pocket if your bike is stolen.

Another way to finance your new bike purchase is to get a personal loan which spreads the payment over many months. The advantage of this is that the bike doesn't act as security so the finance company can't repossess it. However, because of this, it is much harder to get a loan and the rates vary widely depending on your circumstances.

You can also pay for your bike or bike insurance by credit card, which is easy and quick. The disadvantage is that rates can be high, but many companies offer interest free introductory offers and you can pay as much or as little back as you wish each month.
Many insurers offer their own finance deals, but be careful to ask how much interest you are being charged and remember that if you have a total loss claim you will still have to pay your outstanding balance.

Remember the best deals often come from shopping around and a little time can mean a big saving for your new bike or cheap bike insurance.

Date - 15/09/2006