4 Best Places to Find a Loan for Your New Motorcycle

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Student Loan Hero Advertiser Disclosure

Our team at Student Loan Hero works hard to find and recommend products and services that we believe are of high quality and will make a positive impact in your life. We sometimes earn a sales commission or advertising fee when recommending various products and services to you. Similar to when you are being sold any product or service, be sure to read the fine print understand what you are buying, and consult a licensed professional if you have any concerns. Student Loan Hero is not a lender or investment advisor. We are not involved in the loan approval or investment process, nor do we make credit or investment related decisions. The rates and terms listed on our website are estimates and are subject to change at any time. Please do your homework and let us know if you have any questions or concerns.

motorcycle loans

Motorcycles are more popular than ever because of their fuel efficiency and relatively low cost. A new car costs an average of $36,270, according to Kelley Blue Book. By contrast, you can buy a new motorcycle for under $5,000.

Motorcycles can be a budget-friendly form of transportation. However, finding a motorcycle loan can be difficult, and you might have to pursue financing alternatives.

How motorcycle loans differ from auto loans

Although the process of purchasing a motorcycle is basically the same as buying a car, your financing options are different. In many cases, you can’t take out an automobile loan to purchase a motorcycle. Instead, you have to take out a loan specifically designed for motorcycles, recreational vehicles, or specialty vehicles.

Motorcycle loans and specialty loans often have different terms than auto loans, including interest rates and repayment periods.

For example, as of April 6, 2018, you can qualify for a rate as low as 3.09% for a car loan from SunTrust. However, SunTrust classifies motorcycles as recreational vehicles; they’re in the same category as boats and motor homes. If you want to take out a motorcycle loan with SunTrust, the lowest rate you can get is 4.44%.

4 motorcycle loan options

Because motorcycle loans are so different from auto loans, it’s a good idea to consider multiple financing options to ensure you get the best deal.

Whether you’re buying a motorcycle as your primary source of transportation or simply want to ride on the weekends, there are four main types of financing available to you.

1. Manufacturer financing

Some manufacturers offer motorcycle loans directly to buyers. For example, Harley-Davidson partners with Eaglemark Savings Bank to offer loans. Depending on your credit history and income, you could qualify for a loan with a rate as low as 3.99%. In some cases, you might not even have to come up with a down payment.

It’s important to keep in mind that the lowest rates on manufacturer loans are usually reserved for select models or loans with short repayment terms. If you’re buying a lower-priced model or need a loan term longer than 36 months, you’ll likely get a higher rate.

2. Dealership financing

Another option is financing through a motorcycle dealership. Some dealerships offer loans from manufacturers, but they also might partner with third-party lenders. These lenders often have less rigorous standards than manufacturers, so you’re more likely to qualify for a loan if your credit isn’t great.

However, dealership loans can be more expensive than other financing options. You might end up paying more in interest than you would if you went with a loan from another source, such as a credit union.

3. Bank or credit union loans

You can save money at the dealership by securing financing on your own beforehand. Many banks and credit unions offer motorcycle loans and tend to have lower interest rates than dealerships.

If you have poor credit or don’t have an established credit history, going through a credit union could be a smart choice. Unlike banks, credit unions are nonprofit organizations and might have more relaxed requirements for loans. If you’re not a member of a credit union already, you can find one near you through MyCreditUnion.gov.

4. Personal loans

One other option to consider is taking out a personal loan to purchase your motorcycle.

Depending on your income and credit history, you could qualify for a loan with a rate as low as 4.98%. If you have excellent credit and can comfortably afford the monthly payments, you might be able to save money by opting for a personal loan.

On the other hand, if your credit isn’t steller, you might be more likely to qualify for a personal loan than a motorcycle loan. Some personal loan lenders will work with borrowers with credit scores as low as 580.

But the more relaxed credit standards mean personal loans can have much higher interest rates than other forms of financing. Although you might qualify for a loan, you could end up with an interest rate as high as 35.99%.

You might think the high rate is worth it if it helps you buy your dream vehicle, but it can cost you over time. For example, if you qualified for a 60-month loan from Harley-Davidson for $10,000 and had a 3.99% interest rate, you’d pay back a total of $11,047.

By contrast, if you took out a personal loan and qualified for a $10,000, 60-month loan at 35.99% interest, you’d pay back a staggering $21,676.

Also, personal loans typically have shorter repayment terms than motorcycle loans. With a motorcycle loan, you can have a repayment term as long as 84 months. With a personal loan, you’re often limited to just 60 months.

It’s a good idea to compare personal loan offers from multiple lenders to get the lowest rate. With Student Loan Hero, you can get quotes from multiple lenders at one time without affecting your credit score.

Buying your motorcycle

A motorcycle can be a fuel-efficient and cost-effective form of transportation. If you need help researching models and getting the best price at the dealership, check out our guide on how to buy a vehicle for more tips.

Interested in a personal loan?

Here are the top personal loan lenders of 2018!
LenderRates (APR)Loan Amount 
1 Includes AutoPay discount. Important Disclosures for SoFi.

SoFi Disclosures

  1. Personal LoansFixed rates from 5.950% APR to 14.490% APR (with AutoPay). Variable rates from 5.825% APR to 14.365% APR (with AutoPay). SoFi rate ranges are current as of May 3, 2018, and are subject to change without notice. Not all rates and amounts available in all states. See Personal Loan eligibility details. Not all applicants qualify for the lowest rate. If approved for a loan, to qualify for the lowest rate, you must have a responsible financial history and meet other conditions. Your actual rate will be within the range of rates listed above and will depend on a variety of factors, including evaluation of your credit worthiness, years of professional experience, income and other factors. See APR examples and terms. Interest rates on variable rate loans are capped at 14.95%. Lowest variable rate of 5.825% APR assu[mes current 1-month LIBOR rate of 1.90% plus 4.175% margin minus 0.25% AutoPay discount. For the SoFi variable rate loan, the 1-month LIBOR index will adjust monthly and the loan payment will be re-amortized and may change monthly. APRs for variable rate loans may increase after origination if the LIBOR index increases. The SoFi 0.25% AutoPay interest rate reduction requires you to agree to make monthly principal and interest payments by an automatic monthly deduction from a savings or checking account. The benefit will discontinue and be lost for periods in which you do not pay by automatic deduction from a savings or checking account.
  2. Terms and Conditions Apply: SOFI RESERVES THE RIGHT TO MODIFY OR DISCONTINUE PRODUCTS AND BENEFITS AT ANY TIME WITHOUT NOTICE. To qualify, a borrower must be a U.S. citizen or permanent resident in an eligible state and meet SoFi’s underwriting requirements. Not all borrowers receive the lowest rate. To qualify for the lowest rate, you must have a responsible financial history and meet other conditions. If approved, your actual rate will be within the range of rates listed above and will depend on a variety of factors, including term of loan, a responsible financial history, years of experience, income and other factors. Rates and Terms are subject to change at anytime without notice and are subject to state restrictions. SoFi refinance loans are private loans and do not have the same repayment options that the federal loan program offers such as Income Based Repayment or Income Contingent Repayment or PAYE. Licensed by the Department of Business Oversight under the California Financing Law License No. 6054612. SoFi loans are originated by SoFi Lending Corp., NMLS # 1121636. (www.nmlsconsumeraccess.org)

2 Important Disclosures for Citizens Bank.

Citizens Bank Disclosures

  1. Personal Loan Rate Disclosure: Fixed interest rates range from 4.99% – 16.24% (4.99% – 16.24% APR) based on applicable terms. Lowest rates shown are for eligible applicants, require a 3-year repayment term, and include our Loyalty and Automatic Payment Discounts of 0.25 percentage points each, as outlined in the Loyalty Discount and Automatic Payment Discount disclosures. Subject to additional terms and conditions, and rates are subject to change at any time without notice. Such changes will only apply to applications taken after the effective date of change.
  2. Loyalty Discount: The borrower will be eligible for a 0.25 percentage point interest rate reduction on their loan if the borrower has a qualifying account in existence with us at the time the borrower has submitted a completed application authorizing us to review their credit request for the loan. The following are qualifying accounts: any checking account, savings account, money market account, certificate of deposit, automobile loan, home equity loan, home equity line of credit, mortgage, credit card account, student loans or other personal loans owned by Citizens Bank, N.A. Please note, our checking and savings account options are only available in the following states: CT, DE, MA, MI, NH, NJ, NY, OH, PA, RI and VT. This discount will be reflected in the interest rate and Annual Percentage Rate (APR) disclosed in the Truth-In-Lending Disclosure that will be provided to the borrower once the loan is approved. Limit of one Loyalty Discount per loan, and discount will not be applied to prior loans. The Loyalty Discount will remain in effect for the life of the loan.
  3. Automatic Payment Discount: Borrowers will be eligible to receive a 0.25 percentage point interest rate reduction on their Citizens Bank Personal Loan during such time as payments are required to be made and our loan servicer is authorized to automatically deduct payments each month from any bank account the borrower designates. If our loan servicer is unable to successfully withdraw the automatic deductions from the designated account two or more times within any 12-month period, the borrower will no longer be eligible for this discount.

* Important Disclosures for Upgrade Bank


Upgrade Bank Disclosures


  • Your loan terms are not guaranteed and are subject to our verification and review process. You may be asked to provide additional documents to enable us to verify your income and your identity. This rate includes an Autopay APR reduction of 0.5%. By enrolling in Autopay your payments will be automatically deducted from you bank account. Selecting Autopay is optional. Annual Percentage Rate is inclusive of a loan origination fee, which is deducted from the loan proceeds. Late payments or subsequent charges and fees may increase the cost of your fixed rate loan. All loans made by WebBank, member FDIC. Please refer to Upgrade’s Terms of Use and Borrower Agreement for all terms, conditions and requirements.
  • Accept your loan offer and your funds will be sent to your bank via ACH within one (1) business day of clearing necessary verifications. Availability of the funds is dependent on how quickly your bank processes this transaction. From the time of approval, funds should be available within four (4) business days.

7.73% - 29.99%$1,000 - $50,000
Check rate nowon SLH's secure site
5.83% - 14.74%1$5,000 - $100,000
Check rate nowon SLH's secure site
5.96% - 35.97%*$1,000 - $50,000Visit Upgrade
8.00% - 25.00%$5,000 - $35,000
Check rate nowon SLH's secure site
4.99% - 29.99%$10,000 - $35,000Visit FreedomPlus
4.99% - 16.24%2$5,000 - $50,000Visit Citizens
15.49% - 34.49%$2,000 - $25,000Visit LendingPoint
5.99% - 35.89%$1,000 - $40,000Visit LendingClub
5.49% - 18.24%$5,000 - $75,000Visit Earnest
9.95% - 35.99%$2,000 - $35,000Visit Avant
Our team at Student Loan Hero works hard to find and recommend products and services that we believe are of high quality and will make a positive impact in your life. We sometimes earn a sales commission or advertising fee when recommending various products and services to you. Similar to when you are being sold any product or service, be sure to read the fine print understand what you are buying, and consult a licensed professional if you have any concerns. Student Loan Hero is not a lender or investment advisor. We are not involved in the loan approval or investment process, nor do we make credit or investment related decisions. The rates and terms listed on our website are estimates and are subject to change at any time. Please do your homework and let us know if you have any questions or concerns.