0% Finance.

[Linux]

Would like your opinions, thoughts and experiences with 0% finance interest free deals on bikes?

Went along with my mate the other day to a bike dealership to give my opinion on the bikes he has in mind, sat with him as they discussed the whole deal, hes decided to think about it.

On paper it seems like a good deal, small deposit, followed by monthly payments on a 2 year payment plan, but I have no experience with 0% financing and can't offer my opinion since I buy from private sellers.

All I know is, if it sounds to good to be true, and all that..
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Two wheels are all I need.

[daverave999]

He won't be able to sell it until it's all paid off.
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2007 Versys 650 2001 Yamaha XJ600S Diversion
HT: Imagine a bike......A bike designed by way of crude polls, assembled by cretins using the finest hammers that Lidl had on offer.

[Az]

[Az]

I'd recommend it, there's nothing hidden it is 0% (in my experience).
And the best bit about it is that u can pay off the rest of the bike early (like i did)... but this is in my experience with my local Honda dealers.

[CarlosCBR]

I echo what others have said. I've got my 6f on 0%, fantastic deal, had my restrictor thrown in free and a free end can.

Its just like saving, but you get the bike before you've saved for it and you are only paying back the cost of the bike not a tasty 29.9% interest.... that i had to pay on my first 125!!!
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https://www.youtube.com/watch?v=1OPv5mDPQ14

https://www.facebook.com/carl.simmonds.7

[Davenaylor]

With the small initial deposits and then small monthly repayments over 2 years, is there not a horrendous final payment at the end of the loan term?

[pinkyfloyd]

I bought my XJ6N on 0% finance. I was saving up for a new bike and I had a decent deposit which made the monthly repayments £85 a year. For me it was the difference between buying a second hand model of the same bike or buying it brand new in the colour scheme I wanted.

The factors to take in are as follows:

Is the finance secured on your bike? If so you have to keep it for the full term.

The bikes depreciation if you ride out of the showroom means you can lose up to £1000 of the value instantly.

You have a monthly repayment to make for the full length of the contract and the Yamaha one is 4 years. Lots could happen in 4 years so you need to think "Will the monthly payments be affordable even if I lose my job?"

The upsides:

You get a brand new bike without paying interest.

Piece of mind knowing your bike has not been ragged to its nuts.

3 years no MOT.

A bike that, if you look after it you can sell for decent money at the end of the term. Current shape 2009 XJ6N's sell for around 3-4K on Ebay. Yes its not as much as the 6K I am paying for the bike brand new but its still not a bad sum of money.

0% is a good thing. It means you are paying for the bike and not to line the finance companies pockets.
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illuminateTHEmind wrote: I am just more evolved than most of you guys... this allows me to pick of things quickly which would have normally taken the common man years to master
Hockeystorm65:.well there are childish arguments...there are very childish arguments.....there are really stupid childish arguments and now there are......Pinkfloyd arguments!
Teflon-Mike:I think I agree with just about all Pinky has said.

[Wonko The Sane]

"The bikes depreciation if you ride out of the showroom means you can lose up to £1000 of the value instantly"

Thats the same buying new on finance or in full anyway.

The other thing to bear in mind is, if there is finance outstanding on the bike you'll still owe it if you don't have the bike - if you sell it, you've got to pay the finance off

If it's written off in a crash (your fault) you still need to pay the finance off

if someone crashes into it and writes it off you need the insurance to cover paying the finance off. This could result in an insurance payout to yourself being not much as it should clear any finance before paying you.

0% finance is essentially the manufacturer or dealer wanting to shift products to keep production moving, it's essentially like borrowing the money to buy the bike from a mate who only cares about getting the money back, not interest and has some scary mates if you don't pay and it's legally binding.

[Shinigami]

I was looking at the xj6 on 0% but can't afford to at the moment
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Current: Honda City Fly CLR125 2003 Honda CB600F Hornet 2008 Yamaha FZ6 S2 + 1991 Kawasaki GPZ500
"Once you realize what a joke everything is, being the Comedian is the only thing that makes sense.

[Troy92]

I've made this mistakes make sure he will be happy with a 125 for even one year. In finding it a basterd to sell my wr a lot cheaper than others listed on eBay simply because it has finance outstanding.

[Derivative]

Does he have the cash to pay it up front?
If so, get the 0% finance deal and stick the cash in the bank.

If he doesn't, tell him to get a cheaper bike.
Plebs take loans out to buy toys. Is he a pleb?

[goto10]

[Derivative]

[Shinigami]

In my case it wouldn't be a toy, it's my primary transport, I don't have a car, however i'm not daft enough to go ahead with it without being sure I have a bigger deposit and can keep up the payments
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Current: Honda City Fly CLR125 2003 Honda CB600F Hornet 2008 Yamaha FZ6 S2 + 1991 Kawasaki GPZ500
"Once you realize what a joke everything is, being the Comedian is the only thing that makes sense.

[Sako]

It may work out better to buy a 6 - 12 month old machine and haggle on the interest rate, this can offset the zero per cent finance by not having lost the initial depreciation hit (depending if you are savvy enough to get a good price on the bike AND haggle the interest rate)

[Pie-Roe]

[Derivative]

[The Disapproving Brit]

[Golgarth]

Why are people so anti finance on bikes? If you can afford the repayments, and don't want an older/used bike, then do it, 0% is just the icing on the cake!

[Fifteen15]

[j.silvs]

Sometimes you are able to get a batter deal on finance even if its 0%

Some manufactures offer bonus's on finance penetration regardless of the rate. This then can be used to negotiate a better deal.

Throw in some gear or a kit as others as described.

I am all for 0% if its free. If you have the lump sum then chuck it in an ''amazing'' 3% fixed interest for the 2 years and you have made money - couple of quid but its all money.

I got for buy now and pay later / 0% if its free but bare in mind I have no credit cards / loans I am having to pay for. No point in borrowing if its going to stretch you! - I am very good with money but still use finance.

Another bonus- having finance on the bike makes the finance company jointly responsible if the bike goes wrong or sour so you get more piece of mind!

[j.silvs]

[Rogerborg]

[j.silvs]

What Roger said is actually really interesting - so you should technically state your not the owner?

But then my insurance only asked if I am the registered keeper.

[Whosthedaddy]

Had 2 bikes on 0%, it was it says on the tin, a loan for nothing back but the payments?
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Current : MSX 125 Past : CBR 900RR Monkeybike : c50 LAC : ZXR750 H2 : FZR600 : ZX7R P3 : YW100 : TRX850: Trophy 900 T309 : GSXR 600 L0: Monkeybike : XJ6S Whosthedaddy