Finance... Problems

[Maxx]

So, I'm 20 years old. Done my CBT two days ago, really enjoyed it (although I did half wheelie the bike when slipping the clutch right at the start, bike fell.. I managed to stay on my feet)

Tried to apply for finance to get a second hand Yamaha YZF R-125. Got my heart set on a sports style bike, love the look of it and the reviews seem great. Then my problem started, I don't really have a *credit history* as such, before getting my current account around a month ago everything I paid for was just under my mums name and account, I'd just give her the money.

Moreover I have only been working for 2 years due to being in college before that. I make roughly £900 a month, can afford the bike finance and insurance... Just can't get the finance company to trust me it seems.


To say I'm gutted would be a understatement. Wondering if anyone here has been in the same situation or has some advice/tips?

[TheArchitect]

First bike after CBT on finance is a bad idea in my book. But not here to preach. Only tip I can give is don't apply again until you've built up some sort of credit history.

Make sure you're on the voters role at same address as your bank account.
Actively using your bank account, pay for everything on your debit card where possible.
Make sure your salary is always paid into your account to show regular income.
In about 6 months time apply for a credit card with low limit, one of those credit builder cards (loads around). Then use that for everything and pay off the balance in full every month,

Then in about 18 months time, check your credit report. If it's in decent shape apply for finance again.

Also remember, the more things you apply for (and get declined) goes down as a negative on your credit file.
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GSXR 600 K6 - Stolen
GSXR 600 K6 - Stolen
MT09 - Almost stolen

[grr666]

Get Mum to finance the bike then, and pay her back as you're used to doing. Then get any credit card you
can and buy your fuel/roadtax/consumables for it on that and that only settling up in full every month so as to avoid interest.
Over the first couple of years you'll quickly build up a credit rating all of your very own and you can finance
a bigger bike next time once you've lost the L plates.

Bugger, beaten to it by Thearchitect.
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Currently enjoying products from Ford, Mazda and Yamaha
Ste wrote: Avatars are fine, it's signatures that need turning off.

[Wednesday Biker]

I got finance for a 125 but it cost about £2400 at the time and was interest free.Still lost a lot when I sold it.
You'll be paying out massive bucks for the bike and will get bored and want to take your test.
I wouldn't do it even if you can find someway to get finance.
Just save up and buy a low mileage £1500 ybr off some mug like me who bought it new and regretted it

[Rogerborg]

Or you could ask about getting a loan in your name with her as a guarantor, which will help your credit rating. You might get knocked back for that too, but as you essentially don't have a credit rating I'm not sure if that will make it worse.

How much have you got stuffed under the mattress though? 125s come with a surprising price premium but you should still be able to bag something plastic and pointy for under £1K.
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Biking is 1/20th as dangerous as horse riding.
GONE: HN125-8, LF-250B, GPz 305, GPZ 500S, Burgman 400 // RIDING: F650GS (800 twin), Royal Enfield Bullet Electra 500 AVL, Ninja 250R because racebike

[P.addy]

Put 500 of that 900 away for 2 months, then go buy a used £1000 125. If you want something nicer, save more or longer.

If all of the 900 is disposable then save 800 for 2 months, use 200 for your gear and 1200 for the bike, the rest for insurance. 1200 will buy you a decent used 125. Pointless doing a dealer purchase, better elsewhere.

[Maxx]

My problem I believe is I'm a materialistic c-word. I could probably buy a £1000 YBR or something, however I dislike the looks of most of the cheaper (probably more reliable) 125s. However I know I'd get more enjoyment leaving my house and being able to get on a bike I love the look of.

If I'm going to stall at a major roundabout and look like a right idiot, I at least want to do it on a bike I think looks good.

Also, Anchor... Your response is spot on and it really is what I should do. However, I really don't want to have to wait 18 months to get a bike (plus, due to my workplace moving in September, I have to travel further.)

I guess the term "beggars can't be choosers" is popping into your heads right now, haha.

[Maxx]

Don't know why I called you Anchor instead of Architect... My bad.

[Maxx]

Roger, I could afford around 1k now. Problem is finding one with a "sports" style look, that is close to me.

[grr666]

All 125s immediately look shit with an L plate on. No exception.
It's the road going version of a dunces cap.

The money is better spent getting trained up and being rid of the Ls. That will have a greater effect on how other road users regard/treat you far more than your choice of bike will.
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Currently enjoying products from Ford, Mazda and Yamaha
Ste wrote: Avatars are fine, it's signatures that need turning off.

[Rogerborg]

[Maxx]

I have my gear already, insurance I'd pay monthly (could afford the first payment)

Honestly I'd do the A2 and get a bigger bike... If I had some more courage. I'm from a family where no one drives, I have always walked or used public transport. I am not used to being on the roads AT ALL. So just wanted a little 125 to build up confidence and get used to riding on the roads, without having to worry about accidentally doing 7million mph (I'm sure it feels like 7million mph, right?)

[grr666]

You'll feel a lot more confident riding something that can't be dusted off by a 1.2 Corsa in 3rd gear.

Oh and inb4mtfu
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Currently enjoying products from Ford, Mazda and Yamaha
Ste wrote: Avatars are fine, it's signatures that need turning off.

[Maxx]

Hahaha, I done boxing since I was 9! My days of MTFU are over, I am allowed a few years of being more careful! I've just ordered a pink apron to wear whilst I bake cupcakes for my neighbors!

[andyscooter]

Would you get insurance on a monthly deal without any credit history
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gilera runner vxr200 (chavped)
if its spelt wrong its my fat fingers and daft auto correct on my tablet

[CaNsA]

[Beehive Bedlam]

[Hefty]

[Maxx]

Yeah you're right, maybe I should look for a cheap CBF or YBR. Also a good point I didn't think of, hopefully someone will insure me! haha

[Hefty]

[Northern Monkey]

Get a credit card,

Spend about £200 a month on it

Pay it off in full every month, by setting up a direct debit.

Wait 3 months,

Voila, you have a credit history
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Fisty: after polishing the tank with the glistenng beads of sweat from my full hot scrotum, I filled the headrace bearings with 10cc of my manmilk

[Teflon-Mike]

Some years ago, company I was working for were going down the tubes, rapidly, but offering triple enhanced 'voluntary' redundancy packages...
The coffee machine query of the moment was "So, with two years tax free salary in the bank... WHAT would you do?"
Question sorted the men from the boys.. the boys all saw fancy new cars or back-packing adventures over outer-Mongolia, booze-binges in Bankok, or a hefty lump-sum in the bank towards a mortage after they had got another job.... the Men? Well they imagined getting stuck into large amounts of unfinished DIY, angry wives and piles of bills mounting up...
One of the recent grads, who had got all exited about the idea of two years salary in the bank and taking a belated gap-year to India, disappointing to find he didn't qualify, considered the apparent 'gloom' of the older co-workers seeming lack of imagination or adventure; only to conclude "So.. what you all mean, is.. you spend however long at Uni getting qualifications to get a good job, then forty years a slave to the Money Lenders, fretting over keeping your job or finding another, trying to keep just ahead of the money-men, so that after forty years, you have a pile of bricks to your name, just before social Services sell it to stick you in the nursing home?" We all had to agree with his appraisal of the matter!

So.... lets look at this 'ere 'Problem'.. WHAT is the problem?
that you don't have a credit rating?
that you cant afford, instantly, the motorbike of your dreams? (get used to it.. few can, even with a fantastic credit rating!)
that you're a materialistic c-word?

My bike, is twenty something years old; it aint fast, it aint pretty, it isn't particularly exiting or even valuable... but it IS mine... 100% paid for, cash. Insurance, likewise is paid upfront; so is the tax. If 'something' happened to it... I don't know, it broke down, fell over or something.. I would still have 'some'money in the bank to be able to fix it.. I wouldn't be eeking that I had to find umprty quid a month to keep up the HP installments and the Inurance payments AND have the tax coming out the bank, before hand, all for a bike that I couldn't ride..... I don't actually have anything but my house on credit, and even that, I own three times more of it than the bank does, so its cheaper than paying rent. I don't even have a contract for a mobile telephone, or a subscription TV service. I am NOT a 'Credit Slave'. and consequently, despite not actually having a particularly high income, I can still afford a reasonably affluent life-style....

Credit.. Other-People's Money.. usually costs you around 15-20% a year... so you start spending OPM, the £900 a month you earn, isn't... it rapidly becomes just £800 a month... £100 of it immediately committed to pay the interest to the shylocks..... NOT all for the sake of not being a materialistic c-word, but not being an IMPATIENT materialistic c-word...

You can still be a materialistic c-word, and have nice shiny stuff, without credit... you just have to save up a bit for it..... then, its all yours not the money mens, and that £100 a month is still in your pocket, not committed to thiers.

So.. what's the 'problem'?
Personally I don't see one.. and advice to get credit builder credit cards or start taking out contract phones and other ploys to build a credit history... not actually a solution, so much as a great way to find more 'problems'...

That's my take on the matter.... but your call. But identify what the REAL problem is before trying to solve it.

You have waited this long to get on two wheels, whats a couple more months? You don't have ANY bike right now, so even one that's not as 'exiting' as you might like, is still going to be infinitely more 'fun' than sitting on a bus? Why sell your soul to the shylocks for it?
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My Webby'Tef's-tQ, loads of stuff about my bikes, my Land-Rovers, and the stuff I do with them!
Current Bikes:'Honda VF1000F' ;'CB750F2N' ;'CB125TD ( 6 3 of em!)'; 'Montesa Cota 248'. Learner FAQ's:= 'U want to Ride a Motorbike! Where Do U start?'

[Rogerborg]

^^^
Good news, by the time you read whatever Mike just wrote (was it the steak and wine one again?), you'll be 24 and can go straight to DAS.

Really though, why wobble around on a little bike of limited ability, essentially untrained and sporting Loser plates that will get you abused by everyone on the road? It's the exact opposite of being safe.
____________________
Biking is 1/20th as dangerous as horse riding.
GONE: HN125-8, LF-250B, GPz 305, GPZ 500S, Burgman 400 // RIDING: F650GS (800 twin), Royal Enfield Bullet Electra 500 AVL, Ninja 250R because racebike

[Northern Monkey]

It's often easier to get finance through a dealer for new, than to get an unsecured loan from the bank. This is because the dealer brokers a loan secured against the bike.

Use the £1000 to pass your DAS, then buy an R3 instead of an R125
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Fisty: after polishing the tank with the glistenng beads of sweat from my full hot scrotum, I filled the headrace bearings with 10cc of my manmilk

[Maxx]

I now need to get a loan so I can pay this Mike guy to do a speech at my wedding.

In all seriousness you're right, I just need to get my immature attitude of "I want that cool looking bike" out of the way, should probably actually learn how to ride first.


My plan is to probably buy a cheap CBF or something, get some practice then do my A2. By that time I should be in the army and hopefully saving some money (whilst making more than I am now!) then go buy me a Kawasaki ninja 300 or something.


Then crash it into the back of a black cab, money well spent. Fuck black cabs.