Most motorcycle buyers with poor credit histories have been repeating the same mistakes when seeking approval for bad credit motorcycle financing. Let us delve into a few vital tips to help you find a loan despite having a bad credit history.
Do Not Rely Only On Dealership Financing
You might come across numerous financial sources offered by motorcycle dealerships. However, these financial sources would be relatively less than the available lenders in the region. Most motorcycle buyers with bad credit consider buying Harley Davidson financing from the dealership. However, after their application is declined, they assume it is impossible to seek loan approval. It is not the right approach.
Rest assured that dealerships would only submit your application to the lenders who have established a specific relationship with them. As a result, most lenders have never been approached by the dealership, ignored entirely by several motorcycle buyers. It would include specialized lenders, local banks, and credit unions concentrating on bad credit used motorcycle financing.
Do Not Lose Heart
Most motorcycle buyers lose heart relatively sooner after being declined for bad credit motorcycle financing. It might feel like rejection, but do not let declines deter you. A better approach to the Harley Davidson financing process would be to treat it like a game. Consider seeking more lenders until you are successful.
Focus On Bad Credit Specialist Lenders
Consider looking for used motorcycle financing bad credit lenders available in all markets. You must do adequate research and seek out specific lenders focused on bad credit applicants. However, you would require sufficient motivation to look for these lenders lest you wish to end up being disappointed.
Consider Showing Lenders The Down Payment
For bad credit applicants, most lenders consider having something substantial in their hands before offering bad credit motorcycle financing. However, most motorcycle buyers tend to ignore this vital aspect.
When you show the lender your ability to put in some money as a down payment, they will understand you are serious about buying a bike. It would make the Harley Davidson financing process easy. However, you would be required to pay at least $500 for the bike rather than leaving the payment section blank.
Auto Insurance Is A Vital Aspect
Auto insurance will protect the lender or the bank if you encounter a collision or theft. Most lenders would not require full coverage insurance for used motorcycle financing. However, some lenders would ask you for full coverage insurance due to bad credit history. Rest assured that it could significantly affect your bad credit loan approval process.