Do you have to have credit to purchase a street bike? Is my interest rate going to be high?

I REALLY want to purchase a street bike but since im only 18 i haven't really had time to establish any credit.. SO, if someone knows a loophole for my problem that would be great.

Then save for it and pay cash.

Problem solved.


(You could probably get credit for it, but your interest rate would be very high....you'd end up paying a whole lot more than the asking price)

I'd recommend buying used and paying half cash and half with a loan. I'd figure on spending about $5000 for a used bike, so that'd be about $2500 to save and $2500 to build your credit history. Dealers have financing departments which can help you locate a good rate, but usually only deal with a select few companies. While Yamaha and other manufacturers will offer you a loan, they can do funky things with the interest rates (ie. 0% first year and then 23% afterwards). Definitely do not miss or be late on a payment - certain banks change the terms on your account if you're late or miss. Check the fine print and also talk to people at your credit union or bank. When I was 18 I couldn't get a loan from a bank but got one from a credit union and that's how I built my credit. Once you show you can maintain a small loan, you can sell the bike and move into a newer one.

Good luck!

Yes you would need credit and more than likely good credit since buying a street bike is anything unlike buying a car. Buying a car you have the bank or the Lender who hold title to the car until paid in full and they can repossess that car if you fail to keep up your end of the contract. On the other hand, buying a street bike is very similar to applying for a credit card - they are trusting you to repay the loan amount and you have title to the bike. They cannot repossess the bike like a car loan. I would recommend starting somewhere small to build your credit such as a dept. store card. Consider putting some cash aside and paying cash for a used street bike and take someone with you who knows about bikes so that you get a good deal and it is mechanically running. Expect to pay about $1500/$2000 and upwards to over $5000 for a used street bike. They are in high demand right now because of rising gasoling prices. Be smart with your credit - I wish I was 18 allover again I would not make the same mistakes i know that much. Good luck to you!

no matter what your interest rate is going to be high on a bike since its such a liability to finance one. Your best bet is to obtain a credit card first to begin building your credit, once you have established yourself in the credit world then you can start shopping interest rates. Until then you are pretty much stuck with what they give you unless you pay cash.

A good bike from Wal Mart or something shouldn't cost more than $150-200. It's not like you're buying a house.

You need credit to FINANCE a street bike (or anything else).

SAVE AND PAY CASH.