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Discussion Starter #1
I want to get a bike, and Ill more than likely put down like 1K
should I get financing through Kawasaki, or directly from the bank, which one is better?
 

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Kawi finances thru Household retail. They commonly offer 4%-6% (lower for the models that dont sell well) for 3 years. In my expirience thats much better than the terms I ever heard from a bank. But god help you if you dont pay out the loan in time. APR jumps to 18%.
 

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Update Financing

By going with Kawasaki what you will really get, if you qualify, is a Kawi Credit Card. You can easily keep switching over you balance to ones with lower interest rates including some with 0% for six months and 4% for the balance.

Make sure you buy on the Kawi Credit Card. That way once you switch you balance over, they will also send you the Title.
 

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I financed through Kawi too, and yes they sent me a credit card - it freaked me out at first b/c I wasn't expecting my bike to go on a credit card.

But the interest rate is good - 4.9%. I think it has jumped to 5.9% now, but that's still good. It goes up to 10% after two years, but it's certainly not 18% like Vash said, at least not on my card.

That's a pretty good deal b/c the national average for motorcycle loans is about 7.5% even with excellent credit. And switching to another credit card after a couple years lets you pay down your loan at 0% or 2% or whatever you can find, which is awesome IMO. Plus, like he said, you get the title.

Kawi also lets you make low payments - like $50 a month if you want. Not that low payments are going to save you money on interest, but if you are trying to wait to really start paying off your bike, like I am, it can be an ok thing. I'm basically waiting until a raise kicks in to start making larger payments.
 

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All depends on the deal you get. I got in on I think 4.9% for the first year or 2 then 7.9% for the remainder.

Just make sure you avoid the default rate which is the 18.9 I believe.
 

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maybe it's just me, but i would recommend getting your financing done through a local bank even if the interest rate is a little higher. The credit cards offer low rates but if you default on the terms your interest rates go up, which means if you make a late payment then you will pay a higher APR. Also I don't think you have a set monthly payment, other than the minium amount due which if that is all you pay it will take forever to pay off. It's to easy to make just the mininum payment every now and then cause your strapped for cash. If your worried about having the title so you don't have to carry full coverage insurance, then just get a personal unsecured loan through your bank.
 

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i went through kawasaki in august got the 4.99 for 2 years 9.99 afterwards, i was approved for 10k (all i asked for). heres a tip, if you get approved for 10k, and you buy a bike that is only 8k, get all the gear and stuff you want or need at the time you buy the bike,(unless you have cash for that stuff) the first purchase is what gets the low apr for 2 years, so get a helmet, jacket, anything they have and you need at the time you buy the bike, they didn't explain that so when i needed a jacket a week later, i'm now paying the 9.99 on the jacket!

i have a personal loan to consolodate old credit cards and its like 17% which is still better than all my first credit cards. but not as good as kawasaki can give you.
 

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the interest rates for personal loans are a little high, in my experience around 12-15%. The advantage is that it is a fixed rate. If you don't follow the terms on the kawi card your rate is going to jump probably higher than what a personal loan would be.
 

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That may be true, and the rates are probably a little lower on the kawi card, but i believe in the end you will end up spending less money through a personal loan at a higher apr than you would by financing through the kawi card. I am not the most discipline of people and knowing that to pay off my loan in whatever time frame requires a $200 payment, but the credit card is only saying that i am required to make a $50 payment its probably going to take longer than i have planned to pay off the loan, hence more money spent on interest. Just my personal opinion though...
 

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Ive noticed capital one does motorcycle loans. Hopefully keeping my credit card account in good standing with them would allow them to approve me for a loan perhaps before another bank would.
 

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Keep in mind if you get approved for say 10k and you spend
10k on that card you have a maxed out card on your credit
report, for people with shadey credit this hurts your chances
of being considered for future credit homeloans and such.
 

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yeah, that's true about needing the discipline to make the larger payments. Reason it works for me is because I can determine my own payment schedule.
 
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