So been in the market for a new bike and thought I would try out an Iron 883.
Went for a test ride and really liked the relaxed style.
PCP deal gets calculated and bloody hell… 13% APR??
Thought this dealer was a rip off so called up a few others and none were lower than 12%.
Since when were APRs that high on a vehicle?
Wow, that’s high. I swear that a few months back i seen Harley promoting the Iron at 0%! Have you checked how much your bank will lend at?
Yeah I thought I saw that too?!
Wanted to go down the PCP route to be honest and hand it back after a few years
when I was looking at ktms it wa’s around the 10-11 mark iirc… similar thing when I was trying to buy second hand car… I guess it’s just waiting for those 0%deals
isn’t the APR a bit miss-leading in some of these deals? Anyway My bank is advertising around 4% on personal loans from 7.5k to 14.5k which is much better.
Most people don’t get the rates advertised from banks. 13% sounds average tbh for bikes for folks without great credit scores (ie most of us).
But.,. It’s for a Harley, not exactly for the poor.
Harley are going downhill and trying to sneak in some extra revenue. just look at how many recalls they had to do last year.
I thought the defining feature of bike finance was that it’s piss easy to get and hilariously expensive to pay off? Obviously they get some commission from the broker, but surely there’s more efficient ways for a bike company to ‘sneak in some extra revenue’ than ask for a higher APR? And are they doing that badly?
2014-2015 was a 6.5% loss in net income. http://www.reuters.com/article/us-harley-davidsonresults-idUSKCN0SE1BL20151020
There’s three proper downsides at the end of a PCP contract.
2) Damages other than fair wear and tear are charged for at the end of the contract. For me that’s the real deal breaker especially with a Harley which needs too much TLC to keep it in a condition that the dealer will accept as fair wear and tear.
There's three proper downsides at the end of a PCP contract.Not a problem for a Harley owner as there's not a lot of Miles put on by Pushing it out your garage every sunday and Polishing itNational Treasure
- If you go over your declared annual mileage you end up paying up to £100 per 1,000 miles over, it can rack up if you actually ride.
lolThere's three proper downsides at the end of a PCP contract.Not a problem for a Harley owner as there's not a lot of Miles put on by Pushing it out your garage every sunday and Polishing it MarmabladeNational Treasure
- If you go over your declared annual mileage you end up paying up to £100 per 1,000 miles over, it can rack up if you actually ride.
you can get a significantly better rate from a personal loan from the bank… I was offered 3% for a borrowing anything over 7k to repay in 3 years…
When i got the blade the APR from the shop was really high so i went with https://www.superbikeloans.co.uk/ they have differing APR rates depending on financial situation (credit score) and it worked out cheaper for me to use them
It seems despite the Bank of England rates being practically zero, that borrowers of that money (banks and businesses) are then making money by having double digit APRs. So much for the Quantative Easing as it has done it put loads of money into financial institutions would have stockpile it, and the change a fortune to borrow it, thus breaking the reliance on savers and therefore only having to other piss poor saving rates.
I considered financing the Z1000 when I bought it, but the Kawasaki APR was double digits. I declined.
Interest rates are all about risk. And an individual is nearly always a bigger risk than a corporation… therefore you’ll have to pay higher rates. The APR’s on PCP’s are bit off, since the balloon payment is added in, the actual load part is probably more like 7%/8%.
QE itself is a bit of a farse - All the ‘money’ printed for QE can only be used to purchase govt bonds… So really its just funding the government a bit more; rather than feeding the pockets of banks; plus the banks have been told by the government to both increase their liquidity ratio’s and at the same time lend more (and not only that lend to the riskier side as well.)
Given these loans tend to be fixed rate; fixed term… I would look more at the total cost than the APR and decide if that’s figure you want to spend or not.
I got my bike on 0% and Kawasaki are currently doing 0% on bikes under 1000cc I believe.
From Kawasakis website:
Machines covered include the entire ER-6 range, all Ninja 300 models, Ninja ZX-6R 636 machines, the Z800 range and the ever popular W800. In addition each of these machines and the 2014 model year Versys models can alternatively be purchased over 4 years at 3% APR and 5 years at 4% APR.
From Kawasakis website:I think that's out of date since it refers to 2014 models. Here's Colchester Kwak http://www.colchesterkawasaki.co.uk/offers/kawasaki-offersMachines covered include the entire ER-6 range, all Ninja 300 models, Ninja ZX-6R 636 machines, the Z800 range and the ever popular W800. In addition each of these machines and the 2014 model year Versys models can alternatively be purchased over 4 years at 3% APR and 5 years at 4% APR.
Kevsta
All sub-800cc Kawasaki machines – including the brand new J125 scooter – will be eligible for three years, 0% APR Representative finance with a minimum deposit of just £99. The models covered on the 0% finance deal are as follows:
Could be a silver lining… Birmingham Harley seem a lot more reasonable so let’s see what happens!
