You might be surprised to learn that you can finance the purchase of a motorcycle with a credit card. In fact, there are a few different ways to do it. Let’s take a look at a few of the most popular methods so that you can decide which one is right for you.
1. Use a low interest credit card to finance the purchase.
If you have a good credit score, you may be able to qualify for a low interest credit card with a 0% intro APR offer. This means that you can finance the motorcycle purchase without accruing any interest for a period of time (usually 12-18 months). Just be sure that you pay off the balance before the intro period expires, or you’ll be stuck with a high interest rate on the remaining balance.
2. Get a personal loan from your bank or credit union.
Another option is to take out a personal loan from your bank or credit union. The interest rate on these loans is usually lower than what you would get with a traditional auto loan, and you may have up to 60 months to repay the loan. This could make monthly payments more affordable, but keep in mind that you’ll end up paying more in interest over the life of the loan.
3. Use an existing line of credit.
If you have an existing line of credit, such as a home equity line of credit (HELOC), you can use it to finance your motorcycle purchase. The interest rate on these lines of credit is usually quite low, and you may have up to 10 years to repay the loan. Of course, this option requires that you have equity in your home, which not everyone has. Also keep in mind that if you fail to make payments on your HELOC, your home could be foreclosed on by the lender.
There are a few different ways that you can finance the purchase of a motorcycle with a credit card. Each option has its own pros and cons, so be sure to compare them carefully before making a decision. Whichever route you choose, just remember to stay within your budget and make all of your payments on time!