Motorcycle Loan in the Philippines - Philippines Loan

Motorcycle Loan in the Philippines

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What is a Motorcycle Loan?

A motorcycle loan is a type of loan that can be used to purchase a motorcycle. The loan is typically offered by banks or other financial institutions, and the terms and conditions may vary depending on the lender.

Requirements for a Motorcycle Loan

The requirements for a motorcycle loan may vary depending on the lender, but there are some general requirements that are common across most lenders. In order to qualify for a motorcycle loan, you will likely need to be of legal age to ride a motorcycle in your country or state, you will need to have a steady income, and you will need to have a good credit score. You may also be required to provide collateral in case you default on the loan.

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How to Apply for a Motorcycle Loan

To apply for a motorcycle loan, you will need to provide some personal information, such as your name, address, and contact information. You will also need to provide detailed information about your income and employment, as well as your credit score. You may be able to apply for a motorcycle loan online or in person at a bank or other financial institution.

Why Should You Get a Motorcycle Loan?

1. The Application Process is Usually Quick and Effortless

Problem: Applying for a motorcycle loan can be a long and tedious process. You have to gather a lot of information and go through several rounds of interviews.

Agitate: And if you don’t have a perfect credit score, you may not even be eligible for a motorcycle loan.

Solution: The good news is that there are lenders who offer motorcycle loans to people with less than perfect credit scores. So don’t give up just yet. Check out our list of the best motorcycle loans for bad credit below.

2. You Won’t Have to Touch Your Savings or Emergency Fund

If you’re tight on cash, a motorcycle loan can be a great way to get your hands on a new bike without having to touch your savings or emergency fund. Most lenders will allow you to finance the entire cost of the motorcycle, including taxes and fees. This means you can get your new bike without having to pay a penny out of pocket.

3. You Can Use the Loan for Any Type of Motorcycle

Problem: You can only use a motorcycle loan for certain types of motorcycles.

Agitate: What if you want to buy a custom motorcycle that isn’t covered under the loan?

Solution: The good news is that most lenders will allow you to use the loan for any type of motorcycle, including custom bikes. So whether you’re in the market for a cruiser, sports bike, or scooter, you can use a motorcycle loan to finance your purchase.

3. You May Get a Low Interest Rate  

Banks and other financial institutions typically offer low interest rates on motorcycle loans, which can help you save money in the long run. So if you’re interested in purchasing a new motorcycle, it’s worth checking out the interest rates offered by various lenders. You may be able to get a lower interest rate than you would if you used a credit card or personal loan.

Where to Get a Motorcycle Loan in the Philippines

BPI

BPI motorcycle loan
  • Minimum loan amount: PHP 200,000
  • The maximum loan amount you can receive is up to 70% of the purchase price.
  • Payment terms: 12 to 36 months
  • Interest rates:
  • 12 months: 8.83%
  • 18 months: 12.57%
  • 24 months: 17.54%
  • 36 months: 27.84%

Security Bank

motorcycle loan - Security Bank
  • Minimum loan amount: PHP 300,000
  • The maximum loan amount that you may take out is 70% of the purchase price.
  • Payment terms: 12 to 36 months
  • Interest rate:
  • 12 months: 8%
  • 18 months: 12.01%
  • 24 months: 16.96%
  • 36 months: 26.05%

AUB

  • The minimum loan amount is PHP 200,000.
  • Payment terms: 12 to 36 months
  • Interest rate:
  • 0.54% for MV Agusta motorcycles

Robinsons Bank

motorcycle loan - Robinsons Bank
  • Loan amount:
  • The regular bike will cost you a minimum of 10% based on the suggested retail price.
  • Bigger than 30% based on SRP: The average person who is five feet tall has a minimum of 300 RPM.
  • If an item is secondhand, you will get 8% of the store’s listed price.
  • Payment terms: You can choose to pay off your purchase within six to thirty-six months.

Interest rate: Will depend on the selling price, down payment, and amount financed

City Savings Bank

motorcycle loan - City Savings Bank
  • The minimum amount you can loan is PHP 20,000.
  • The most you can borrow is: PHP 300,000
  • Payments are for 12 to 48 months.

The interest rate for this loan will be determined by the selling price, down payment, and amount being financed.

Sumisho Motor Finance Corporation

motorcycle loan - Sumisho Motor Finance
  • The maximum loan amount is PHP 20,000.
  • The maximum loan amount is PHP 1.8 million.
  • Payment terms: 1 to 4 years
  • Interest rate: Depends on the selling price, down payment, and amount financed

What are the Requirements for a Motorcycle Loan

The requirements for a motorcycle loan may vary depending on the lender, but most will require you to be at least 18 years old and have a valid driver’s license. You’ll also need to provide proof of income and residency, as well as a credit score that is in good standing. Some lenders may also require you to have collision and comprehensive insurance coverage on the motorcycle.

How to Apply for a Motorcycle Loan

1. Know If You’re Eligible

The first step in applying for a motorcycle loan is to make sure you meet the eligibility requirements set by the lender. This includes being at least 18 years old and having a valid driver’s license. You’ll also need to provide proof of income and residency, as well as a credit score that is in good standing.

2. Compare Interest Rates

Once you know you’re eligible, the next step is to compare interest rates between different lenders. This will help you find the best deal on your motorcycle loan. Keep in mind that interest rates may vary depending on the type of motorcycle you’re purchasing, your credit score, and the amount of the loan.

3. Complete an Application

Once you’ve found a lender with a competitive interest rate, the next step is to complete an application. This will include providing personal and financial information, such as your name, address, income, and credit score. The application will also ask for details about the motorcycle you’re purchasing, such as the make, model, and year.

4. Provide Documentation

Once you’ve submitted your application, the lender will request additional documentation to verify your information. This may include your driver’s license, proof of income, and copies of your recent bank statements.

Additional Tips When Applying for a Motorcycle Loan

1. Pay the Down Payment Using Your Own Money

2. Compare Your Options

3. Ask Questions

4. Ask Your Family and Friends For Recommendations

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