Why choose a bicycle loan?
Why don’t you move by bike? You purchase a good copy of yourself. For this, you take out a specific personal loan, in particular a bicycle loan. The government in our country is trying to encourage people to use the bicycle as much as possible through various measures. The bicycle allowance for commuting to work and making a company bicycle available are just a few examples of this.
The rise of the electric bicycle also gives the popularity of the two-wheeler a big boost. Depending on the type of bike you choose, the price tag of an e-bike can increase considerably. Not everyone, therefore, has sufficient capital to buy a new bicycle. Purchasing an electric bicycle, in particular, can take a big bite out of the family budget. That is why it is possible to take out a bicycle loan with lenders.
Just like a loan for the purchase of a green car, a bicycle loan is cheap. The rates for a bicycle loan are in line with those for a green car loan. The bicycle loan can be used for all kinds of two-wheelers, ranging from a racing bike to an electric bike. The lender generally uses the same rate for the purchase of each bicycle. With some lenders, it is also possible to borrow 110 percent of the value of the new bicycle. That extra money can be used to purchase extra material, such as a bicycle helmet.
Just like most other loans, lenders work with a fixed interest rate. The monthly repayments remain unchanged for the entire duration of the loan. You, therefore, know immediately at the start how much the amount to be repaid is. Before you take out a bicycle loan, the lender will ask you to prove that you will use the money to purchase a new bicycle. You can prove this by means of proof of purchase.
Take out a bicycle loan online
It is very easy to take out a bicycle loan. You can either visit a local office or take out a bicycle loan online. If you request a bicycle loan online, you can enter a simulation. Thanks to this simulation you immediately know how much the monthly repayments have on the family budget. You can play with the terms and the loan amounts to find out which loan suits you best.
After the simulation, you immediately see the annual percentage rate (APR). The annual percentage rate of charge is a summary of all the costs involved in a loan. In the case of a bicycle loan, the annual percentage rate of charge is the same as the fixed interest rate. After all, there are no extra costs, such as file costs, involved with such loans. That is, for example, the case with a mortgage loan.
Duration bicycle loan
How much you can borrow varies from a lender. With some lenders, it is already possible to take out a bicycle loan from 500 USD. It is therefore important to compare as many players as possible. You do not have to visit all the sites of the lender. Thanks to our comparison module, it is very easy to look at all lenders offering a bicycle loan. After a few mouse clicks, you will immediately find out who will provide you with the best loan. As always, we want to give the following message: Borrowing money also costs money!
Take out bicycle insurance?
Those who want to protect their new bicycle can consider taking out a bicycle insurance policy. This is especially interesting when you buy an expensive bicycle, such as an electric bicycle. Among other things, it is possible to insure your bike against damage caused by falls and theft. The insurance guarantees depend on the insurer. Always read the general terms and conditions before you take out insurance. That way you will never be faced with unexpected surprises.
If you need a new bike, but don’t want to buy it right away, you can consider leasing a bike. In such cases, you rent a bike for a contractually specified period. The rental price usually includes the following costs: annual maintenance, insurance, and assistance. Such contracts are especially interesting for people who want an electric bicycle. The purchase price of an electric bicycle can quickly amount to 2,000 USD or more. After the lease contract has expired, you will also have the opportunity to purchase the bicycle.