Introduction
Harley Davidson offers special financing programs that make riding an iconic American motorcycle more affordable.
There are a few options to choose from:
- Installment loans – Fixed monthly payments for 3 to 7 years. Put at least 10% down and rates as low as 3.99% APR.
- Revolving credit – Acts like a credit card with a credit limit for Harley gear, parts, service, and motorcycles. Repay over time with minimum monthly payments. Rates start at 9.99% APR.
- Lease programs – Low monthly payments to lease a new Harley for 2-3 years. At the end, you can buy the bike, trade it in, or walk away. Available for select models only.
The application process is simple and you’ll get a quick decision. Once approved, you can start shopping right away. Many also get additional perks like discounted insurance, 24/7 roadside assistance, and rewards points redeemable for Harley gear or accessories.
Types of Harley Davidson Loans Available
When it comes to financing your Harley, you’ve got options. Harley-Davidson Financial Services offers special financing for H-D bikes and products.
1. Harley-Davidson Installment Loan
This popular option lets you finance up to 100% of the Manufacturer’s Suggested Retail Price (MSRP). You’ll get a fixed interest rate and can choose loan terms from 2 to 7 years. Payments start low and stay the same for the life of the loan.
2. Harley-Davidson Secured Loan
For lower rates, put up collateral like your Harley, car, truck or van. You’ll get a fixed interest rate and flexible terms from 2 to 7 years. This secured loan can finance up to 100% of MSRP.
3. Private Party Value Financing
If you’re buying from a private seller, Harley financing can still help. They’ll loan you up to 95% of the bike’s Private Party Value as determined by the Kelley Blue Book Trade-In Value. Terms range from 2 to 5 years. Rates may be higher than for a new Harley but lower than most credit cards.
With Harley-Davidson financing, you can ride in style sooner. Apply at your local dealer, on Harley-Davidson’s website or give them a call. They understand your passion for the open road and want to help you fulfill your dream of owning an iconic American motorcycle.
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What Credit Score Is Needed for Harley Davidson Financing?
To qualify for Harley Davidson financing, you’ll typically need a credit score of at least 600. The higher your score, the better your chances of approval and the lower your interest rate. If your score is on the lower end of the “good” range (around 650), you’ll still likely get approved but may face higher interest charges. With a score of 700 or above, you’ll be in an excellent position to get a competitive rate.
Harley Davidson offers financing for both new and used motorcycles through Harley-Davidson Financial Services. They work with customers who have a range of credit, from good to bad. While a higher score means a lower APR, even those with “fair” credit (around 600) may still get approved at a higher rate. The key is to check your scores ahead of time so you know where you stand. You can get free credit reports from AnnualCreditReport.com to review for any errors before you apply.
If needed, take steps to improve your score before you shop. Pay down high-balance credit cards, limit new applications, and check for incorrect information on your credit reports. Every point matters when it comes to your score and interest rate. To qualify for the best offers, you’ll typically still need good to excellent credit.
Tips for Getting the Best Harley Davidson Loan Rates
To get the best rates on a Harley Davidson loan, here are a few tips:
1. Check your credit score
Your credit score plays a big role in determining your interest rate. Review your credit report to check for any errors before you apply for a Harley loan. Pay off any high-interest debts you can to improve your score. The higher your score, the lower your interest rate.
2. Compare lenders
Don’t just go with Harley-Davidson Financial Services. Compare rates from your local credit union, bank, and online lenders as well. They may be able to beat the rates from the dealership. Ask about rates for new and used Harleys so you know you’re getting a good deal.
3. Look at loan terms
In addition to the interest rate, consider the loan term. A shorter term like 3 years will mean higher payments but less interest paid overall. A longer 6-year term will have lower payments but more interest paid in the end. Choose a term that fits your budget and needs.
4. Put down a larger downpayment
The more money you put down upfront, the less you have to borrow and the lower your payments will be. If you can afford 20% down or more, that’s ideal. Some lenders may require at least 10% down for a Harley. The downpayment also shows the lender you’re serious, so they may offer you a better rate.
5. Ask about incentives and rebates
Harley-Davidson and dealers often offer special incentive programs and rebates that can save you money, especially on leftover new models from the previous year. Ask if any rebates or incentives apply to your Harley purchase. They can help offset the interest charges over the life of the loan.
Following these useful tips will help ensure you get the most affordable financing deal on your dream Harley.
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Alternatives to Harley Davidson Financing
Check out these alternatives to find a payment plan that fits your budget.
1. Private seller
Buying from a private seller, whether an individual or a small dealership, is a great way to find a used Harley for less. You’ll avoid dealer markups and may be able to negotiate the best deal. However, you typically won’t get any warranty or financing options. If buying from an individual, make sure you thoroughly inspect the bike and test ride it before purchasing.
2. Credit union
Your local credit union may offer recreational vehicle loans with lower interest rates than a traditional bank. Credit unions are non-profit, so they can often offer very competitive rates, especially for members. They also typically offer flexible terms up to 10 years so you can find payments that fit your budget.
3. Online marketplace loans
Websites like LendingTree and Prosper specialize in connecting people with personal loans, including RV and motorcycle loans. Fill out their online form and you’ll receive loan offers from multiple lenders, allowing you to compare interest rates and terms. While the rates may be a bit higher than a credit union, the process is very convenient and can still save you money over high-interest credit cards.
4. Crowdfunding
If your budget won’t allow for any type of traditional financing, consider crowdfunding part of the cost of your Harley. Websites like Kickstarter, Indiegogo, and GoFundMe make it easy to start a campaign to raise money from friends, family, and even strangers.
As you can see, you have options beyond the standard Harley Davidson financing. Do some research on the alternatives to find a way to get your dream bike that won’t break the bank.
Conclusion
Through Harley Davidson Financing, you can get approved for a loan to purchase a new or used Harley. Once approved, you’ll get a line of credit to shop at participating dealerships.