What is the average interest rate on a motorcycle loan?
Michael Gray
Updated on March 19, 2026
For street motorcycles, rates range from 3.50% to 4.25%; its lowest advertised rates include 0.50% discount for automatic payments and making payments from a DCU checking account. Off-road motorcycles have higher interest rates, with rates ranging from 7.85% to 8.35%.
What is the interest rate on two wheeler loan?
Two wheeler Loan Interest Rates 2021
| Bank | Lowest Interest Rate | Processing fee |
|---|---|---|
| L Finance | 10.75% p.a. – 15% p.a. | At L discretion |
| State Bank of India (SBI) | 16.05% p.a. | 2% of the loan amount + GST |
| Axis Bank | 10.80% – 28.30% | Up to 8% of the loan amount |
| HDFC Bank | 20.90% p.a. | Maximum 3% of the loan amount |
Can you finance motorcycles?
Almost all motorcycle dealerships offer financing options to their customers. OEM loan options apply to new bikes only. You can’t use these loans for a used bike. One of the most cost-effective places to seek out a loan is through a local bank or credit union.
Can I get a motorcycle loan with a 650 credit score?
You definitely can get a motorcycle loan with a 650 credit score but, if you can, hold off until you improve your credit score by 100 points. Finding the best auto interest rates can save you thousands.
What is flat interest rate?
A flat interest rate implies a lending rate that remains unchanged throughout the loan tenor. Interest is calculated for the entire loan amount at the beginning of the loan tenor. Flat rates of interest effectively remain higher than reducing rates, making them less popular among borrowers.
Can I buy a bike with zero down payment?
The most economical personal commuting vehicle is a bike. But you can also buy a bike without paying any down payment. There are loan providers like Shriram City Union Finance that provide 100% financing on a bike loan.
Are motorcycles worth the risk?
But if you are the type that rides carefully and in a safe way, motorcycle riding is very worth the risk because there are chances that you won’t make a life-threatening accident. But with all that, most motorcyclists stay healthy and intact and don’t make a life-threatening accident.
Can you buy a used motorcycle from a private seller?
A private seller may have done all the maintenance and service on a used motorcycle, and they may not have the same training as a staff member at a dealer or shop. Financing – Private sellers aren’t generally going to offer you a financing option.
Can a motorcycle shop be an online business?
Many motorcycle shop owners report having significant success operating an online motorcycle parts business. Since bike shops are often a place to congregate, offering food and drinks, along with a comfortable seating area, will ensure your customers are comfortable and happy.
Where can I find a motorcycle for sale?
Our Motorcycle Classifieds provide easy-to-search listings of Motorcycles for sale. Find sportbikes, dirtbikes, cruisers, customs, choppers and more motorcycles for sale in your area. Motorcycle.com provides classifieds listings for used motorcycles that are privately owned.
Where can I get a loan to buy a motorcycle?
A dealership may have a private option of financing or can handle the transaction through an approved lender. If you need financing for a private buying experience, you’ll need to do all the work to secure the loan, whether that’s through an online lender, your personal bank, or another friend or family member.
