Whenever types of loans are brought up, most people think of bad credit jet ski loans or a boat loan. However, loans aren’t limited to buying expensive properties or fancy cars; you can apply for a bicycle loan if you want a means of transportation that’s good for your health and the environment.
While a bicycle isn’t as expensive as a car or a house, some bicycle models may set you back tremendously, making it harder for you to take care of other necessities, like bills, school tuition fees, a lifestyle loan and insurance.
In this article, we’ll walk you through everything you need to know to get a last minute loan in Australia.
Why Switch to a Fuel-Free Commute?
There are numerous benefits of relying on a bicycle for your daily commute, which can be summed up as follows:
- Preserving the environment
- Staying fit and keeping your weight under control
- Avoiding traffic jams and saving time
- Saving fuel and expensive car maintenance costs
Not to mention, you don’t need a license to ride a bicycle, which also means that you won’t get costly tickets as long as you ride responsibly. What’s more, riding a bike is much more fun than sitting in a car seat waiting for the cars in front of you to move.
Bicycle Loan Requirements
As you’ve probably guessed, there aren’t any special requirements you need to meet to apply for a bicycle loan. They don’t differ much from a low-value personal camper trailer loan. Here are the general requirements for a bicycle loan:
- Be an Australian Citizen
- Be 18 years old or older
- Have a regular monthly income
- Have a decent credit score
Applying for a Bicycle Loan
A bicycle loan typically falls in the range of $500-$5000, depending on the type of bicycle you want to get and its model. In some cases, you might be able to include bicycle accessories into the loan, like fenders, locks, helmets, lights, brakes, tools, bags, and racks. It’s also worth noting that some lending entities may allow you to buy a used bicycle instead of a new one.
What’s more, you can apply for a fixed or variable rate loan. Generally speaking, a fixed rate bicycle loan is much more predictable, especially if you opt for a long-term financing plan.
Since this is a small, short-term loan, you might be able to find a zero-interest loan. However, there’s a specific time window that you need to repay your agriculture loans before you lose the zero-interest deal.
It would be best if you also inquired whether there are any hidden fees associated with the loan. And while many people ignore the terms and conditions when signing up for a loan, you should definitely read them carefully.
Depending on the lending entity, you might be able to either apply for the laptop loans then buy the bicycle or buy the bike first and apply for the loan later. If you opt for the latter, make sure to keep the purchase receipt.
Using a Credit Card to Finance a Bicycle Purchase
A bicycle doesn’t need a massive loan, which means that you can buy it with a credit card with a credit limit of equal or higher value than the bicycle. To apply for a credit card, you either need to have a steady monthly income or a certificate of deposit at the bank to secure your credit card.
If you already have a credit card, there isn’t much you need to do. Just head to the store and pay with your card. After that, you need to contact the bank to ask if you can repay your credit card debt in instalments. Some shops offer versatile financing options by partnering with lending entities, like low or zero-interest 12-60 month instalment plans.
Bicycle Loan Protection
Some lending entities may let you optionally add protection for your jewelry loan from unexpected events, like disability, unemployment, or death (god forbid). We only recommend protecting your loan if you borrowed more than $1000.
To recap, a bicycle loan is one of the easiest type of laser loan you can get, even if your credit score isn’t impressive.
However, even for a low-value loan like a bicycle loan or dental loans Australia, you need to take a few moments to think about whether you need the loan in the first place. If you can afford the bicycle, then, by all means, buy it in cash instead of opting for a loan.
We understand that bicycles aren’t that cheap, especially if you want to get a high-end one with fancy mechanisms and a comfy seat. In that case, a bicycle loan would be the perfect option for you. Just read the terms and conditions exceptionally well!