Best Interest Rate for HD Financing
Elite HDF Member
Joined: Dec 2010
Posts: 4,229
Likes: 10
From: Oklahoma
BS big time on this post. As cheap as interest is right now, it is often better to finance than to pay cash. Also, a good dealer will have several financing options other than HD.
Road Master
Joined: Jun 2011
Posts: 974
Likes: 13
From: Chesapeake Virginia
BS on financing anything you can't write off on taxes. I realize some people just don't have the cash but if you do why wouldn't you pay cash and pay your account back with the interest. It isn't enough money or time to invest it and leaving it in the bank won't give you more than $20 a year. Shop around by phone and come back with "I can get it for this do you want to keep the loan" most of the time they will match it. If they don't walk away.
Tourer
Joined: Sep 2012
Posts: 336
Likes: 0
From: Queen Creek, AZ
This guy must have slept through his finance class in college...
Here is the difference ( I ran the numbers )
The Future Value between the 2 interest rates. I based the loan on $25,000 for 7 years.
$30,735.96 at 2.99%
$36,342,86 at 5.49%
As many mentioned, it would be best if you visit your local Credit Union and apply for a loan. Get preapproved, walk into the dealership with the paper and select the bike of your choice...
DO NOT tell the salesman that you're preapproved. Work the deal as you normally would. Once the deal is made, they will send you to finance to do all of the signing (and to try to sell you an extended warranty). At this time (and only at this time) let them know that you have done your homework and are preapproved through your credit union.
If you tell them up front they will not give you as good of a deal. They know they can make a point or 2 on the interest running "in-house" finance. So do not tell them until the salesman "drops you off" at finance.
Let me know if you need anything else.
Good luck brother!
Here is the difference ( I ran the numbers )
The Future Value between the 2 interest rates. I based the loan on $25,000 for 7 years.
$30,735.96 at 2.99%
$36,342,86 at 5.49%
As many mentioned, it would be best if you visit your local Credit Union and apply for a loan. Get preapproved, walk into the dealership with the paper and select the bike of your choice...
DO NOT tell the salesman that you're preapproved. Work the deal as you normally would. Once the deal is made, they will send you to finance to do all of the signing (and to try to sell you an extended warranty). At this time (and only at this time) let them know that you have done your homework and are preapproved through your credit union.
If you tell them up front they will not give you as good of a deal. They know they can make a point or 2 on the interest running "in-house" finance. So do not tell them until the salesman "drops you off" at finance.
Let me know if you need anything else.
Good luck brother!
Last edited by bent trix; Sep 12, 2013 at 10:31 PM.
Banned
Joined: Aug 2013
Posts: 1,189
Likes: 3
From: a small country between TX and AZ
I got 2.99 (60 months) from HD Credit that my credit union wouldn't beat (for a MC) on the RGU.
Two months ago I bought my wife an 11 Camaro convertible and got 1.3 for 48 months from a bank. Please tell me again why I should pay cash?
Two months ago I bought my wife an 11 Camaro convertible and got 1.3 for 48 months from a bank. Please tell me again why I should pay cash?
Road Master
Joined: Jul 2010
Posts: 1,241
Likes: 0
Just got 1.76% for 60 months on refi for my 2012 at local CU. Original loan on the new bike was about 4% at another CU. Harley wanted about 3 pts more. Previous poster was correct. Never talk to them about financing or not until you negotiate the lowest price on bike. Remember, you are buying two things, a vehicle AND the money. If they don't think they'll make money on the financing, they'll try to get more profit on the bike. Once was considering leasing an Audi and a BMW. Same exact sales price( not MSRP,actual sales price) but due to financing offers from each company, the Audi was $120 per month more for 60 months. Closed end lease so residual didn't matter. That figures out to $120 per month for 60 months savings. That's $7200 after tax dollars that stayed in my pocket over five years. You can't tell what you're paying for each unless you negotiate each separately.
HDF Community Team
Joined: Mar 2005
Posts: 1,949
Likes: 601
From: The 1980's
Just recently I traded the Ultra for a 2014 SG. No Eaglemark, but 2.9% through Berkshire, another bank offered by the dealer. Again, better than the local guys.
I'm thinking that it varies widely by credit rating, geographical area and how many bikes the dealer wants to move. My local HD dealer was recently bought out by a couple of brothers that own several car dealership franchises locally. I got my bike on the grand opening weekend when they had a push on to sell some bikes. I think they sold 26 bikes on opening weekend.
Outstanding HDF Member
Joined: Aug 2010
Posts: 2,033
Likes: 45
From: Long Island, NY
With HD credit the interest will also vary based on the term of the loan...a 36 month loan will have a lower rate than a 60 month loan.
HD Forum Stories
The Best of Harley-Davidson for Lifelong Riders
7 Surprising Harley-Davidson Products that Are Not Motorcycles
Verdad Gallardo
8 Best Harley-Davidson Motorcycles Ever
Pouria Savadkouei
10 Worst Harley-Davidson Motorcycles Ever
Pouria Savadkouei
Killer Custom's Jail Break Is The Breakout That Refused to Blend In
Verdad Gallardo
Crazy Bunderbike Build Looks Amazing, But Is It Impossible to Ride?
Verdad Gallardo
Harley-Davidson Reveals Super Cool Cafe Racer Concept
Verdad Gallardo
Engraved Rebellion: Inside Bundnerbike's Glam Rock II
Verdad Gallardo
10 Motorcycles You Should Never Buy
Joe Kucinski
10 Things Harley-Davidson Needs to Fix in 2026
Verdad Gallardo
Cruiser
Joined: Oct 2011
Posts: 179
Likes: 7
From: Whitehall PA
1.9% at HD finance on my 2012. (Credit score is over 800). I traded an 02 bike that I was "given" 11K for. Why in the heck would anyone put out 10K or more cash when you CAN get that low of an interest rate? Anything under say 3% is almost free money, and it's damn hard to recoup it. I'd much rather keep it in an investment account earning at least triple that than part with cash.
Outstanding HDF Member
Joined: Mar 2008
Posts: 2,306
Likes: 39
From: Everywhere
when you pay cash you get 0%. then, determine whatever interest rate you want and make payments to yourself every month - into an account you don't touch - then when you are ready to replace the bike, you have the $. What I do, I take what I would have paid in interest each month and give to a charity and take the tax deduction. Why give my money to a bunch of bank execs when I can give to an organization that does some good in the world?