Can we buy bikes on credit cards? let’s explore
There has been an increase in demand for bikes today as more individuals prefer using them for transportation or a leisure ride. Some individuals might be interested in the question of whether it is possible to purchase a bike with a credit card, particularly regarding the expensive models. This is a comprehensive blog post on the topic ‘Can we buy bikes on credit cards?’ how it is possible, and the most viable options.
With a credit card, you can obtain money quickly and conveniently for bike purchases. Let’s take a look at the advantages and disadvantages of buying a bike with a credit card.
Advantages of Buying a Bike Using a Credit Card
Here are some benefits that you stand to enjoy when you decide to use your credit card for bike financing. Some of the major benefits include:
- Earning rewards: Most credit cards today have good reward schemes. If you redeem your points and use them to pay off your bike purchase, then the points you gain are even better than getting a good discount at the retailers.
- Extended warranties: Certain credit cards will match the manufacturer’s warranty for up to one year on products that were bought using the card. This is a great incentive for a big purchase, such as a bike or motorcycle.
- Building credit: In fact, managing a credit card properly, such as paying the balance in full monthly, has the effect of raising the credit score. Credit is cheap in your lifetime.
- Flexible financing options: There are many credit cards that have deferred or equal payment financing schemes without any interest charges. This helps to make costly acquisitions more feasible.
So in short, if your financial situation allows it, then yes, it is possible to purchase a bike on your credit card and get some good rewards. However, for credit cards to be of this advantage, they have to be used responsibly so that one does not end up incurring debt.
Also read: Check Out the Hero Glamour!
More Read
Is It Advisable To Buy A Two Wheeler on Credit Card?
While this article focuses mainly on how can we buy bikes on credit cards, it’s also important to weigh a few financial considerations first:
- Check if your credit card interest is lower than that of a motorcycle loan interest rate. If not, it may be more beneficial to take a loan instead.
- If you have the cash for the bike but want to earn credit points for your purchase, use your card and then clear the balance at the end of the month.
- If one uses a credit card on a monthly basis, having a balance forward incurs more in terms of high interest rates on credit cards than paying cash.
- Ensure that one has the discipline to clear the balance on this card during the introductory 0% APR period.
- Indeed, most of the time, it would not be financially beneficial to overspend with the aim of receiving more reward points.
How Can We Buy Bikes on Credit Cards?
If you’ve decided that buying your next bike on credit is a smart move, then follow this step-by-step guide for the process:
1. Determine Your Budget
- One should set a rigid limit on the amount of money to be spent before going shopping.
- Ensure that you include any applicable sales tax to ensure that the total amount you incur by using the credit card does not exceed your financial limit.
2. Check Your Credit Limits
- Ensure that your credit card will have sufficient credit lines to facilitate the intended bike purchase.
- It is wise not to utilize more than 30% of your total credit line if at all possible.
3. Choose Where to Shop
- Consider nearby bike shops that take credit cards. Other notable store chains include REI, which sells motorcycles and other related equipment for outdoor use.
4. Choosing the appropriate credit card
- Opt for a card that provides deferred financing schemes and/or rewards, or warranty increases.
- Do not use cards that come with an annual fee unless the benefits of the card outweigh the fee.
5. Make the Purchase
- Make sure that you have presented the credit card you have selected during the payment process.
- It’s also advisable to retain the receipt for future use in the case you will need to make a warranty claim.
6. Make Sure to Pay the Remaining Amount as Soon as Possible
- If feasible, set up automatic payments to pay the monthly balance. Always pay more than the minimum amount stated to reduce the total interest cost.
- Therefore, by following six easy and effective steps, you can easily and securely purchase a new bike using the credit card. As long as you do not exceed your pre-planned budget for the month, maintain good credit card usage and take advantage of the buyer protection that comes with credit card usage.
Top Bike Brands You Should Consider Buying on Credit
With brands ranging from basic commuter bikes to high-end mountain motorcycles, there is usually a good bicycle for you and within your price range. Here are four of the top-rated bike makes and models that you can confidently buy on credit right now:
1. Japanese: Suzuki Gixxer 250
- Because of its outstanding features, the Suzuki Gixxer 250 is more preferred by the naked bike users as compared to other bikes available in the market.
- It is priced starting from ₹1,83,070/-
2. Indian: Royal Enfield Bullet 350
- This charming and aggressive cruiser stands out because of its impressive low-end torque and good mileage.
- It is priced starting from ₹1,73,562/-
3. Austrian: KTM Duke 300
- This stylish naked sports bike is optimized for comfortable speed and street use. It can be used for daily commutes and comes at an affordable price.
- It is priced starting from ₹1,98,950/-
4. German: BMW G 310 RR
- This dynamic, fully-faired sportsbike is well-suited for beginner riders. It has been engineered for speed, agility, and motorsport-inspired performance.
- It is priced starting from ₹3,05,000/-
From commuter bikes to racing bikes equipped with the latest technologies, there is something for everyone. Using the credit card also affords one the opportunity to manage some of those higher price tags more easily. Just make sure you limit your monthly payment to an amount that you can afford to pay every month.
Optimizing Credit Card Benefits to the Purchase of Bikes
Another good thing about purchasing a bike on a credit card is that one can be able to take a shot at the reward systems. Whether it is cashback or travel points, with expensive bikes that can cost tens of thousands of dollars, the rewards accrued are huge.
But to maximize the rewards earned, follow these tips when buying bikes on credit cards:
- Choose a credit card that has higher bonus rewards for using the credit card in a sporting goods store as opposed to any other store.
- It is also important not to overspend in order to earn more points or to get more rewards. As for pricing, adjust the charges according to the amount you wish to spend on the bikes.
- Always clear the monthly statement in full so as not to accrue interest, which erases all the points earned.
- Shop through online shopping portals affiliated with the credit card program so as to get double benefits.
- Although the details will differ based on the credit card company, the general idea is that an expensive item such as a high-end bike can reward you with a great amount of points. Simply make sure that you fully pay your balance so that the interest rates do not negate your reward points. Planning ahead is key.
Also read: Best Honda Bikes Under 1 Lakh
In conclusion, it is financially wise for a consumer to take advantage of the credit card rewards and consumer protections during the purchase of expensive items. But, be reasonable while agreeing to repay back the amount and your ability to finance before using the card.
Remind the retailer about your credit card plan and inquire if they also have a financing plan since you have to compare their terms. Many large credit cards have deferred or equal repayment policies for large purchases; however, retailer cards may occasionally have promotions that offer a lower 0% rate than general credit card promotions.
Conclusion: Can We Buy Bikes on Credit Cards?
As one might expect, buying a motorcycle with a credit card isn’t the perfect solution for every person’s fiscal circumstances; nevertheless, those with good credit can take advantage of the rewards points, buyer protections, special financing options, and better warranties by putting bike buys on plastic.
By being smart in the use of a credit card and effectively planning how to make payments, one can proudly ride that new bike in no time. We think it is wise to determine the amount of money to spend on it before using the card and ensure that you cleared the monthly balances on time. Savor the new two-wheel freedom but also get credit towards amazing rewards such as cash back or free travel.
So the answer to, ‘Can we buy bikes on credit cards?’ is yes, we can. It has often been considered a sound strategy for financially ready buyers when properly utilized and employed.
Why not change gears and start practicing good credit habits that will ensure both biking and reward balances roll on happily? Keep reading blogs on AUTOLIVENEWS for information about bike loans, bike insurance, and the financial aspects of bike ownership in India! Stay updated on motorcycle insurance renewal and how to buy a motorcycle helmet by navigating to the Vehicle Information tab.
Leave a comment if you enjoyed reading this blog. Let us know what we should cover next!
Frequently Asked Questions (FAQs)
Can We Buy Bikes on Credit Cards?
Yes, you can buy a bike on credit card as long as the bike’s price doesn’t exceed your credit limit.
Should I buy a bike on a credit card or take out a loan?
You should opt for the payment type that has a lower rate of interest.
Can I buy a two-wheeler on EMI?
Yes, you can choose to buy a bike or scooter on EMI basis.
Is credit card EMI better than a bank loan?
Credit card EMI provides immediate funds without need for pre-approval. However, it can have higher defaults and interest rates than a bank loan.
Is it possible to get cashback on buying a bike with credit?
Yes, some credit cards will offer you coupons or cashbacks on purchases of bikes and scooters.
