Paying cash for a new bike?

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9/18/2019 5:27 PM

I’m trying to get to the point in life where I can buy a brand new bike and pay cash for it. How many guys do it and how do you do it? Do you find you have better bargaining power with the the dealership? Any other tips? I’ve only ever financed my bikes and I’m tired of being upside down in a year old bike.

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9/18/2019 5:30 PM
Edited Date/Time: 9/18/2019 5:32 PM

You can pay cash, but don’t expect a better deal. Dealers would prefer you to finance because they can make a kickback from the bank by selling you a higher interest rate.
Some dealers actually list a higher price for cash deals in their advertising.

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9/18/2019 5:34 PM

Shop around on cycle trader. Call as many dealers within 200 miles listed on cycletrader with low prices for the model you want. Ask them specifically for the out the door price tell them what state your from. Be specific About all fees out the door.

Some tack on 100s or 1000s. Others the price they advertise is it. Once you find a good dealer who prices aggressively youll be amazed at how much you can save.

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9/18/2019 5:53 PM

Finance it to get a better deal and pay it off on first payment, or use your credit card and score all the rewards points your card happens to offer, pay it off before interest kicks in, then use those rewards points to buy yourself something nice for the bike.

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9/18/2019 6:02 PM
Edited Date/Time: 9/19/2019 3:36 AM

I have paid cash for my last three bikes. Two dealers had ktms for $1500 off and neither had any fees or tax which was crazy. I didn’t even try to haggle I just paid them the asking price and the deal took about 15 minutes. My last Yamaha wasn’t really on sale but i told them I had cash and offered them a price that was about $600 below what they wanted and just say hey this is how much I have. I wasn’t rude to the salesman and was straight up and they took the deal.

If you finance, they see that you have no limit basically. They will try and work numbers, subtract here and add there to make it look like a good deal. Lower the monthly payment but raise the term and people tend to give in more because they see it’s $100 a month. When I go in with cash I know no matter how they play the numbers at the desk, what I came in with is all i’ve got and not a cent more. Hope that made sense. I’m not saying one method of payment is better than the other but when I have been able to pay cash that’s how I do it.

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9/18/2019 6:30 PM

You people finance dirtbikes???

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9/18/2019 6:34 PM

ti473 wrote:

You people finance dirtbikes???

Ohhh...”you people”...forgot you’re mr all high and mighty...that’s a jerk comment.

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9/18/2019 6:36 PM
Edited Date/Time: 9/18/2019 6:36 PM

Lets look at the downsides of financing
-have a payment of $200 a month. Emphasis on needing to keep your job. Payments are stressful.
-unless you have an 850 credit score and get a deal, you pay more than the bike is worth due to interest.
-the bike loses $1500-$2000 in value the first time you ride it.
-youre making payments on a toy.. not a house

Positives of financing
-if you dont really give a shit about the above, youll keep more money in the bank and not have a huge chunk taken out at once.


I used to dabble in debt and have avoided it completely for a few years now. If i dont have money to buy it, i cant afford it. Nothing sucks worse than having payments and getting laid off from work. Id rather just own it outright.

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9/18/2019 6:39 PM

Paying cash for anything is absurd, if you have the cash invest it. You're going to make more money than the loan will cost, plus your credit score will thank you.

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9/18/2019 6:42 PM

Timo_2824 wrote:

Paying cash for anything is absurd, if you have the cash invest it. You're going to make more money than the loan will cost, plus your credit score will thank you.

Thats Gambling.

Many studies showing that when u pay with credit you spend about 40% more than if you paid cash. Easier to spend someone elses money.

Theres less emotional response paying with plastic or with a loan then with cash. So unless your getting over a 40% return on your investments your likely losing even though you think you are outsmarting the system.

Loans are bad. Credit cards are bad. Even if you think you are the exception to the rule.

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9/18/2019 6:52 PM

Timo_2824 wrote:

Paying cash for anything is absurd, if you have the cash invest it. You're going to make more money than the loan will cost, plus your credit score will thank you.

this makes sense in the current stock market. But its gambling. Dont do it. Have separate money to invest. another recession and a job loss to go with it and youre screwed.

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9/18/2019 6:58 PM

Not that I am bragging, but I just want to state facts to the OP. I have a good paying job as does my wife, have great credit and have no kids. And I still finance my new toys. If it's used I will pay cash. If a new bike is say $9000 and you can afford $200 a month it will take nearly 4 years to save that amount. What I like to do is put down a healthy down payment and finance the rest with the goal of payed off in 2 years or less. If you put a healthy down payment down you won't be upside down in case of a forced sale and you will still be able to buy the bike you want now vs. years down the road. Oh btw my secret is also lots of overtime at work. At the end of the day, do what works best for your current financial situation.

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9/18/2019 7:11 PM

I donate plasma to fund my motocross addiction. Extra $350 a month for a few hours of my time and my wife can’t complain what I spend my “blood money” on. Win win.

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9/18/2019 7:14 PM

Every situation is different. I paid cash for my last bike but now I wish I’d put it on a credit card to earn the points and paid the card off right away. Damn.

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9/18/2019 7:16 PM

geeZ177 wrote:

Not that I am bragging, but I just want to state facts to the OP. I have a good paying job as does my wife, have great credit and have no kids. And I still finance my new toys. If it's used I will pay cash. If a new bike is say $9000 and you can afford $200 a month it will take nearly 4 years to save that amount. What I like to do is put down a healthy down payment and finance the rest with the goal of payed off in 2 years or less. If you put a healthy down payment down you won't be upside down in case of a forced sale and you will still be able to buy the bike you want now vs. years down the road. Oh btw my secret is also lots of overtime at work. At the end of the day, do what works best for your current financial situation.

Save up once and get ahead of the curve once and youll never have to pay the interest again.

If you and your wife both make good money, zero of it should be going to make banks or lenders rich with interest.

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9/18/2019 7:24 PM

Dealers do not care if it is cash or financed, it is no longer a bargaining tool. I paid cash for my last bike. It is nice to have the peace of mind not having a payment. But, $9k is a lot of money for most of us to drop in 10 minutes. I do not think financing is all that bad...if you are smart about it. Without getting too personal.

Do you have a good credit score?
Do you have a secure job?
Have you shopped around for current lending rates?


Sometimes your bank or a credit union will give you a better rate than the dealer.

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Tomac and/or Anderson for 2020.....

9/18/2019 7:32 PM
Edited Date/Time: 9/18/2019 8:35 PM

suzukiread240 wrote:

I’m trying to get to the point in life where I can buy a brand new bike and pay cash for it. How many guys do it and how do you do it? Do you find you have better bargaining power with the the dealership? Any other tips? I’ve only ever financed my bikes and I’m tired of being upside down in a year old bike.

I bought my last new bike with a credit card that had 0% interest for the first 14 months. At 13 months I paid off the credit card and received 2% cash back for doing nothing more than using the CC. I kept my $9100 in cash for 13 months, in which, I put EDIT: some of that money into bitcoin. I made roughly $3000 on that money invested, paid off the card within the 14 month "grace" period.

Does it make sense to pay "cash?" Maybe, maybe not. Did I make money buy using "free" money, yup.

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9/18/2019 7:37 PM

suzukiread240 wrote:

I’m trying to get to the point in life where I can buy a brand new bike and pay cash for it. How many guys do it and how do you do it? Do you find you have better bargaining power with the the dealership? Any other tips? I’ve only ever financed my bikes and I’m tired of being upside down in a year old bike.

holyroller1 wrote:

I bought my last new bike with a credit card that had 0% interest for the first 14 months. At 13 months I paid off the credit card and received 2% cash back for doing nothing more than using the CC. I kept my $9100 in cash for 13 months, in which, I put EDIT: some of that money into bitcoin. I made roughly $3000 on that money invested, paid off the card within the 14 month "grace" period.

Does it make sense to pay "cash?" Maybe, maybe not. Did I make money buy using "free" money, yup.

Geez I hate being right all the time.

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9/18/2019 7:59 PM

I pay cash for new bikes. I tend to always look for and buy a left over from the year before that dealerships are just wanting to get rid of. Takes some patience, and a lot of looking around, but a good way to save a couple grand.
Got my husky FX450 for 8200 out the door once the 2019s were on the showroom floor.

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9/18/2019 8:04 PM

If you have that much cash laying around you haven't had enough fun with coke and hookers!

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9/18/2019 8:06 PM

suzukiread240 wrote:

I’m trying to get to the point in life where I can buy a brand new bike and pay cash for it. How many guys do it and how do you do it? Do you find you have better bargaining power with the the dealership? Any other tips? I’ve only ever financed my bikes and I’m tired of being upside down in a year old bike.

holyroller1 wrote:

I bought my last new bike with a credit card that had 0% interest for the first 14 months. At 13 months I paid off the credit card and received 2% cash back for doing nothing more than using the CC. I kept my $9100 in cash for 13 months, in which, I put EDIT: some of that money into bitcoin. I made roughly $3000 on that money invested, paid off the card within the 14 month "grace" period.

Does it make sense to pay "cash?" Maybe, maybe not. Did I make money buy using "free" money, yup.

Forty wrote:

Geez I hate being right all the time.

Using credit is not for everyone, that is for certain. In my younger days credit = available funds. That is a quick way to go bankrupt, trust me, I learned the hard way. If you treat credit as an avenue to make/keep money your perspective changes.

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9/18/2019 8:08 PM
Edited Date/Time: 9/18/2019 8:10 PM

Pay by Credit Card, you’ll pay 2-3% min higher to cover the shops processing fees.
Only a couple hundred bucks, but still adds cost.

Whatever youre most comfortable with is the best way.

It’s always worth shopping all the dealers in your area by phone.
I buy a bike every year (KTM).
Every year I call the 6-7 dealers reasonably close and make a low, but reasonable offer to buy the model I want.
I never ask ‘what’s the lowest, or best deal’, I make an OTD offer I’m happy with.
Doesn’t hurt to tell them if you have a better price from a further away dealer, but I’d buy from you if you beat their price because you’re closer.
Every year I find the best deal from diffferent dealers.

I’ve come to the conclusion that it is situational for each dealer and one year you catch said dealer wanting some cash flow and they are willing to go $500 lower than their competition.

The next year they may not budge, doesn’t hurt to ask.

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9/18/2019 8:09 PM

suzukiread240 wrote:

I’m trying to get to the point in life where I can buy a brand new bike and pay cash for it. How many guys do it and how do you do it? Do you find you have better bargaining power with the the dealership? Any other tips? I’ve only ever financed my bikes and I’m tired of being upside down in a year old bike.

holyroller1 wrote:

I bought my last new bike with a credit card that had 0% interest for the first 14 months. At 13 months I paid off the credit card and received 2% cash back for doing nothing more than using the CC. I kept my $9100 in cash for 13 months, in which, I put EDIT: some of that money into bitcoin. I made roughly $3000 on that money invested, paid off the card within the 14 month "grace" period.

Does it make sense to pay "cash?" Maybe, maybe not. Did I make money buy using "free" money, yup.

So you took a loan on a toy and literally gambled with the cash. It worked out, but sooner or later it'll cost you. Theres ways to invest and earn and ways to go broke.

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9/18/2019 8:09 PM
Edited Date/Time: 9/18/2019 8:28 PM

There's more than one way to skin a cat. I've done it both ways, paid cash for most but financed a couple on Yamaha cards.

There's pro's to paying it all up front and being done with it, and pro's to having that extra money in the bank. You'll get the people who listened to a Dave Ramsey podcast once tell you financing is the devil and if you can't afford to pay $10k out of pocket right this second for a dirt bike, $50K for a truck etc, you can't afford to participate in the sport you love.

I can tell you, my parents paid cash for cars, houses etc. their whole lives. They each made well into 6 figures. Once they got to a point they could truly afford to pay cash for the finer things in life (very nice homes, boats, luxury cars etc) my dad was diagnosed with stage 4 cancer and passed away 3 months later when i was 8 years old. I think of the multiple decades of overtime and sacrificing the things he truly wanted to get to that point, and he never got to enjoy it. I recommend finding a balance between living beyond your means, and making the absolute WISEST financial decisions. Life's short.

I have been able to live pretty well somewhere in the middle of recklessness, and being ultra conservative.

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9/18/2019 8:18 PM
Edited Date/Time: 9/18/2019 8:32 PM

suzukiread240 wrote:

I’m trying to get to the point in life where I can buy a brand new bike and pay cash for it. How many guys do it and how do you do it? Do you find you have better bargaining power with the the dealership? Any other tips? I’ve only ever financed my bikes and I’m tired of being upside down in a year old bike.

holyroller1 wrote:

I bought my last new bike with a credit card that had 0% interest for the first 14 months. At 13 months I paid off the credit card and received 2% cash back for doing nothing more than using the CC. I kept my $9100 in cash for 13 months, in which, I put EDIT: some of that money into bitcoin. I made roughly $3000 on that money invested, paid off the card within the 14 month "grace" period.

Does it make sense to pay "cash?" Maybe, maybe not. Did I make money buy using "free" money, yup.

yz133rider wrote:

So you took a loan on a toy and literally gambled with the cash. It worked out, but sooner or later it'll cost you. Theres ways to invest and earn and ways to go broke.

If you invest the money and have available funds to pay off the debt it is very low/no risk. EDIT: there is always risk in taking a loan of any kind. I am not a financial adviser and didn't even stay at a Holiday Inn Express....

I am not saying you should buy something on credit if you can't pay it off at any point after the loan is taken.

If you can can borrow money with no interest accrued and pay it off within terms you lose nothing and potentially gain. Essentially, I am saying you can make money by responsibly using credit.

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9/18/2019 8:25 PM

Paid cash for the many I’ve bought in the past 5 years

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9/18/2019 10:18 PM

I just paid cash for my bike YZ450FX...

It’s stupid to finance a liability (something that depreciates in value).

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9/18/2019 11:04 PM

BobPA wrote:

Dealers do not care if it is cash or financed, it is no longer a bargaining tool. I paid cash for my last bike. It is nice to have the peace of mind not having a payment. But, $9k is a lot of money for most of us to drop in 10 minutes. I do not think financing is all that bad...if you are smart about it. Without getting too personal.

Do you have a good credit score?
Do you have a secure job?
Have you shopped around for current lending rates?


Sometimes your bank or a credit union will give you a better rate than the dealer.

Yeah, I've got great credit and have financed everything until now. My job is awesome and I will be able afford to buy a leftover or save longer for a current model. I would rather take the hit right away. I financed a 2016 RMZ250 new off the floor and when I decided I hated the air forks I tried to sell it 6 months later, I couldn't even get a call on it for 3k. That put a terrible taste in my mouth because I ended up being upside down in it 3k. It was terrible. But since then, my wife and I started the Dave Ramsey program, so as I plan for my next bike. I want to see how other guys paid cash for theirs. Basically he says don't finance anything but a house and only do that if you absolutely have to.

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9/18/2019 11:10 PM

Kyle978 wrote:

There's more than one way to skin a cat. I've done it both ways, paid cash for most but financed a couple on Yamaha cards.

There's pro's to paying it all up front and being done with it, and pro's to having that extra money in the bank. You'll get the people who listened to a Dave Ramsey podcast once tell you financing is the devil and if you can't afford to pay $10k out of pocket right this second for a dirt bike, $50K for a truck etc, you can't afford to participate in the sport you love.

I can tell you, my parents paid cash for cars, houses etc. their whole lives. They each made well into 6 figures. Once they got to a point they could truly afford to pay cash for the finer things in life (very nice homes, boats, luxury cars etc) my dad was diagnosed with stage 4 cancer and passed away 3 months later when i was 8 years old. I think of the multiple decades of overtime and sacrificing the things he truly wanted to get to that point, and he never got to enjoy it. I recommend finding a balance between living beyond your means, and making the absolute WISEST financial decisions. Life's short.

I have been able to live pretty well somewhere in the middle of recklessness, and being ultra conservative.

You hit the nail on the head. I am doing the Dave Ramsey program. I have been burned pretty bad with financing lately so I am going to try and do most everything cash. I'm the kind of dude that will buy a left over because I have no need to be competitive anymore but I only buy new bikes because in the long run its easier to work on and on a 4 stroke they are usually cheaper than rebuilding a clapped motor. But, I'm still not opposed to taking advantage of some of the 0% interest that some of the brands do so long as I can pay it off before the interest hit. Life's to short to stay off dirtbikes! Thanks bro!

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9/18/2019 11:12 PM

inthebadboycorner wrote:

If you have that much cash laying around you haven't had enough fun with coke and hookers!

Hahaha, ahhh you caught me. I definitely don't party like J-Law did.

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