Motorcycle Loan Payment Calculator
12 Months
24 Months
36 Months
48 Months
60 Months
72 Months
Estimated Monthly Payment:
$0.00
Total Loan Amount:
$0.00
Total Interest Paid:
$0.00
Total Cost (Price + Tax + Interest):
$0.00
How to Use the Motorcycle Loan Calculator
Purchasing a motorcycle is an exhilarating experience, but understanding the financial commitment is crucial. Our calculator helps you break down the costs beyond just the sticker price. To get an accurate estimate, you should consider the Out-the-Door (OTD) price, which includes sales tax and dealer fees.
Understanding Your Monthly Payment
Your monthly payment is determined by three primary factors:
- Principal: The actual amount you borrow. This is the bike price plus sales tax, minus your down payment and trade-in value.
- Interest Rate (APR): The cost of borrowing the money. Your credit score significantly impacts this rate. Higher scores typically yield rates between 3% and 7%, while lower scores may see rates upwards of 15%.
- Loan Term: The duration of the loan. While longer terms (60-72 months) lower your monthly payment, they increase the total interest you pay over the life of the loan.
Example Calculation: A Mid-Range Cruiser
Let's say you are looking at a motorcycle priced at $10,000.
- Down Payment: $1,500
- Sales Tax: 7% ($700)
- Interest Rate: 5.5%
- Term: 36 Months
In this scenario, your total loan amount would be $9,200 ($10,000 + $700 – $1,500). Your estimated monthly payment would be approximately $277.83, and you would pay roughly $801.88 in total interest.
Tips for Getting the Best Rate
Before heading to the dealership, check with your local credit union. They often offer more competitive rates for powersports than manufacturers' financing. Additionally, aim for a down payment of at least 10-20% to avoid being "underweight" on the loan, where you owe more than the bike is worth due to rapid depreciation.