Used Motorcycle Financing: Process, Benefits, Requirements, and Tips

Are you planning to apply for used motorcycle financing? Before doing so, make sure you understand the process to get the best vehicle without having to pay a large amount upfront.

Indeed, used motorcycle financing can be an easy financing option. However, you should be careful when choosing from the many motorcycle options in Indonesia and ensure that the process is carried out properly.

To understand the process, benefits, requirements, and tips for used motorcycle financing, let’s take a look at the guide below.

Benefits of Used Motorcycle Financing

As mentioned above, there are several advantages to applying for financing for a used motorcycle. These include:

1. More Affordable Price

Buying a used motorcycle is generally more cost-effective because the price is lower than a brand-new vehicle. In general, motorcycle values always decrease after use.

2. Lower Installments

Used motorcycle financing typically comes with lighter installments, making the financing more budget-friendly.

3. More Stable Depreciation

Previously owned motorcycles usually experience slower depreciation compared to new ones, which drop significantly in value once purchased. This means you won’t suffer a major loss if you decide to sell later.

4. Wider Range of Models

Older motorcycles generally come in more varied models, from the latest editions to vintage styles. This allows you to find the specifications and design that best suit your preferences.

Tips for Choosing a Used Motorcycle

While used motorcycle financing can save you money, choosing the right motorcycle is key to avoiding unexpected losses. Follow these tips when selecting one:

1. Check the Vehicle History

For safety, always review the full vehicle history. You can verify this with the seller, dealer, or through available services. Important aspects to check include:

• Ensuring the motorcycle is not stolen.

• Confirming it has never been in a major accident.

• Verifying there are no legal issues tied to it.

2. Inspect Physical Condition and Engine

Aside from history, the physical and mechanical condition determines the quality of a used motorcycle. Check the frame, body, tires, and engine for any suspicious signs of damage.

Mileage is also an important indicator: the higher the mileage, the greater the potential wear on the engine. Maintenance records can also help you evaluate its condition.

If you are unsure how to inspect it properly, consult a trusted mechanic before making a purchase.

3. Verify Document Completeness

Important documents like the Motorcycle Ownership Book (BPKB) and Vehicle Registration Certificate (STNK) must be original and match the vehicle data. Incomplete or invalid documents can lead to future problems.

4. Check Market Prices

Since the main purpose of financing a used motorcycle is to save money, always check market prices beforehand. This helps you negotiate a fair deal.

5. Use a Trusted Dealer

For added assurance, buy from a trusted or official dealer. They typically guarantee quality and provide transparent information about the motorcycle’s condition and history.

6. Ensure Warranty Availability

If possible, request a warranty from the dealer. This provides a safeguard in case problems are discovered after purchase.

7. Take a Test Ride

Finally, test the motorcycle before purchase to directly assess its performance, comfort, and engine condition. Pay attention to abnormal vibrations or engine sounds.

Requirements for Used Motorcycle Financing

Requirements may vary depending on the financing institution. However, general requirements include:

• Indonesian citizen (WNI).

• Residing in Indonesia.

• Age 21–55 years at the time of loan maturity.

• Stable job and income.

• Required documents, such as:

  • National ID (personal and employer).

  • Family card (KK).

  • Taxpayer ID (NPWP, personal or company, if required).

  • Proof of home ownership.

  • Utility bills (electricity, water, or property tax).

  • Salary slip.

  • Bank statement.

  • Latest property tax return (SPPT).

  • Business documents (NIB, Articles of Association, approval from Ministry of Law and Human Rights, etc., if needed).

• Down Payment (DP) of 20–30% of the motorcycle’s value.

• Name must not be blacklisted by leasing companies.

• Clean BI Checking record.

How to Apply for Used Motorcycle Financing

The process is similar to applying for new vehicle financing. Generally, the steps include:

• First, choose a motorcycle that fits your budget and needs.

• Submit the required documents to the financing institution. For online applications, fill in the data and upload documents via their website or app.

• Run a financing simulation, then proceed with your application.

• Wait for the survey schedule, usually within 3–5 working days. The officer will inspect both the motorcycle and your residence.

• If everything is in order, approval is typically given within 1–2 weeks.

Tips to Get Approved Faster

Since used motorcycle financing involves several stages, here are some tips to increase your chances of quick approval:

• Choose a trusted financing institution.

• Ensure all documents are complete and accurate before applying.

• If you had past credit issues, fix your credit history first.

• Choose a Down Payment (DP) that matches your financial capacity

That’s the complete guide on used motorcycle financing—from its benefits and requirements to tips for getting approved faster. By preparing carefully, you’ll be more confident when applying for financing.

Remember, your motorcycle is not just transportation but also a valuable asset. If you need extra funds for personal or business purposes, your motorcycle can be used as collateral to secure a loan.

In line with this, BFI Finance offers a wide range of loan services for different needs. You can apply for loans with Motorcycle BPKB, Car BPKB, or Property Certificates as collateral, making it easier to obtain financing for your dream vehicle or other goals.

There’s no need to worry about safety, as BFI Finance is licensed and supervised by the Financial Services Authority (OJK). With over 40 years of experience, BFI Finance is a trusted choice for reliable financing solutions to help you achieve your goals.

So, fulfill your funding needs and realize your dreams because #SelaluAdaJalan with BFI Finance!