When you are looking to purchase a motorbike, whether it is your first or your fifth, you will likely need to take out a loan to help you get that Harley-Davidson into your garage!

Much like buying a car, there are many financing options available to help you get the motorcycle that you have always wanted, and while it may not be known amongst new motorbike enthusiasts, one of the most popular options is to purchase a bike using a hire purchase.

Are there any benefits to choosing this financing option? Yes, there are, and here, they will be explained to you in jargon-free language.

No Deposit

When you are looking for a bike finance option, one of the main pros of hire purchase is that there is no initial deposit. Many bike loans will require a deposit that is between 5-20% of the cost of the bike or may even require the full purchase price upfront. However, if you cannot afford this, the option of hire purchase does not close the bike ownership door to you. Please note that using a hire purchase to buy any vehicle can result in higher monthly payments.

Flexible, Spread-Out Payments

A lot of people will buy a bike or car when their finances are in a good place. As is the case, this may not last and can mean that soon, you will need to start dialling back on repayments due to tightening finances. Hire purchase allows you to spread the bike payments out over a fixed period, as well as reduce payments if needed, making budgeting easier.


As mentioned before, there are many options that you can finance a bike on, and unlike leasing, if you choose to hire purchase, at the end of the loan term, you will own the bike. This has the obvious benefit of actually owning the bike, as well as giving you the option to sell it if you need to. Please note that you will only own the bike outright once all of the payments have been made.

No Mileage Restrictions

As you will eventually own the bike that you are financing, there is no need to worry about mileage restrictions. One key benefit that hire purchase has over personal contract purchase or PCP is that there are no mileage restrictions. This means that you can drive your bike to work, around the country, or wherever without violating the terms of the agreement. If you were to finance a motorbike with a PCP, if you were to go over the mileage restrictions, you would probably need to pay a fine.

Potential Tax Benefits

Based on where you live, there may be some tax benefits linked to purchasing a motorbike via hire purchase. If you are able to deduct the interest paid on the loan from your taxable income, you will have a lowered tax bill and a bike to boot! Great! Of course, to check that this is a viable option, please contact an accountant for more information.