Anyone who has ever ridden a motorcycle can attest to the fact that Harley Davidson is one of the most popular and recognizable brands in the world. While Harley Davidson motorcycle credit scores are not available to everyone, those who are approved can enjoy some of the best rates and terms in the industry.
To be approved for a Harley Davidson motorcycle credit score, applicants must first meet certain requirements, including a good history of responsible borrowing and spending.
What is a Harley Davidson?
Harley Davidson motorcycles are iconic, American-made vehicles. They have been around since 1916 and have become one of the most famous motorcycle brands in the world. Harley Davidson has a traditional V-twin engine layout with a shaft drive, chain drive, or belt drive.
The engine produces 45 horsepower and runs on unleaded gasoline or ethanol. Harley Davidson offers a variety of models, including touring bikes, cruisers, and sport bikes. To qualify for a Harley Davidson motorcycle loan, borrowers must meet certain credit score requirements.
Harley Davidson motorcycle loans are also available through participating Harley Davidson dealers. Harley Davidson dealerships operate under the Harley-Davidson Motor Company Incorporated.
What is a Harley Davidson Credit Score?
The Harley Davidson credit score is a number that lenders use to decide whether or not to approve your loan application. You can find out your credit score for free from any one of the three major credit bureaus – Experian, Equifax and TransUnion.
Below are the Harley Davidson credit score requirements as determined by each bureau:
- Experian: A score of 700 or higher is generally required.
- Equifax: A score of 680 or higher is generally required.
- TransUnion: A score of 640 or higher is generally required.
Keep in mind that not all lenders require a high Harley Davidson credit score, so be sure to check with the lender you’re considering before applying for a loan.
What is Needed to Qualify For a Harley Davidson Loan?
Harley Davidson motorcycle loans are popular with riders because they offer a memorable experience, superior performance and aggressive style.
To qualify for a Harley Davidson loan, you will need to have good credit history and a respectable credit score. A Harley Davidson loan could be the perfect financing option for you if you meet the following criteria:
- You have a steady income and sufficient collateral.
- You have an excellent credit history.
- Your debt-to-income ratio is low.
- You can cover your monthly payments without difficulty.
How Does Harley Davidson Use Credit Scores?
Harley Davidson uses credit scores to determine whether or not to offer a loan to a potential buyer. A good credit score is important for Harley Davidson because it means that the person has a good history of paying their debts on time.
Harley Davidson also looks at the total amount of debt that a person owes and their current financial situation when making a decision about whether or not to offer a loan.
Harley Davidson is one of the few dealerships that does not have to use a credit score when deciding whether or not to offer a loan. Harley Davidson uses the same credit score formula as banks and other lending institutions.
Harley Davidson’s formula is called FICO. FICO stands for Fair Isaac Corporation and the credit scoring formula was created by the company in 1939.
What Affects Harley Davidson’s Credit Score?
Historically, Harley Davidson’s credit score has been based on its debt-to-income ratio. However, this requirement was eliminated in 2010 and Harley Davidson now uses a “new” scoring model that takes into account the company’s total available credit, new credit requests and current payment history.
Additionally, motorcycle dealers are now required to provide Harley Davidson customers with a free credit score from one of the three major credit bureaus if requested. Harley Davidson’s credit score is the same for all of its customers, regardless of whether they’re buying a motorcycle, accessories or financing a purchase.
Other Ways to Get a Loan Without Credit Score
Many people dream of owning a Harley Davidson motorcycle, but not everyone can get the credit score requirements to qualify for a loan. The good news is that there are other ways to purchase a Harley Davidson.
Credit history is one factor lenders take into consideration when considering a loan, but it’s not the only one. Other factors include your income and credit score.
Even if you don’t have a good credit history, there are other ways to get a loan. You can use a guarantor or cosigner, or apply for a loan through a lending institution that doesn’t require a credit score. There are also special loans available to people with bad credit histories.
You can buy one through a dealership or through a private seller. If you buy it this way, you will need to provide proof of insurance and proof of financial responsibility. Car loans are subject to different terms and conditions.
You can finance the entire car, or you can make just a down payment. Part of what you pay for is the interest rate. The longer you have to owe the loan, the higher your interest rate will be. The amount of your down payment can also be adjusted.
You are not expected to pay the loan off in full each month, but you do need to keep up with the payments. If you don’t make a payment, your lender will send you a notification and try to collect it.
Conclusion
Harley Davidson credit score requirements are not as stringent as other companies, but they do have their own set of guidelines. An ideal Harley Davidson credit score would be 720 or higher. Harley Davidson also requires a healthy debt-to-income ratio and a low debt-to-asset ratio.
Harley Davidson has a lot of options for people who want to buy or lease a bike. You can choose the bike you want, and then try to get that Harley Davidson credit score. If you don’t have good credit, it won’t be as easy as getting a car loan.