colmx Posted October 11, 2006 Share Posted October 11, 2006 Hi All Bf in Pattaya wants to buy a motorbike (or is that wants ME to buy HIM a motorbike!) We are together nearly 4 years now and he has spent the last 2 months in Ireland with me.... so i don't have (many) worries about him ripping me off! He reckons he can buy one under some sort of leasing/credit deal... Whereby he would put down a deposit 5-14,000B and then pay 2000B per month over X number of months until the bike is his... I know some of his friends have done this sort of deal in the past Anyone have any experience of this sort of thing? What kind of credit does one end up paying over the term of the lease? Is it possible to get theft insurance on the bike to cover our asses? What kind of lifetime does the average (uncrashed) motorbike have? I read elsewhere that its only 2000B per month to rent a bike... Is he better off to rent perpetually? Thanks in advance for any advice! Link to comment Share on other sites More sharing options...
nikster Posted October 12, 2006 Share Posted October 12, 2006 Hi AllBf in Pattaya wants to buy a motorbike (or is that wants ME to buy HIM a motorbike!) We are together nearly 4 years now and he has spent the last 2 months in Ireland with me.... so i don't have (many) worries about him ripping me off! He reckons he can buy one under some sort of leasing/credit deal... Whereby he would put down a deposit 5-14,000B and then pay 2000B per month over X number of months until the bike is his... Yeah, it's like a car loan, and actually the way most ppl in Thailand buy motorbikes. Or phones. Or washing mashines. Or anything else costing more than you can affort out of your pocket. What kind of bike does he want to buy? Honda Dream costs around 30 - 50k Baht, a BMW bike 550 - 1200k Sounds like you are sure but not _too_ sure you really want to pay for his bike, so credit is perfect, he gets the credit in his name - there is not much to it, especially for a cheapo bike; they will give him credit. Terms and conditions depend on all sorts of things, dealer financing, financing options from the manufacturer, current interest rates, etc, but he should be able to get a 3 - 6% financing deal, more would be a rip-off. Link to comment Share on other sites More sharing options...
colmx Posted October 12, 2006 Author Share Posted October 12, 2006 He Spent the afternoon shopping around... Best deal he could get was: 5K up front 3K per month for 18 months 59K total On a 43K motorbike! I'm no actuary - but that looks like an interest rate of approx 24% PA... What a complete ripoff! Has anyone else experienced credit rates this high? Looks like we'll be going down the cash route... Link to comment Share on other sites More sharing options...
smartecosse Posted October 12, 2006 Share Posted October 12, 2006 alternatively buy a 10 yr old honda dream etc 5k spend 4 k on all the go faster toys looks nice, don't need credit for it - lasts as its a honda and only 9 k for the lot Link to comment Share on other sites More sharing options...
PeaceBlondie Posted October 12, 2006 Share Posted October 12, 2006 You might lend him an amount of spare cash that you have - 20K would go a long way, and might get him a better interest rate. If he doesn't repay you, that's the credit risk you ran. Due to accident rates, and usage year-round, the life of a bike here is much shorter than in Killarney or Galway. Link to comment Share on other sites More sharing options...
donbdc Posted October 12, 2006 Share Posted October 12, 2006 In Carrefour Pattaya they was doing 0% finance on certain bikes there (definately mio and nouvo), I think the offer runs till the end of this month Link to comment Share on other sites More sharing options...
smartecosse Posted October 13, 2006 Share Posted October 13, 2006 unless the subsidy is being paid by the manufacturer there is no such thing as 0% - your discount simply disappears and you pay full retail to cover the cost of the finance subsidy, that said if its the manufacturer paying the sisidy then you should still be able to get the discounts etc making it a good deal still think the 5 k heap with all the go faster goodies is the most fun way to go Link to comment Share on other sites More sharing options...
tigerbeer Posted October 15, 2006 Share Posted October 15, 2006 He Spent the afternoon shopping around...Best deal he could get was: 5K up front 3K per month for 18 months 59K total On a 43K motorbike! I'm no actuary - but that looks like an interest rate of approx 24% PA... What a complete ripoff! Has anyone else experienced credit rates this high? Looks like we'll be going down the cash route... had lots of anticipation of perhaps getting a cheopo bike for going around town. went into honda dealer and the quoted interest rate was 20%pa. non-reducing term. accoding to the salesman, thats quite cheap rate, most are charging 24%! its gotta be cash or no way am gonna pay that kinda interest. what a f****** rip off. thais don't paying. same same like AEON, EASYBUY, FIRST CHOICE, OK CAPITAL. collection of thieves. Link to comment Share on other sites More sharing options...
barryofthailand Posted October 16, 2006 Share Posted October 16, 2006 People that buy motorbikes on monthly payments pay about 30 to 50% more than if they would have paid cash. Its nothing like a car loan. Barry Link to comment Share on other sites More sharing options...
nikster Posted October 18, 2006 Share Posted October 18, 2006 had lots of anticipation of perhaps getting a cheopo bike for going around town. went into honda dealer and the quoted interest rate was 20%pa. non-reducing term. accoding to the salesman, thats quite cheap rate, most are charging 24%! its gotta be cash or no way am gonna pay that kinda interest. what a f****** rip off. thais don't paying. same same like AEON, EASYBUY, FIRST CHOICE, OK CAPITAL. collection of thieves. Anything that's over 10% is insane. Stay away. I am thinking that's the polite way of saying: No, we don't want to give you credit. Link to comment Share on other sites More sharing options...
eljeque Posted October 18, 2006 Share Posted October 18, 2006 had lots of anticipation of perhaps getting a cheopo bike for going around town. went into honda dealer and the quoted interest rate was 20%pa. non-reducing term. accoding to the salesman, thats quite cheap rate, most are charging 24%! its gotta be cash or no way am gonna pay that kinda interest. what a f****** rip off. thais don't paying. same same like AEON, EASYBUY, FIRST CHOICE, OK CAPITAL. collection of thieves. Anything that's over 10% is insane. Stay away. I am thinking that's the polite way of saying: No, we don't want to give you credit. Actually, they want to give you credit very badly at 20%, but as there is not yet a good credit examination system in this country where banks, finance and other credit companies can estimate the credit worthiness of the applicant, all of the applicants will be put in the same bowl and have to pay these rates. Remember, people borrow from money lenders on their cars and pay three percent/month. These are cars that are owned free and clear. The same for second loans on houses, because many Thai people have income that is not standardized (a pay check) and make their money on the informal, but legal, economy. How many of these borrowers crash their bikes and die? How many of these borrowers crash their bikes and can no longer work? How many of these borrowers crash their bikes and then run up-country? How many of these borrowers lose their jobs and then move provinces? How many of these borrowers....? These companies lose a lot of bikes and charge these interest rates to make up for the losses. What is the girlfriend of some foreigner living overseas made a 5,000 baht down payment on a 40,000 baht bike, and then took it to her family cousin's home out in the middle of nowhere. And then, she went to stay with her husband in England for a few years. The company would be out the bike/funds and would not be able to locate the bike which is now out in the sticks without a license plate. The buyer would be out of the country and free from the debt. Yes, when she returns, she would not be able to buy from that company again, and by then, the credit examination system may have improved, but she is not worried about that. Link to comment Share on other sites More sharing options...
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