Before looking for a loan source, you need to determine how much you can afford for a down payment and what size monthly payment you can handle. Keep in mind that your objective shouldn't be to get the lowest monthly payment. Consider also how much the financing is adding to the total cost. Include with your monthly expense, the cost for insurance, gas, and repairs.

The three types of motorcycle loans available are through a financial institution, the dealer or the motorcycle maker. Check these to see what kind of terms are available. While the terms quoted will probably be for people with good credit, it will give you a rough idea of what you can expect. For instance, the rates from financial institutions will vary depending on if you're buying from a dealer or a private party. Rates also vary for new or used motorcycles.

So after you determine what monthly payments you can handle and how much of of a loan that would be, you'll know how much motorcycle you can buy.

Although you should always check other rates, going through a dealer may have some advantages. The dealer may have better access to sources for bad credit motorcycle loans. He also might be able to offer you financing if you agree to his price.

If you've checked your credit record you'll get a good idea of problem areas. The companies who make bad credit motorcycle loans have gotten use to looking beyond the numbers to determine how serious the problems are. If you aren't in bankruptcy and aren't defaulting on any loans, you'll probably have a good chance for getting a loan.

Should you be turned down for a loan, you're entitled tot find out the reason, so ask about it to see if it's correctable. If your loan application is rejected several times you might consider a cosigner. The cosigner would be jointly liable for the loan, so make sure that's understood.

While banks and credit unions are traditional lenders, another alternative for people with poor credit is finance companies. They charge a higher rate of interest, but they're also used to dealing with bad credit and can be more accommodating.