Calculate your motorcycle loan repayments
Your estimated repayments
$98.62
| Total interest paid: | Total amount to pay: |
| $1233.43 | $5,143.99 |
The average Savvy motorbike loan was $17,264 over five years in 2025-26, which works out to $387 a month at a rate of 12.39% p.a. However, your own repayments depend on factors like the bike you choose, the term and the rate you’re offered. Each of these plays a role in determining your loan’s overall cost, so it’s important to understand how that works.
Motorcycle loan cost factors
There’s a range of factors that help shape what a motorcycle loan costs you. The examples below use Savvy’s average motorbike loan figures for the 2025-26 financial year:
- Loan amount: borrowing more lifts both the repayment and the interest. Each extra $1,000 adds about $22 a month and around $350 in interest on those terms.
- Interest rate: your rate depends on your credit score, the age of the bike and how the loan is structured. Bumping the average rate up by 0.50% p.a. increases the overall interest bill by over $250, while a 1.00% p.a. hike adds more than $500.
- Loan term: a longer term lowers each repayment but adds interest. On a five-year term, you’d pay $5,982 in interest, but this increases to $7,290 over six years.
- Deposit: a deposit reduces the amount you borrow. A $3,000 deposit on the average loan saves $67 a month and $1,039 in total interest.
- Fees and charges: establishment fees, monthly account fees and early repayment charges all add to the cost. They vary between lenders, so the comparison rate gives a fuller picture than the interest rate alone.
Case study: how loan term affects your motorcycle finance repayments
Liam needs to borrow $20,000 for a bike at a 12.50% p.a. interest rate. Before he applies, he wants to work out what loan term length is the best option for his budget. He uses a motorcycle loan calculator to work out which term option is the most suitable:
| Loan term | Monthly repayment | Total interest | Total amount repaid |
|---|---|---|---|
| 3 years | $669 | $4,087 | $24,087 |
| 4 years | $532 | $5,517 | $25,517 |
| 5 years | $450 | $6,998 | $26,998 |
| 6 years | $396 | $8,528 | $28,528 |
| 7 years | $358 | $10,108 | $30,108 |
| Figures are illustrative, based on a $20,000 loan at 12.50% p.a. with monthly repayments. They exclude fees and don’t guarantee the rate you’ll be offered. | |||
Over three years, his repayments are $669 a month and he pays $4,087 in interest. Stretching the loan to seven years drops the repayment to $358 a month, but the interest rises to $10,108. He decides that the increased monthly commitment is worth the long-term savings, opting for a three-year motorcycle loan.
New vs used motorcycle loan repayments
Used bikes attract higher interest rates than new ones, but the smaller loan can still make them cheaper overall. Savvy customers received an average 13.61% p.a. on used bike loans in 2025-26, compared with 11.55% p.a. on new motorcycle loans.
New motorcycle loans
The average new bike loan was $18,071 over five years, with repayments of $398 a month and $5,802 in interest based on the average 11.55% p.a. rate. Lenders tend to offer their lowest rates on new and near-new bikes, which keeps the interest bill down even though the loan is bigger.
Used motorcycle loans
The average used bike loan was $16,425 over five years, with repayments of $379 a month and $6,307 in interest on the 13.61% p.a. rate. The loan is $1,646 smaller, but the higher rate adds $505 in interest. Across the full term, the average used loan costs $22,732 to repay, compared with $23,873 for the average new loan.
Figures are averages from loans taken out through Savvy in 2025-26. They are illustrative, exclude fees and don’t guarantee the rate you’ll be offered.
Top tips for securing the lowest rate on your motorcycle loan
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Maintain a strong credit score
Your credit score is one of the first things a lender checks. Paying every bill on time, keeping credit card balances low and checking your credit report for errors all help build it.
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Consider a new or near-new bike
Lenders tend to offer their lowest rates on new and near-new bikes. Think about whether the saving from a lower rate is worth the potential increased bike cost.
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Borrow less with a deposit
A deposit reduces the amount you borrow, and every dollar you don’t borrow is a dollar you don’t pay interest on. Putting less strain on your budget will help your chances of securing a lower rate.
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Show that you’re asset-backed
Lenders tend to view property owners as more reliable borrowers. If you own a home, either outright or with a mortgage, you may qualify for a better rate.
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Compare your options
Lenders price the same borrower differently, so comparing is one of the easiest ways to find a lower rate. Look at the comparison rate as well as the interest rate, because it includes most fees and charges. Savvy compares offers from its panel of lenders and matches your application to the most competitive options available to you.
