Smarter Ways to Get an Affordable Payment
The Truth About “Low Monthly Payments” on Motorcycle Loans
At SLC Powersports, we get it—when you’re buying a bike, the monthly payment is usually the first number you look at.
Dealers and lenders know this too, which is why they sometimes stretch loans out longer to make the payment look smaller.
But here’s what most people don’t see:
That “cheaper” monthly payment can easily cost you double in interest over the life of the loan.
For a lot of riders, that’s thousands of dollars extra for the same motorcycle.
Real Example: $10,000 Bike at 9% APR
Let’s use a simple, realistic example for a used bike here at SLC Powersports.
- Price financed: $10,000
- Interest rate: 9% APR
We’ll compare a 5-year loan vs an 8-year loan—both very common terms in powersports financing.
Option 1: 5-Year Loan (Standard Term)
- Loan amount: $10,000
- Term: 5 years (60 months)
- Rate: 9% APR
- Approx. monthly payment: ≈ $208
- Total paid over 5 years: ≈ $12,455
- Total interest paid: ≈ $2,455
Option 2: 8-Year Loan (Stretched Term)
- Loan amount: $10,000
- Term: 8 years (96 months)
- Rate: 9% APR
- Approx. monthly payment: ≈ $157
- Total paid over 8 years: ≈ $15,072
- Total interest paid: ≈ $5,072
Lower Payment, Much Higher Cost
On the surface, the 8-year loan looks better:
- Payment drops from about $208 to about $157
- You “save” roughly $50 per month
But when you look at the total interest:
- 5-year loan interest: ≈ $2,455
- 8-year loan interest: ≈ $5,072
By stretching the loan from 5 to 8 years, you’re paying over $2,600 more in interest—more than double what you’d pay with the shorter term.
Same $10,000 bike.
Same 9% rate.
Just a longer term—and the bank makes a lot more money.
Why Used Motorcycles Make Even More Sense
Now layer this on top of new vs used.
New motorcycles take their biggest depreciation hit in the first few years. That means:
- The original buyer pays top dollar
- The bike loses a big chunk of value early
- By the time it hits our floor as a used bike, a lot of that depreciation has already happened
When you buy used at SLC Powersports:
- You’re paying closer to the bike’s real market value, not inflated “brand new” pricing
- The worst of the depreciation has already been paid for by someone else
- Your risk of being upside down (owing more than the bike is worth) is lower—especially if you avoid super-long loan terms
Compare that to buying new with a long-term loan:
- You’re paying full new-bike pricing
- The bike is dropping in value fastest in the same years you’re paying the most interest
- If you stretch that loan to 7–8 years, you can be upside down for a long time
Used + reasonable term =
You let the first owner eat the big depreciation, and you avoid handing the bank thousands extra in interest.
Why This Hits Motorcycle Buyers Hard
Unlike a house, a motorcycle:
- Depreciates faster
- Often gets traded in after a few years
- Is usually a want, not a need—so you want the numbers to make sense
When you finance a bike (even a used one) for 7–8 years:
- You can end up upside down (owing more than the bike is worth)
- Trading into your next bike is harder because there’s less equity
- You’ve paid thousands extra in interest on a bike you might not even own anymore
At SLC Powersports, we like the combination of:
- Used pricing (depreciation already hit the first owner)
- Shorter terms when possible (less interest, faster payoff)
That’s how you keep more of your money in your pocket.
How We Look at Financing at SLC Powersports
When we talk financing with you, we’re not just trying to hit a payment target. We look at:
- Monthly payment – what’s actually comfortable for your budget
- Loan term – how many months/years you’ll be paying
- Total interest – how much the bike really costs you over time
Our goal is to help you find a balance:
- A payment that fits your budget
- A term that doesn’t drag on for years longer than it needs to
- A structure that doesn’t quietly cost you thousands extra in interest
Because we’re a family-owned, used-only dealership, we’re not chasing factory quotas—we’re trying to build a reputation and repeat business in the Utah riding community.
Smarter Ways to Get an Affordable Payment
If you need to keep the payment down, there are better options than just stretching the term:
- Look at a bike that’s slightly less expensive
- Put a little more money down
- Stick with a 3–5 year term when you can, especially on used bikes
Many of our customers are in the $7,000–$11,000 range on bikes. With a reasonable down payment and a solid used bike, you can often:
- Keep the payment manageable
- Pay far less interest
- Build equity faster so you’re in a better spot when you’re ready to upgrade
Our Commitment to You
When you sit down with us at SLC Powersports, we’re happy to:
- Show you side-by-side comparisons of different loan terms
- Break down monthly payment vs total interest
- Explain how used pricing + the right term can save you a lot of money over time
You’ll never get the “just look at the payment” treatment here. We want you to ride away on a bike you love, with a payment and loan structure that actually makes sense.
While you’re here, ask us about our 1–5 year warranty options on qualifying used motorcycles. You get the pricing advantage of used, with the peace of mind that usually only comes with new.
If you want, I can tighten this further for a shorter social post version (for Facebook/Instagram) that teases this blog and drives people to your site.