Motorcycle Loans for Bad Credit: How to Get Approved in 2025

If you have bad credit but dream of hitting the open road on a new motorcycle, don’t lose hope. While it can be challenging to get approved for motorcycle loans with bad credit, there are still options available in 2025 for riders with less-than-perfect credit scores.

Understanding Motorcycle Loans for Bad Credit

Motorcycle loans for bad credit work similarly to traditional motorcycle financing, but typically come with higher interest rates and stricter terms to offset the increased risk for lenders. The minimum credit score to qualify is usually around 550-600, compared to 660+ for prime motorcycle loans.

Some key things to know about bad credit motorcycle loans:

Interest rates typically range from 10% to 36% APR
Loan terms are often shorter, from 24-60 months
Down payments of 10-20% may be required
Loan amounts are generally capped at $25,000 or less
Additional fees like origination fees are common

While the terms aren’t ideal, these loans can help riders with damaged credit get back on the road while rebuilding their credit scores through on-time payments.

How to Get Approved for a Motorcycle Loan with Bad Credit

Follow these steps to improve your chances of qualifying for motorcycle financing with poor credit:

1. Check your credit score

Before applying, check your current credit score so you know where you stand. You can get free credit scores from sites like Credit Karma or Credit Sesame. Scores below 600 are generally considered “bad credit” for motorcycle loans.

2. Save for a down payment

A larger down payment of 10-20% shows lenders you’re committed and reduces the loan amount, improving your odds of approval. Try to save at least 1, 000−2,000 for a down payment.

3. Consider getting a cosigner

Adding a cosigner with good credit to your loan application can significantly boost your approval chances and help you qualify for better rates. Just make sure your cosigner understands they’re equally responsible for the loan.

4. Shop around with multiple lenders

Don’t just apply with one lender. Compare offers from at least 3-5 motorcycle loan providers that work with bad credit borrowers. Online lenders, credit unions, and motorcycle dealerships are good places to start.

5. Be prepared with documentation

Have proof of income, bank statements, tax returns, and other financial documents ready when you apply. Being organized shows lenders you’re responsible despite past credit issues.

Best Bad Credit Motorcycle Loan Options in 2025

Here are some of the top lenders offering motorcycle loans for bad credit this year:

Lender	Min. Credit Score	APR Range	Loan Amounts
Avant	550	9.95% – 35.99%	$2,000 – $35,000
Upstart	300	5.60% – 35.99%	$1,000 – $50,000
OneMain Financial	No minimum	18% – 35.99%	$1,500 – $20,000
FreedomPlus	620	7.99% – 29.99%	$10,000 – $50,000

Avant

Avant specializes in loans for borrowers with fair to poor credit. They offer competitive rates, fast funding, and excellent customer service. However, their maximum loan amount of $35,000 may be too low for some premium motorcycles.

Upstart

Upstart uses AI and machine learning to evaluate borrowers beyond just credit scores. This allows them to approve loans for people with scores as low as 300. Interest rates can be high for very poor credit, but they’re a good option for those who can’t qualify elsewhere.

OneMain Financial

OneMain has no minimum credit score requirement, making them accessible to borrowers with very bad credit. Their rates are on the higher end, but they offer secured loan options that may provide lower rates. They also have physical branches for in-person support.

FreedomPlus

While FreedomPlus has a higher minimum credit score of 620, they offer very competitive rates for fair credit. They also give rate discounts for adding a cosigner or having retirement savings, which can help offset bad credit.

Alternatives to Bad Credit Motorcycle Loans

If you’re unable to qualify for a motorcycle loan or want to avoid high interest rates, consider these alternatives:

Save up and pay cash: While it takes longer, saving to buy a motorcycle outright avoids interest and improves your negotiating power.
Buy a less expensive used motorcycle: Opting for a cheaper used bike reduces the loan amount needed, improving approval odds.
Improve your credit first: Take 6-12 months to boost your credit score through on-time payments and paying down debt before applying.
Peer-to-peer lending: Sites like Prosper may approve loans for lower credit scores at better rates than traditional lenders.
Motorcycle leasing: Leasing often has more flexible credit requirements than purchasing, though you won’t own the bike.

How Motorcycle Loans for Bad Credit Work

Motorcycle loans for bad credit function similarly to standard motorcycle financing, but with some key differences:

Higher interest rates to compensate for increased risk
Shorter loan terms, usually 24-60 months max
Lower maximum loan amounts, often capped around $25,000
Larger down payments may be required (10-20%)
Additional fees like origination fees are common
May require a cosigner for approval

The loan funds are typically sent directly to the motorcycle dealership or seller. You then make fixed monthly payments to the lender until the loan is paid off, building credit in the process.

How to Take Out a Motorcycle Loan with Bad Credit

Follow these steps to apply for and obtain a motorcycle loan with bad credit:

Check your credit score and reports for errors
Save up for a down payment of at least 10-20%
Get prequalified with multiple lenders to compare offers
Choose your top offer and complete a formal application
Provide any required documentation (proof of income, etc.)
If approved, carefully review the loan terms and sign the agreement
The lender will send funds to the motorcycle seller
Start making on-time monthly payments to build credit

Motorcycle Loan Dosage

While not a medication, the “dosage” for a motorcycle loan refers to the loan amount and terms. Here are some general guidelines:

Credit Score	Max Loan Amount	Typical APR	Loan Term
300-579	$5,000 – $15,000	25% – 36%	24-48 months
580-619	$7,000 – $20,000	18% – 29%	36-60 months
620+	$15,000 – $40,000+	7.99% – 18%	48-84 months

Pros and Cons of Bad Credit Motorcycle Loans

	Pros	Cons
Interest Rates	Can secure a loan despite bad credit	Higher rates lead to more interest paid overall
Loan Terms	Shorter terms allow for quicker payoff	May require larger monthly payments you can’t afford
Down Payments	Lowers the principal and loan amount needed	Makes buying a motorcycle upfront more expensive
Credit Building	Paying on time helps rebuild credit over 24-60 months	Missing payments can further damage your score
Fees	Some lenders waive fees for good payment history	Origination and processing fees add to the cost

Pricing Comparison Table for Bad Credit Motorcycle Loans in Local Currency (USD)

Lender	Down Payment (%)	Loan Amount ($USD)	APR Range	Total Monthly Payments	Total Cost of Loan
Avant	10-20%	$2,000 – $35,000	9.95% – 35.99%	Varies by loan amount and term	$4,768 – $128,135
Upstart	0-20%	$1,000 – $50,000	5.60% – 35.99%	$4,287 – $75,946	$5,341 – $99,493
OneMain Financial	0-20%	$1,500 – $20,000	18% – 35.99%	$4,617 – $85,145	$6,932 – $125,999
FreedomPlus	0-20%	$10,000 – $50,000	7.99% – 29.99%	$4,351 – $78,644	$5,417 – $103,037

Conclusion

While getting approved for a motorcycle loan with bad credit isn’t easy, there are still options available. By understanding how these loans work and taking steps to improve your financial situation before applying, you can increase your chances of qualifying at favorable terms.

Remember that even with high interest rates, making timely payments on the loan will help rebuild your credit over time. Be sure to shop around for the best deal and read all the fine print carefully to avoid costly mistakes.

Credit Karma¹, (2025). Credit Score Ranges Explained.[Online]. Available at: https://www.creditkarma.com/guide/credit-score-ranges-explained/ [Accessed 15 Sep. 2025].
Bankrate², (2025). Motorcycle Loans: Rates, Requirements and More.[Online]. Available at: https://www.bankrate.com/mortgages/buying-a-motorcycle-loans-rates-requirements/ [Accessed 15 Sep. 2025].

Footnotes:
¹Credit Karma provides free credit scores and reports to consumers.
²Bankrate is a financial news and information website that covers personal finance topics including loans and mortgages.

This article aims to provide comprehensive guidance on motorcycle loans for bad credit, helping riders achieve their dreams despite past financial setbacks.