It’s a sad story, but every day there are hundreds of motorcyclists who default on their motorcycle loans and leave their bike to be sold at repo motorcycle auctions. A visit to a repo motorcycle auction is likely to present motorcycle buyers with the opportunity to pick up a real bargain.
All of the bikes up for auction will have been repossessed due to the original buyer’s defaulting on the monthly payments. Their loss is their gain, as finance houses sell these bikes at greatly reduced cost, in an attempt to recoup some of the money they originally lent the owner.
Motorcycle repo auctions include all types of bikes, from used powersports motorcycles to exotic ATVs. All of which are presented for inspection before the auction begins, sometimes several days in advance.
Why are bicycles seized and impounded?
Bicycles are seized and seized for three reasons. The most common reason a bike ends up at a repo motorcycle auction is because the original owner, who financed the purchase of the bike through a bank, has defaulted on payments. Once this happens, the used motorcycle is seized by a repossession company and will be put up for sale by the bank at a repo motorcycle auction.
The second, much less common, reason a bike is repossessed is because the original purchaser provided false information to the bank at the time of purchase. In this case, the bike is recovered much more quickly and an attempt will be made to negotiate with the retailer to return the bike at a slight loss in price. If this fails, the motorcycle will be presented at a repo motorcycle auction.
The third reason is that a dealership is going out of business and the dealership takes all remaining inventory to a repo motorcycle auction to liquidate them one by one. This offers a great opportunity to buyers at the auction.
Is it safe to buy a motorcycle that has been repossessed for repossession?
In general, it is quite safe to buy a repossessed bicycle, since it will usually be quite new, probably less than three years old, and the documentation will be in order, due to the fact that the finance house will have verified everything before putting the bicycle away. for auction
Of course, there is still the possibility that the motorcycle is in poor mechanical repair, and it is recommended that potential buyers seek the help of someone with mechanical knowledge before making the decision to bid on a particular motorcycle.
Almost all auction houses will have all of the bikes up for auction available to view and inspect before the auction begins, so take this time to review the bikes that interest you.
Most large motorcycle auctions allow the buyer to pay with a credit card, this is a great way to ensure that your financial transaction is not only secure, but has built-in protection, as most major companies Credit card dealers will go after any dubious auction house on your behalf. of the buyer if the trade is considered unfair.
Buying a used motorcycle at a repo auction can be a great way to acquire an exceptional motorcycle at a bargain price. Today’s auctions are well managed, fully regulated and safe to operate. All financial transactions are closely monitored and audited, which means the shady dealings and secret deals associated with auctions in the past are now behind us.
Buyers should still exercise a certain amount of common sense when buying a bike at a repo motorcycle auction, even though they are much better protected now than they were ten years ago.