It’s a sad story, but every day there are hundreds of motorcyclists who default on their motorcycle loan repayments and leave their bike to sell at motorcycle buyback auctions. A visit to a repo motorcycle auction is likely to present bike buyers with the opportunity to get a real bargain.

All bikes in the auction will have been repossessed due to the original purchaser not being able to keep up with the monthly payments. Your loss is your profit, as finance houses sell these bikes at a very low cost, in an attempt to recoup some of the money they originally loaned to the owner.

Repo motorcycle auctions include all types of bikes, from used motorcycles to exotic off-road vehicles. All of which are presented for inspection before the auction begins, sometimes several days in advance.

Why are bicycles confiscated and recovered?

Bicycles are confiscated and recovered for three reasons. The most common reason a bike ends up in a repo motorcycle auction is because the original owner, who financed the purchase of the bike through a bank, was unable to keep up with refunds. Once this happens, the used motorcycle is seized by a salvage company and the bank will put it up for sale at a repo motorcycle auction.

The second, much less common reason for a bicycle repossession is because the original purchaser provided false information to the bank at the time of purchase. In this case, the bicycle is recovered much more quickly and an attempt will be made to negotiate with the retailer for the return of the bicycle with a slight loss in price. If this fails, the bike will be featured in a repo motorcycle auction.

The third reason is that a dealership is closing and the dealership takes all the remaining inventory to a repo motorcycle auction to be liquidated one by one. This offers a great opportunity to buyers at the auction.

Is it safe to buy a motorcycle that has been impounded for recovery?

In general, it is quite safe to buy a reclaimed bike, as they will generally be fairly new, certainly less than three years old, and the paperwork will be in order, due to the fact that the finance house will have checked everything before putting the bike in. for auction.

Of course, there is still the possibility that the motorcycle is in a poor state of mechanical repair, and it is recommended that potential buyers seek the help of someone with mechanical knowledge, before making a decision to bid on a particular motorcycle.

Almost all auction houses will have all the bikes to be auctioned available for viewing and inspection before the auction begins; take this time to review the bikes that interest you.

Most large motorcycle auctions allow the buyer to pay by credit card, this is a great way to ensure that your financial transaction is not only secure, but also has protection built in, as most major card companies Credit unions will look for any dubious auction houses on your behalf. of the buyer if the transaction is considered unfair.

Buying a used motorcycle at a repo auction can be a very good 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 shady deals and secret deals associated with auctions in the past have been left behind.

Buyers should continue to exercise some common sense when buying a bike from a repo motorcycle auction, although they are now much better protected than they were ten years ago.