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Discussion Starter #1
1 week ago I went to a motorcycle dealership. Those dealerships that have every manufacturer and model available; not just one brand dealership. Anyways, Yamaha was the only manufacturer that approved me and they only approved me for $5000. So I went and picked out a bike for 5000 (2010 tw200) out the door. Now its been 1 week and I want to trade it in for a bigger bike. How will trade in work? I want to give this bike completely back to the dealership and get a bigger bike. My dream bike out the door from this dealership is 6500. Keep in mind yamaha has me approved for 5000. I still owe 5000 on it since I haven't even made my first payment yet.



Long story short I want an r6, I still owe 5000 on my tw200 since the first payment is on novemeber 17, how will trading this in for an r6 work at the same dealership?



key notes:



-First payment is due 11/17/12

-252/month

-Yamaha has me approved for $5000
 

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Ouch!



Unless your dealer happens to be very generous, I would expect that you may have to take a pretty big loss on this transaction. Trade in value on a 2010 TW is only $2,275 and retail is $3,340.



Brian
 

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Discussion Starter #3
okay after that how does it work? The 2275 is used as what? Please explain to my extremely detailed since i'm a newbie at this. If im approved for yamaha on a 5000 loan, can I use that 2275 trade in as the down payment for the r6? the r6 out the door is 6500 at this dealership
 

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You already used your $5000 loan to buy the TW. You don't have $5000 anymore, it's already been spent. That's a debt.



You trade the bike in and they give you $2275 (that's not a guarantee). You still owe $2725 ($5000 loan - $2275 trade in value of bike = $2725 still owed on loan). Now you have a $2725 loan and have no more bike. You are making monthly payments for nothing in return. That's a tough financial lesson.



But like Brian said, if you can persuade your dealer to have a little mercy on your mistake they might give you more money with the TW.



Here's the issue with the R6: you were approved for $5000. You spent the $5000 on the TW. Let's say the dealer says, "we feel bad you bought the wrong bike so we'll allow you to trade it back in for $4500 IF you buy that R6 from us". You think, great I get an R6 and only lose $500 with the TW. Well, you need to come up with $2000 out of pocket to pay the difference between the $4500 value the dealer is giving you on the TW and the $6500 cost of the R6....and you'll need another $500 out of pocket to cover the loss on the TW. Do you have $2000 in your bank account??



On top of all that, you'll have to deal with releasing the lien on the TW title in order to trade it in. That's another can of worms.
 

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And sorry to be the bearer of bad news, but $5000 for a 2010 is a fistf*ck. Not trying to kick you while you are down, but remember this transaction for future years to compare and shop around and do your research prior to signing anything. I lived plenty of years in debt and I'm finally clearing it out. It sucks. The best way to protect one's self is to learn from the good and bad experiences and apply those lessons to future transactions.



I really don't believe your dealer will give you close to what you want for a trade-in value. Why? Because you said you bought it with 256 miles and have already put 1000 miles on it.... http://tw200forum.com/index.php?/topic/6024-highway-question/page__view__findpost__p__59395
 

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Can the dealership roll the $2000 on the r6 loan?


Here is the lesson on a "lien" and releasing them:



When you got the loan from Yamaha, they buy the bike and you agree to make payments to them for x amount of months until it's paid off. Up until it's paid off, you don't own the bike. The title to the bike will be in your name but it will have a "lien" on it. That lien means you owe someone else money before you officially own the bike. You can't sell your bike (or trade it in) without releasing that lien, well you could try selling it but no one will want to buy it. How do you release the lien? You have to pay off the loan. So, they may give you $2275 for the bike as a trade-in value but you still need to come up with $2725 to release to lien on that bike.....it's a combo deal, both things need to happen to transfer the title from you back to the dealer (or any other buyer, for that matter). They will NOT give you $2275 if you don't come up with the $2725.



So, if you don't have $2725 available in your bank account to release the lien, you need to go to your bank and ask for a separate loan for that $2725. You use that to pay off the remaining Yamaha loan and release the lien. You are still out $2725 but now with a loan through your bank.





The dealer will gladly roll the $2275 on the R6, IF you pay off the whole $5000 loan on the TW. You can't buy a $5000 bike with a loan, trade the bike in, and use it's trade-in value to put towards another bike. Remember, you don't own the bike at this stage so that trade-in value is not for you to keep or apply to a different bike.



Yamaha has approved you for $5000. You already spent that. Have they approved your for ANOTHER $5000 for the R6?? When you get an approval, it doesn't mean you can spend that amount multiple times. You already spent your Yamaha loan on the TW. You CAN'T spend it on the R6 as well.
 

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We've all done this before,but you need to stop and take a breath before you make things worse.First realize that the dealer will take you for everything you're worth and it seems likley they already have.
 

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New is nice but if you are patient and willing to shop around excellent deals can be found in used motorcycles. Check Craigslist daily, several times a day, for what you want.



Why did you buy a TW when you really wanted an R6? Different animals all together.



Keep the TW, pay it off, then move on to something else.



How long before it is paid off?
 

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Whoa! Hard lesson young friend. Why don't you just keep the bike and ride it till you pay off the loan? I assume there's something you really liked about it; other than it's price. You can make extra payments on the back side of the loan, and get it paid off quicker. Then; you can sell it outright for more than what the dealer will offer you right now. These are great bikes for a lot of reasons, and you'll probably live longer on it than you will the R6; albeit you won't be doing 100MPH wheelies down the interstate. By the way; where did you buy it, so we will all know to avoid this dealership(or at least go in with some experienced bargaining tools).
 

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Whoa! Hard lesson young friend. Why don't you just keep the bike and ride it till you pay off the loan? I assume there's something you really liked about it; other than it's price. You can make extra payments on the back side of the loan, and get it paid off quicker. Then; you can sell it outright for more than what the dealer will offer you right now. These are great bikes for a lot of reasons, and you'll probably live longer on it than you will the R6; albeit you won't be doing 100MPH wheelies down the interstate. By the way; where did you buy it, so we will all know to avoid this dealership(or at least go in with some pitchforks and torches).




fixed it!



But kidding aside, this is an excellent point. Keep the tdub. Don't even think about trying to go 70 mph. Stay off the interstate. Ride around town, ride trails and improve your skills. I took a fall on a routine curve last summer and broke a collar bone. Stupid accident, but stupid accidents happen. Take it easy, slow down, and really learn how to ride.



dan
 

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I have both an 05' r6 (first bike) and an 06' TW. I've owned the r6 since it was new as well as the tdub. Had I would have originally bought the TW new back in 2005, I don't think I'd have two motos right now.



As others have indicated, they are completely different machines. R6 is good for fast, smooth acceleration and turning the heads of jealous dudes in big trucks with nasty girls next to them. Pretty impractable machine unless you're making trips to the track. Sure, they're fun and super fast but, I've found this to have worn off.



Coupled with high maintenance costs (they are realible just expensive) and the fact that having access to power is sometimes hard NOT to tap into, could quicken your demise.



I say keep the dub and go exploring, you'll never be able to explore more than on a dirtbike or dual sport.



PS if you're interested in an 05' r6, let me know
 

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fixed it!



But kidding aside, this is an excellent point. Keep the tdub. Don't even think about trying to go 70 mph. Stay off the interstate. Ride around town, ride trails and improve your skills. I took a fall on a routine curve last summer and broke a collar bone. Stupid accident, but stupid accidents happen. Take it easy, slow down, and really learn how to ride.



dan


I was just trying to look like I'm a nice guy; because pitchforks, and torches needs some tar and feathers to go along with them.
 

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Discussion Starter #14
I have both an 05' r6 (first bike) and an 06' TW. I've owned the r6 since it was new as well as the tdub. Had I would have originally bought the TW new back in 2005, I don't think I'd have two motos right now.



As others have indicated, they are completely different machines. R6 is good for fast, smooth acceleration and turning the heads of jealous dudes in big trucks with nasty girls next to them. Pretty impractable machine unless you're making trips to the track. Sure, they're fun and super fast but, I've found this to have worn off.



Coupled with high maintenance costs (they are realible just expensive) and the fact that having access to power is sometimes hard NOT to tap into, could quicken your demise.



I say keep the dub and go exploring, you'll never be able to explore more than on a dirtbike or dual sport.



PS if you're interested in an 05' r6, let me know




How much are you selling your k5r6 for?
 

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osheen, I read somewhere that you're in LA. I'd just ride the TW til you pay it off then sell it and look at getting a used R6.



The SoCal used bike market (craigslist) is loaded with sport bikes with low miles due to their popularity and number of military we have. With patience, great deals can be found. Check the prices of used R6s on the LA, OC and SD craigslists.
 

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My guess is he got the bike from Chaparral's in San Bernardino or Bert's in Covina. He mentioned in another thread he is in LA and both of those dealers are "Mega Mall's" and both have shady reputations. Six years ago I *almost* bought a quad from Chaparral's until we sat-down in finance and I realized how much they were tacking-on in "fee's" (~$1,500!) I walked-out and bought from another dealer the next day.



In the future try either paying in cash (you'll like the bike/car/whatever better) or finance through a credit union (you'll get a better interest rate). NEVER finance through a dealership!



One note about your loan, you got a $5,000 loan from Yamaha (I'd hate to think at what percent, loans for MC's and powersports in general are notoriously high) and you used all of that $5,000 to buy your motorcycle. When you get your first statement you'll see that the pay-off amount is more than $5,000 (it's called interest, it's how banks make money) so here's the good news, that TW is actually going to cost you MORE than $5,000. BTW that interest rate is generally negotiable before the sale, not after.



Good luck! I hope you learn from this before getting a more serious loan (like for a car or a house). We've all made mistakes, I've learned from some of mine, hopefully you'll learn from yours as well.



Kevin
 

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i don't know if you could but might get close to what you paid parting it out you can't sell the frame till you have the title in hand with the lone paid off look into what each part cost discount it a bit and total it up see where that brings you
 

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Discussion Starter #18
Honestly, everyone here on the forums is right. I'm young, im 20 years old and the only thing I see on bikes is speed. I'm actually going to master this bike. I feel so bad for looking down on it and I promise I won't anymore. Id hate to ride a bike that I don't like and I feel my bike won't like me back so I'm going to respect it from this day on.



I'm going to ride it, build my credit in the meantime, master it so I can have a lot mor doors open in the 600 range. The only reason why I'm like this is because 3 months ago I got a 2004 cbr 600 so it was difficult for me to downgrade. I sold it because I had too many speeding tickets because of it.



I just feel so shitty right now. The tw200 is my baby and Im looking down on it. I promise tis won't happen again until I pay it off





I got it from del amo motorsports btw
 

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I was 19 when I got my first vehicle and made a very poor decision because was over anxious. Learn from it and do your home work next time and really best to just buy used from Craigs list unless you have to have new. Like others have pointed out, ride the tw and enjoy it. Great bike for improving your trail/low speed skills. I was riding mine in the local creek yesterday thru sand and gravel, man that's tough! After you pay it off, you may decide that you like it and maybe get that other bike for the street.
 

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You sold the CBR because you got too many tickets. How is an R6 going to help exactly.



Warning rant follows.



You got too many tickets cause you were immature, rode like a jackjass on the street and got caught. I lived in So Cal for over ten years, I can't even count how many 20 somethings I've seen get hauled off Ortega or Palomar in a meat wagon. Some of them heal up, some end up eating through a straw for the rest of their lives and many end up in a box.



Ride the TW, obey the speed limit and live to be thirty. It might not be as cool as the R6 but that's better than being dead.



Rant over
 
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