Re: Honda Unicorn - Change of Engine

Query Approved

Unicorn is a proven motorcycle, I'd suggest you do the engine overhaul since the list you've tabulated literally equates to a new engine, so that should do the trick for more than 40k. If you change the clutch plates along, it's almost 50% of the engine work done, and it's good to set the bike rolling for another 40 to 50k subject to the usage type.

Cheers!
VJ

Re: Honda Unicorn - Change of Engine

Was the problem identified by you or by them?

Get a second opinion from a local service center. There may be a minor problem to solve. Option two is better when done from outside the SVC (it would be 30% cheaper).

Re: Honda Unicorn - Change of Engine

My 2006 Unicorn is 61000 kms old and I am also having the same problem and I am in the same Dilemma.
My list is same as yours + New Carburetor slide@600( I made a bigger hole for better acceleration) + Rear shock absorber + Misc
Spend 20k and the it will last another 40000km for sure.


Scenario - You are the greediest person I've ever met.
Considering

Sell the bike = 25000 (since it needs complete overhaul)
New bike = 85000
Money spent = 60000


Repair the bike = 20000
Money spent = 20000

Repaired bike lasts 3~4 years for sure(since it is unicorn)

Money saved if repaired = 40000

After 4 years.

Interest for 40000 @ rs.1 = 4800/annum * 4 years = 19200 Nobody is giving their money @ rs.1 these days. rs.2 is the new current lowest interest rate.
Interest for 40000 @ rs.2 = 9600/annum * 4 years = 38400
Money earned after 4 years = 40000(principle)+38400(interest) = 78400

Sell the old bike after 4 years = 13000 Now you will be left with 13000+78400=90400 or 80000 if you spend money on new tires etc
Sell the new bike after 4 years =40000 You will be left with 40000 only.

The problem I am facing in buying a new bike.
WHAAAAT BIKE?
I am accustomed to the smoothness of my earlier Hero Honda Ambition and my current Honda Unicorn.
The money I spent on Unicorn excluding Engine Oil and Full DC conversion is not more than 10000(clutch plates, chain sprockets, spark plugs, 4500 for michelin tyres). So Unicorn is highly reliable.
Which bike offers the above features?

Re: Honda Unicorn - Change of Engine

[MENTION=26152]sandeepcf[/MENTION] - From where will you get 38K from 40K investment after 4 year of investment? Please give me this investment option!!

You would get 17K after 4 year of investment on compound interest calculated at 9% p. a. Try this link - FD - Fixed Deposit Compound Interest Calculator

There is no point selling a usable bike of 65K value for 25K! Just because there is a repair cost involved.

Re: Honda Unicorn - Change of Engine

This is not investment option. This is called money lending and interest is calculated like this. I give you 1,00,000 as loan @ Rs.2 interest. That means you have to pay me Rs.2000 per month until you repay the loan. so after 1 year if you repay, you have to pay 12*2000=24,000+1,00,000.

Example: You want to do cotton trading. You purchase cotton from farmers and sell it to CCI on a large scale say Rs.50 Lakh. You can't have liquid cash like 50 lac as investment. So you borrow money from lenders @Re2 and do your business and repay the loan.

Example: You are a film producer, that doesn't mean all the investment in the film will be your own money, you borrow from financiers and invest in film. Financiers lend you money at some interest.

9% per annum translates to less than Re.1 in my said process. Banks take your money and lends it to business people at very high rates and makes profit out of your money. They give you 9% interest for your money but charge you 12% if they give you their money for personal loans, auto loans, house loans etc.+ documentation charges+preclosure charges and what not.

Re: Honda Unicorn - Change of Engine

The options of lending you have selected is non-standard. For cars/house/two-wheelers the loan interest is different than money lending. You mortgage the property you are buying till the time you clear the loan. The others you have mentioned is pure money lending without any mortgaging of the transacted property.

If one saves 40K rupees the best option he would look for investment is standard bonds/stocks/banks/gold and right now they are giving a rough increment of around 10% and not more than that.