Trying to buy a two-wheeler to commute to work? Saw your favorite bike model within the showroom but too highly priced to own it? Well, the excellent news is that you would be able to now make all of your dreams come true by getting a simple loan on buying two-wheelers and bikes. Read more to know best solution to finance a motorcycle or two-wheeler in India.
With traffic increasing on the road by the day, a two-wheeler is by far the most effective mode of transportation in cities. It’s your go-to vehicle for all types of commutation, short or long-distance. And when you wish to flaunt slightly bit of fashion as well, while having fun with convenience, there’s all the time the great ol’ motorbike – stylish and handy – again for any measure of distance. There’s just one little problem here. Bikes and other two-wheelers don’t all the time are available in that low-cost. While you want one real bad, what to do then? We are going to inform you all about solution to finance a motorcycle or two-wheeler on this blog.
Best Technique to Finance a Bike or Two-Wheeler in India
So that you’ve been wanting a two-wheeler or your favorite model of motorcycle for a while now however it seems too heavy on the pocket to afford. Well, you don’t must delay or quit on the concept of shopping for one since you now have a straightforward, hassle-free way of paying in your dream two-wheeler.
Getting a motorcycle loan is one of the crucial convenient ways today of financing the vehicle. Further, with a lot of banks and other financial institutions offering easily repayable bike loans to their customers today, this dream only seems achievable very quickly.
There are two ideal ways wherein you may finance your bike living in India:
- Applying to a reputed bank for a two-wheeler loan
- Securing a loan from a Non-Banking Financial Company (NFBC)
These two organizations offer loans to customers fairly easily and are subsequently the most effective go-to options for finance. Furthermore, all two-wheelers in India are sold on on-road price, which the banks and NFBCs finance for. Which means that the customer can easily purchase the vehicle on zero down-payment!
7 Features of a Two-Wheeler Loan in India
A motorbike loan comes with the next features, that are good to know before applying for one:
- The registration charges for the two-wheeler are included within the bike loan, which suggests no extra payment for the customer. Besides, the quantity to be paid for the bike insurance policy (mandated to be purchased on the time of shopping for the 2 wheeler) can be inclusive within the loan. This could be very helpful to the bike owner because they don’t must pay individually for any of those amounts; it’s all covered within the EMI for the loan.
- The rates of interest applicable on bike loans generally vary between 9% and 26%, depending on the credit rating of the borrower, their age, source of income, sort of employment, relationship with the bank, and the like.
- A loan taken from a bank or financial institution for financing a two-wheeler is a secured loan since the two-wheeler or bike is the collateral security against the loan.
- The whole duration for a two-wheeler loan is usually as much as 4 years, sometimes extending even as much as 5 years. The borrower is allowed the pliability to decide on a loan tenure based on their repayment ability.
- In case you have already got an account opened in a bank, you may easily apply for a loan in the identical bank since it would like giving loans to existing customers. Besides, the loan money shall be immediately transferred to your account and might be easily accessed.
- Most bike or two-wheeler showrooms have tie-ups with banks and other financial institutions so you may actually apply for a motorcycle loan right on the time of shopping for the bike on the showroom.
- There’s minimal documentation involved in applying for a motorcycle loan, which makes the entire process easy and hassle-free for the applicant.
Documents Required to Finance a Bike or Two-Wheeler in India
As stated above, the documentation involved in a motorcycle loan application is kind of minimal. All that the applicant is anticipated to supply on the time of applying for the loan includes:
- Identity proof by the use of providing copies of passport, driving license, voter’s ID, or PAN card
- Proof of income by providing copies of the most recent salary slip, bank statement, or IT return filed. In case the applicant is self-employed, they would wish to supply audited financial statements as well.
- Proof of residence by the use of providing copies of passport, utility bills, or the rest that mentions your complete residential address.
6 Advantages of Applying for a Two-Wheeler Loan
We do understand now that so as to easily finance a first-hand two-wheeler of your selection, applying for a loan is a reasonably convenient selection. Nonetheless, the word ‘loan’ could make an individual feel uncomfortable at times. Let’s discuss a few of the advantages of availing a motorcycle loan which may actually do more good to you than you’d imagine:
- Most bike and two-wheeler loans can now be availed at easily inexpensive rates of interest. This makes them attractive to prospective bike buyers.
- By securing a loan, you may easily buy the two-wheeler or bike model of your selection with out a worry. There’s no need for any compromise to purchase the vehicle of your dreams.
- If you wish to get slightly more adventurous, you may even consider buying superbikes through easy bike loan options.
- The loan also provides for straightforward repayment by the use of EMIs (Equated Monthly Installments). These EMIs are available in easily inexpensive amounts which the borrower will pay at their very own convenience without imposing a financial burden on themselves.
- Timely payment of EMIs helps you construct credit rating which in turn can allow you to secure the following loan easily in future.
- Most two-wheeler loans provide flexibility with regard to repayment periods. The borrower can select the duration as per their convenience.
Motorized vehicles are a necessity in today’s busy life; nevertheless, they do seem difficult to afford at times, considering the skyrocketing prices of some bikes and two-wheelers. Now, to purchase the bike or two-wheeler of your selection, you’d never must strike a compromise and settle in for the lower-priced model. With so many advantages on offer, securing a motorcycle loan is literally child’s play, allowing you to enjoy your dream ride in your dream bike with out a worry in your mind.