The Indian roads are congested
and have potholes of all shapes and sizes. You require plenty of skill to reach
from point A to point B. One of the ways to counterattack the challenges is by
purchasing a two-wheeler. It is a non-expensive affair. However, more than 50
per cent of India’s population hails from towns and villages, where buying a
bike is not an easy task. A regular bike costs around INR 50,000. This can
disrupt their regular day-to-day expenses
This is where a two-wheeler loan
enters the action. It is not only for funding your dream bike but also for
those who do not wish to pay the entire amount in one go owing to a financial
burden
What is a two-wheeler
loan?
It is a smart way to purchase
your dream vehicle. You can repay the bike loan amount at affordable
EMIs. Paying the EMIs is pocket-friendly under than paying off a substantial
amount in one go. This way, you can save more in your account for short-term
investments.
Follow these tips before
applying for two-wheeler finance:
Eligibility: The bike loan eligibility conditions are different
for different lenders. For example, the minimum application age is 21 years,
while you can get a driving license at the age of 18. There is a two-wheeler
eligibility calculator that helps you decide the loan amount you can avail of. The
factors usually include your age, income, employment, type of motorcycle, and
so forth. Once you have figured your amount, you can decide on the other
elements of the credit.
The interest rates
and tenure: Once you found
your two-wheeler loan eligibility, you need to decide upon the mandate, interest
rates, and amount you can afford. Like the eligibility calculator, you have the
EMI calculator. You need to input elements like interest rates and tenure to
decide your EMI. You get to choose the EMI that you are liable to pay. Some
lenders also offer the amortisation table, which lets the customers see how the
lenders use their funds and how much money do they need to pay towards interest
rates as well as the principal amount.
EMI options: You can choose an EMI option that is most suitable to
your financial profile. If you are employed individual and expecting an
incentive, promotion, or bonus soon, you could go for Flexi EMIs. Here you pay
lower EMI in the initial stages and later the EMI increase. This is the phase
when the income gets high. These options are available across lenders.
Documentation
process: In any loan application,
documents are essential. It proves your credentials, such as ID, address, employment,
business, income, and creditworthiness. Before you apply for the two-wheeler
loan, make sure to collect the documents and submit them with the form. There
are two kinds of loan application – online and offline. The latter requires you
to visit the branch while the former can be done with the click of the mouse. The
approval gets done almost immediately if all the documents are in place.
