Two-wheelers are incredibly convenient and compact for busy Indian streets. And, thanks to the several models and brands available to choose from, no one struggles to find the best one for themselves.
While most two-wheeler models are not overly expensive, the one that you end up loving might not always be affordable. If you drain your savings buying a pricey two-wheeler, you might not have ample funds left for emergencies. Therefore, if you want to purchase your favourite bike or scooter without burning a hole in your pocket, seek a two-wheeler loan.
Two-wheeler loans allow you to pay affordable bike EMIs instead of the entire cost at once. Since setting aside a small portion of your savings to pay for your bike is far easier than gathering a vast sum of money to buy it at once, 2-wheeler loans are the best way to finance your bike purchase.
Are You Eligible for a Bike Loan?
Getting a bike loan is very easy, provided that you have some prior knowledge about the borrowing process. You can apply for a bike loan at a bank or a non-banking financial corporation. Regardless of which bike loan you apply for, you will need to fulfil some eligibility requirements. Here is a detailed look at the primary eligibility criteria that most lenders impose upon bike loan borrowers.
- The minimum age of the applicant or borrower should not be less than 21 years on the date of application. Similarly, at the time of bike loan maturity, the borrower cannot be more than 65 years old for some lenders, and 60 years old for others.
- The person taking the loan should have resided in one city for at least a year.
- Several lenders also demand employment stability, i.e., the applicant should either be self-employed or salaried for at least a year before applying for the loan.
- A few lenders require applicants to have a minimum salary or annual revenue. However, most lenders waive off this criterion and offer bike loans without any minimum salary limit.
- Applicants might sometimes also be required to possess a post-paid mobile connection or a landline at their home or office.
Documents Required for a Two-Wheeler Loan
Here are the primary documents that people who apply for a bike loan must have handy before they approach a lender.
- Proof of identification for the applicant.
- Proof of residence in the form of Passport, ration card, electricity bill etc.
- Passport-sized photographs in colour to attach with the application form.
- Income Tax related documents when required.
- Salary slips of the last three months, Form 16, or bank account statements for the past few months.
- A duly filled application form for the bike loan.
- Any other documents as requested by the lender of your choice.
Before you submit your loan application to the lender, always confirm if you have attached every single document required for bike loan. The inability to provide correct documentation might result in rejection of your two-wheeler loan. If your lender offers a feature to apply online on their website, use it to reduce the complexity of paperwork. Online bike loans are hassle-free and have the same features as an offline one would.
Some lenders offer zero down payment bike loans, while others offer flexible repayment tenure. Compare all your options wisely before finalising a lender. Once you have shortlisted a lender and applied for the loan, do efficient financial planning to pay your bike EMI on time. With a simple and affordable two-wheeler loan, ride the bike of your dreams wherever you want!