How to Select the Best Two-Wheeler Loan
Almost all banks and Non-Banking Financial Companies (NBFCs) offer two-wheeler loans. Bike loans are offered at attractive interest rates and may come with a repayment tenure of up to 5 years.
Most banks provide the option to avail a two-wheeler loan online and minimal documents will need to be submitted. Since many banks and NBFCs offer bike loans, various factors must be considered before opting for one. Some of the factors that must be considered when opting for a two-wheeler loan are mentioned below:
- Special Offers: During the festive season, most NBFCs and banks may provide offers on two-wheeler loans, where the rate of interest and processing fee may be reduced. You can opt for a loan during this period as the Equated Monthly Instalments (EMIs) will reduce.
- Compare: It is important that you compare the bike loan options offered by several lenders before opting for one. Comparing two-wheeler loan options can help in opting for one that will best suit your requirements.
- Loan Process: Unlike before, the loan process nowadays is simple and the funds are provided quickly. Certain banks provide the option to check the eligibility criteria online. The application can be submitted online and the status of the application is provided within minutes.
If are provided a pre-approved loan, the funds will be transferred to the bank account within seconds. Minimal documents will need to be submitted as well.
- EMI: The amount that is paid every month is an important factor that must be considered. The EMI that must be paid will depend on the tenure, loan amount, interest rate, and the down payment that has been made. In case the rate of interest and loan amount cannot be changed, the tenure can be altered to opt for the right EMI.
- Loan Amount: Depending on the eligibility and the bike’s price, the loan amount will be determined. Certain banks provide 100% of the bike’s value as a loan. Under such circumstances, no down payment will need to be made.
- Eligibility: The eligibility criteria that must be met to avail a two-wheeler loan will vary from bank to bank. You must ensure that the eligibility criteria are met before you apply for the loan. Many lenders provide the option to check the eligibility criteria online.
It is vital that you check the terms and conditions before signing the loan agreement. Your credit score plays an important role when you apply for a two-wheeler loan. Lower interest rates are offered to individuals who have a good credit score.
Also Check: Why Buy a New Two-Wheeler with a Personal Loan?
FAQs on Selecting the Best Two-Wheeler Loan
- Is there any way to choose the best two-wheeler loan?
You can compare two-wheeler loans offered by several banks and NBFCs before opting for one.
- Do banks and NBFCs provide the option to apply for a two-wheeler loan online?
Yes, certain banks and NBFCs provide the option to apply for a two-wheeler loan online.
- Will banks and NBFCs offer lower interest rates in case my CIBIL score is high?
Yes, banks and NBFCs will offer lower interest rates in case your CIBIL score is high.
- Do banks offer pre-approved two-wheeler loans?
Yes, certain banks may offer a pre-approved two-wheeler loan.
- Will the processing fee be reduced during the festive season?
Yes, certain lenders may reduce the processing fee during the festive season.
- Do banks offer 100% of the on-road price of the bike as a loan?
Yes, certain banks may offer 100% of the on-road price of the bike as a loan.
- Do I have to make a down payment to avail a loan to purchase a bike?
Yes, a down payment may have to be made to avail a two-wheeler loan to purchase a bike.
- Will the eligibility criteria to avail a two-wheeler loan vary from bank-to-bank?
Yes, will the eligibility criteria to avail a two-wheeler loan will vary from bank-to-bank.
- Will the interest rate of a two-wheeler loan vary from bank-to-bank?
Yes, the interest rate of a two-wheeler loan will vary from bank-to-bank.
- What is the maximum repayment tenure of a two-wheeler loan?
Certain banks offer a repayment tenure of seven years on a two-wheeler loan.
Disclaimer
Credit Card:
Credit Score:
Personal Loan:
Home Loan:
Fixed Deposit:
Copyright © 2025 BankBazaar.com.