Simple Steps To Apply For Two Wheeler Loan

To own a two-wheeled vehicle is a common aspiration among many people. This may be due to the pitiful condition of Indian roads that has prompted its pervasive use or the ease of movement possible due to its shape and structure. Two-wheeler vehicles come in a varied range of prices depending on the kind of vehicle, brand image and the functionality offered.

Taking a Two Wheeler Loan

You may choose to save enough money to buy your choice of two-wheeled vehicle and pay for it in cash. Alternatively, you may apply for a loan that finances your bike or scooter up to 85 per cent, thus, leaving you to pay for only the remaining 15 per cent of the vehicle’s price. There are many lenders offering two wheeler loans at competitive interest rates. Easy bike financing is possible as lending institutions offer loans between 9.65 and 27.53 per cent. Moreover, some financial institutions are eager to increase their customer base agree to finance vehicles up to 90-95 per cent. This allows many of us to pay for the vehicle in full during purchase. The loan taken can then be repaid in equated monthly instalments (EMIs) over your choice of the loan tenure.

More than the loan amount that you wish to borrow, there are other factors also that you must consider. These include interest rates, added benefits, extra charges, loan repayment period, etc. Securing two wheeler loans from your choice of lender becomes easier if you follow certain simple steps. These include:

• Apply For What You Need: Low-interest rates must not provoke you to take a loan amount larger than what you can repay. Know your budget and the loan scheme details before submitting your loan application. Seek information about loan repayment terms and conditions. Taking in a huge loan amount raises the risk of default. Defaulting in repayment of two wheeler loans sought can, in turn, have a dampening effect on your credit score.

 

• Fill The Loan Application Form Correctly: Be it online or offline, filling in the loan application form with the correct details is necessary. Jargons used in application forms to avail bike finance can be confusing. Instead of blindly signing the form, ask the lender. Also, ensure that you submit correct details like name, age, address, employment status so that your loan application status does not get rejected.

 

• Submit The Right Documents: “Know Your Customer (KYC)” is a standard procedure followed by all financial institutions. Intended borrowers need to submit the correct identity and residence proof documents. Refrain from attaching the wrong documents in a bid to deceive or unconsciously attaching incorrect documents corresponding to details required by the lender to increase the scope of hassle-free loan processing.

 

• Understand Lender’s Terms And Conditions: Not all borrowers may be adept in understanding terms synonymous with loans and other aspects of personal finance. Many people seek bike finance from lenders without understanding the nuances of loan and its repayment. It is important to understand the lender’s terms and conditions regarding the loan repayment schedules, loan tenures, extra charges and additional benefits before signing the dotted line on the loan agreement.