In today’s day and age, we lead fast-paced lives that are only slowed down by the constant traffic jams that riddle our cities. The best way to cut through these snags is a two wheeler that will help you save time and money during your daily commutes.
With a number of stylish and efficient models being launched regularly, this is the best time to purchase your favourite bike or scooter. However, spending your savings on a single purchase can put considerable strain on your finances. This is where a two-wheeler loan comes to your rescue. With easy application processes and flexible terms, a two wheeler loan does more than just pay for your vehicle.
Here is how taking a two-wheeler loan makes your life easy.
Reduces Financial Burden
A bike loan greatly reduces your financial burden as it does not require you to pay a huge sum upfront. You just need to pay a nominal down payment and rest is paid back through extremely affordable EMIs. Paying smaller amounts each month will also help you manage other expenses like monthly utility bills in a better manner.
Nowadays, many financial institutions offer zero down payment bike loan, which makes purchasing a new two-wheeler relatively easy.
When it comes to the approval of loan applications, you should know that two-wheeler loans have the fastest approval rate in India. Usually, lenders tend to approve loan applications within a day or so. In some cases loan approval can happen within a few hours, provided you meet all the eligibility criteria.
Further, many financial institutions like Hero FinCorp support online approval for two wheeler loans, making it effortless to get a loan.
Eligibility across Income Groups
One of the biggest advantages of a two-wheeler loan is that it is available across all income groups, whether you have just started working or are an established professional. Since, the loan amount ranges between Rs 50,000-80,000, a person earning around Rs 1 lakh annually can also get the loan without much difficulty.
The loan duration ranges from 12 to 48 months, which provides easy and affordable EMI’s, without affecting your finances.
Improves Credit Score
A two wheeler loan is a great way to improve your credit score. With manageable EMIs and a long repayment duration, these loans are easy to repay and help you build good credit history. A good credit score is extremely important when it comes to taking larger loans like home loans and personal loans in the future.
Competitive Interest Rates
Most of the financial institutions offer two-wheeler loans at competitive interest rates. Along with the lender you pick, the interest rate on the loan also depends on your income range, employment status and the model of the bike. If your chosen lender considers you a low-risk applicant, you can get a loan at an attractive rate.
You can even calculate an estimated EMI using two-wheeler loan EMI calculator available on lender websites that can help you decide the loan tenure.
Provides More Choices
Taking a two-wheeler loan offers flexibility and provides more choice to buyers. For example, when you are self-financing, you are constrained by a set budget and you have to purchase a model that falls within a given range. A bike loan helps you buy the bike of your choice and also go for the model with higher specifications.
Add-on benefits include:
Can select the loan tenure as per your repayment capability
The loans are approved following the Indian Motor Act, therefore it includes comprehensive two-wheeler insurance and accidental coverage
With changing times, owning a two-wheeler is not a luxury anymore, but has become a necessity in order to lead a less stressful life. With a growing demand for two wheelers, financial institutions are offering loans on flexible terms that are catering to potential buyers. With a number of benefits, this loan can help you purchase your favourite bike without putting undue stress on your finances.