Are you tired of dealing with the hassles of public transportation? One can now buy a two-wheeler of choice and live the dream of freedom. Riding two-wheelers is convenient for daily commutes or leisure. It can beat traffic and help to save money as compared to four-wheelers.
While owning a two-wheeler is a convenient way to commute, everyone may not have the required finances ready to make an outright purchase. In such cases, most customers find a two wheeler vehicle loan handy with a range of benefits. Read on to discover the benefits of a two-wheeler loan.
10 Benefits of a Two-wheeler Loan
Applying for a two-wheeler loan is quick and straightforward and allows customers to avail of the loan smoothly with the following benefits –
1. Easy Eligibility
Depending on the lender these requirements may vary a bit. However, two-wheeler loans have easy requirements to cover almost all income groups. A few common conditions to be fulfilled are as follows:
- For salaried individuals, the minimum net income should be Rs.96000 in a financial year and for a self-employed person, the annual net profit should be Rs. 1,20,000.
- The age limit should be between 18-65 years.
2. Fast Approval
Customers can apply for a two-wheeler loan online and all two-wheeler showrooms have tie-ups with various lenders for quick purchases. This speeds up the loan approval and further processing. While some lenders may offer quick approval, others may take a bit to process the application. Therefore, customers should check with the lender beforehand about their loan approval timeline.
Two-wheeler loans can be secured against a low interest rate of 0.99% per month with certain providers. The two-wheeler loan interest rates depend on several factors, including the borrower’s income, credit score, gender, current debts and choice of the two-wheeler to buy. Lenders assess the borrower’s creditworthiness, income stability, and debt-to-income ratio while scrutinising the loan application.
4. 100% Finance
Customers can get 100% financing against a two-wheeler vehicle loan for specific models. Depending on the lender’s terms and conditions, and the borrower’s creditworthiness, the loan amount can go up to 3 lakhs. Customers should note that not all lenders may offer 100% financing to meet a two-wheeler cost. Approach renowned lending institutions and non-banking financial companies (NBFCs).
5. Flexible Repayment Tenure
Generally, a two-wheeler loan is offered with a flexible repayment tenure. It can be between 12-48 months for easy instalments. Customers can opt for a loan with a long repayment tenure. However, a long-term loan results in an overall high interest cost. Using a two-wheeler loan EMI calculator, customers can decide on a loan with easy EMIs (Equated Monthly Income). It helps customers to know EMI during different tenures and choose a suitable loan tenure.
6. Buy a Two-wheeler of your Choice
A two-wheeler loan can cover numerous models of two-wheelers from different manufacturers. Whether consumers want a daily commuter, a cruiser, a sports bike, or an electric bike, as per their personal preferences and requirements, a two-wheeler loan can help them to pay for their price.
7. No Hidden Charges
Customers can apply for a two-wheeler loan that does not levy hidden charges on loan processing. Reputed lenders offer a zero down payment option without hidden charges. There will be late payment fees of 2% per month, cheque bounce charges of Rs.500 per bounce and stamp duty as per state. No other hidden charges will be imposed.
8. Low Processing Fee
Customers can get a two-wheeler with zero processing fee. Depending on the loan term, the loan processing fees can be 0-4% plus applicable taxes. Customers should note that two-wheeler loan EMI calculators do not take into account the processing fee while calculating the EMI.
9. Build a Credit History
A two-wheeler loan can be availed of against easy eligibility criteria. Therefore, it is easy to secure and also pay back a two-wheeler loan. It helps to build a credit history to access more credit options in future.
10. Save Your Personal Finances
A two-wheeler loan allows customers to bring home the bike or scooter without dipping into their savings. They can keep their funds safe with them for an uncertain time. Secure a two-wheeler vehicle loan and repay in easy instalments during the chosen tenure.
Buying your own two-wheeler has never been easier. Apply online with minimal documents for an affordable two-wheeler loan. Ensure to utilise a two-wheeler loan EMI calculator to make an informed decision. Take the first step and secure the required funds considering affordability and make life easy.