The procedures of applying for a bike loan in India have become so simplistic and convenient these days. Borrowing fund for purchasing your dream bike through loan products is now as easy as uttering ABC. Gone are those days when the loan application process was offline only. Thanks to online blessings, the loan application process with less paperwork has become easy. However, there are still few hurdles you can face while appealing for the two-wheeler loan, which may cause unwanted inconveniences and delays to get your loan approved.
And, of course, there are always some significant factors that you should follow and will pay off quite well if you prepare well. So, here we have jotted down our roundup of all expected do’s and don’ts for applying for a bike loan to receive the best deal from your lender.
Before further discussion, let us understand what a bike or two-wheeler loan is and how it can benefit you.
What is a bike or two-wheeler loan?
A two-wheeler loan is a financial product offered by different financial institutions, digital lenders, and banks in India with affordable interest rates and convenient EMIs. Through this credit, you can purchase your favoured motorbike without drilling into your savings. You can receive instant money by appealing for a two-wheeler loan and repay the entire primary amount with a reasonable interest rate within your designed tenure.
Advantages of getting a bike loan?
You wish to purchase your dream bike that you have always wanted to ride on as your own, right? Appealing for credit to acquire the motorbike can perpetually serve you in several aspects., including:
- You can obtain funds for superbikes.
- This loan scheme allows you to repay the principal amount in affordable EMIs.
- You can enjoy a comprehensive spectrum of repayment tenure periods.
- You can avail of instant cash to purchase the bike.
- It gives you an opportunity to pay EMI each month and build healthy credit history.
- You can apply for this loan with a co-applicant or guarantor to get the money.
- Get pocket-friendly interest rates.
Do’s:
- You should always inquire in the market to get the best deal and protect yourself from getting tricked by any lender. In this case, you can compare the bike loan interest rates from several financial lenders, banks, or NBFCs and settle for the one that matches your demand.
- However, make sure you read the application thoroughly and tick all the boxes required to match the eligibility criteria for the loan.
- If possible, get a co-applicant to avail of the two-wheeler loan if you have a low credit score or fall outside the eligibility mark. However, remember, the co-applicant will be equally responsible for the loan. Therefore, select your co-applicant wisely.
- Fill the bike loan application form correctly with relevant information, and do not miss out on any mandatory field. Otherwise, any misinformation or errors in the application form can cost you your time and generate undesirable hassle. So, it is best to consider help from your lender institution’s agent to complete the application process smoothly.
- Loan terms generally determine the monthly EMI value. Hence, you should always choose the loan terms carefully since you will definitely want to settle for cost-effective tenure and interest rates that will not burden your pocket. Besides, consider checking through the EMI Calculator to understand your loan better.
- Lastly, pick a financing institution that offers amenable monthly EMI options to make your repayment schedule flexible to harmonize your monthly cash flow. Also, short out an easy financial plan with moderate tenure terms and down payment.
Don’ts:
- Carefully read the documents before you sign them. It makes sense to clearly understand what whole papers explain as the precise print records are vital for monthly EMIs, interest rates, tenure period, hidden charges, etc. Besides, communicate with your finance provider before you close the deal.
- Prevent yourself from default or delay EMI payments. And keep yourself disciplined about due payments as these can influence your creditworthiness plus may terminate your future loan approval if not settled in a timely manner.
- Besides, avoid applying with different bankers simultaneously as bank organisations generally enquire several times as they speculate extensive credit risk. In that case, you probably accidentally spoil your possibilities of approval.
- And, most importantly, only borrow the sum you can effortlessly repay to the lending institution. You can eventually use an EMI calculator to ascertain the exact values and evaluate the undivided credit score. This way, you can protect yourself from receiving pocket strains.
Conclusion:
If you follow the do’s and don’ts mentioned above, it will reduce the maximum of your hurdles, and you can comfortably obtain the bike loan with the highest benefits. Also, you will get instant loans at a competitive and flexible interest rate.