If you are trying to help your father buy a bike, you can apply for a two-wheeler loan. Buying a bike in one shot can be very expensive and can take a toll on your pocket. If you have other financial commitments for the month, then a two-wheeler loan would be advisable as you can repay the loan in monthly instalments and this goes easy on your pocket. Also, a two-wheeler loan amount is generally inclusive of the cost for registration of the vehicle and insurance cover for the same. So, this is very beneficial to the customer and can be very helpful to them.
Most banks and NBFCs finance up to 100% of the bike’s on-road price.
Interest rates are comparatively low as a two-wheeler loan is a form of secured loan. The interest rates begin at just 9% and can go up to 26% based on the credit profile of the individual and other factors.
The tenures for a two-wheeler loan are usually up to 4 years only. Some banks or NBFCs offer 5 years for a two-wheeler loan, but it is not very common.
ID proof, address proof and income proof are required to apply for a two-wheeler loan and can be shown through the following documents:
1 Aadhar card (ID proof/Address proof)
2 Driving licence (ID proof/Address proof)
3 Passport (ID proof/Address proof)
4 Passport size photograph
5 Last 6 months’ bank statement
6 Pay slips (Income proof)
7 PAN card
8 Form 16 (For self-employed individuals)
9 Income Tax Returns (For self-employed individuals)
These documents may vary slightly from lender to lender, so it is best to check the documents needed with the bank you are borrowing the two-wheeler loan from.
To apply for a two-wheeler loan, click here.