Two-wheelers like bikes and scooters are significant commuting mediums in people’s day-to-day life, helping them catch up in this fast-tracked world. These compact vehicles ease the daily requirement of moving from one place to another without guzzling too much fuel. Moreover, they have better resale value, are convenient to operate, and have low maintenance costs. Their increasing popularity in India has made the two-wheeler market one of the biggest in the world. However, when it comes to actually purchasing a bike or scooter, prospective buyers often make compromises to save extra cash by reducing their regular expenses. But not this time, as a bike loan from a reputable financial institution can fund as much as 95% of its cost without burdening the buyer’s monthly budget.
Bike finance can help consumers get their dream bike effortlessly without compromising on the looks, features, or anything else. With a two-wheeler loan, customers can receive up to 95% of the bike cost through a finance provider. Let’s look at the benefits of a loan that can enhance the buying experience and make lives easier.
1. Easy on the Pocket
Buying a two-wheeler is undoubtedly a substantial investment that demands a sizeable amount of savings. However, a loan allows borrowers to bypass paying for the purchase in one go. Even if they have the required amount in their savings, spending it in a lump sum will be imprudent. Therefore, borrowing low-interest bike finance allows one to pay for their desired model in bite-sized EMIs, protecting their financial reserves for emergencies. Additionally, two-wheeler loans allow borrowers to pick their convenient repayment tenures of up to 48 months, protecting them from overburdening their monthly expenses.
2. Affordable Interest Rates
With the increasing number of commuters wishing to travel safely, efficiently, and quickly, the demand for bikes has increased significantly. Owing to that, the bike finance interest rates have faced a downward slope over the last few years. An affordable two wheeler loan interest rate that many NBFCs offer makes bike loans more affordable for borrowers. With low-interest rates, borrowers don’t need to worry about piling up interest payments when they decide to fund their dream bike. Additionally, those with a good credit score and consistent repayment history get discounted loan interest rates. That means prospective buyers can buy their desired bike without compromising their financial obligations.
Several NBFCs offer feasible interest rates on bike loans, making a two-wheeler purchase more affordable for most customers. The interest rates may vary between loan providers depending on the applicant’s income range, employment, bike specifications, etc. Those wishing to purchase a bike will find this an ideal time to borrow a two-wheeler loan and protect themselves from financial burdens.
3. Streamlined Application Process
Gone are the days when aspiring borrowers had to wait weeks to get their loans approved. With technological advancements in loan application and approval procedures over the last few years, a two-wheeler loan sanction can come almost instantly. Moreover, the repayment period varies from 12 to 48 months, making it easier for borrowers to repay their loans in affordable EMIs. For the first time, NBFCs have started offering an LTV ratio of up to 95%, allowing borrowers to buy their dream bike. If they feel the need for extended loan tenure, they can choose a term of up to 48 months and follow the NBFC’s flexible and quick procedure to get loan approval.
When it comes to documentation, gathering the documents is quite a hassle. However, aspiring borrowers don’t need to worry about the documentation process with an online bike loan. Many advanced NBFCs allow prospective buyers to apply for bike loan online with the convenient clause of zero documentation. Additionally, since these loans have an easy-to-meet checklist of eligibility criteria, they offer easy and quick approvals within minutes. Whether the applicant is a salaried or a self-employed individual, they can apply for a loan online while bypassing the need to visit branch offices and submit hefty paperwork.
4. Zero Compromises
An individual’s budget plays a significant role in determining which bike they eventually purchase. Simply put, their budgetary parameters largely circumscribe their choices in the two-wheeler showroom. Many prospective buyers often compromise on their preferences merely because they don’t have sufficient funds to purchase a bike with the best specifications. However, if they borrow a bike loan, they enjoy complete independence from these financial constraints. With several lending institutions offering up to 95% financing options, borrowers can forego the burden of financial management for their dream bike.
5. Takes Off the Financial Burden
When an individual borrows a two-wheeler loan, they benefit by preventing the financial dilemma they face at a time. It helps repay the loan at a reasonable two-wheeler loan interest rate, making the EMI payments easier on the pockets. So, if an individual buys an expensive bike beyond their budget, they can pay it off in 48 months in easy EMIs.
6. Helps Build the Credit Score
Most loans require a good credit score for qualification. It is the summary of an individual’s credit history based on their repayment timeline, credit length, diversity in portfolio, etc. Notably, a bike loan can help improve the borrower’s credit score. Once a borrower takes a bike loan, they should pay the EMIs on time to build their credit scores and improve their eligibility for future loans.
A bike loan can be a great funding choice for those who have decided to buy a two-wheeler of their choice without compromise. Many reputable NBFCs cover 95% of the bike purchase, leaving only 5% as a down payment, which is pretty low for purchasing a two-wheeler. Besides, these NBFCs have nominal interest rates and flexible repayment terms, making the purchase easily affordable. All these benefits of bike loans have pushed up the sales figures in India, making the two-wheeler segment a fast-growing one in the country.
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