There is no one who can compare the thrill and satisfaction in buying a new bike. Buying a bike can be perhaps one of the most sizable financial decisions one has to make in their lifetime, not to mention for daily commute, weekend tours, or it is just because of passion. Nevertheless, thanks to the two wheeler loans, now this dream bike has become rather within everyone’s reach. By stretching your budget over two to three or even four months, you have spread the price of the motorcycle so that the pain is lighter and less bitter on your money savings.
Today, in this article, learn about Two Wheeler loans, all their benefits as well as help you finance that brand new, new sports model, commuter or cruiser-that you bike ride day after day
Hundreds of Different Models of Newly Released Bicycles
The bike market is pretty diversified and cuts across to meet the various needs, preferences, and riding styles. Two Wheeler loan is available for all kinds of bikes, be it a commuter model that fits within your budget or a more premium option with advanced features and higher engine capacity. Some popular categories of bikes that you may want to consider include:
Sports Bikes: The Yamaha or Royal Enfield bike has succeeded in offering a thrilling performance and power to the rider. Its strong engine and stylishly designed sports bike will definitely cater to the adrenaline shot enthusiasts who are seeking high-performance rides and plenty of power.
Commuter Bikes: Commuter bikes are very cheap, low-maintenance, fuel-efficient bikes provided by Honda, Hero, and Suzuki. It also makes it ideal for everyday use, so an affordable and more practical alternative means of transport can be attained.
Cruiser Bikes: For comfort and style, you have cruiser bikes. The brand like Royal Enfield has made bikes with powerful engines and in a very classic style which will fit perfectly for a long ride just for fun or simply a fun leisure ride.
Different bikes carry along different features and specifications. Using the Two Wheeler loans lets one buy any of them without the sweat involved and by taking a good majority of that amount making only easy installments to be made for its return.
How does a two wheeler loan work?
A two wheeler loan is just the amount of money that banks or financial institutions/non-banking finance companies, etc offer which ultimately helps in acquiring a new, old scooter, and bike, along with the amount a bank will take back from you by way of several monthly installments or EMIs on a prescribed period.
In general, it will take less time to get than a personal loan and as the bike is going to used as a collateral, getting these loans usually will not be a hectic procedure. Thus, the sum of these loans can even be stretched to include other taxes, insurances, and any other cost toward registration expenses beside the tag price of the motorcycle.
Salient Features of Two Wheeler Loans
There are many reasons why Two Wheeler loans have become so attractive to a bike buyer.
Loan Amount and Tenure: Most lenders allow availing the loan amount flexibly covering up to 90% to 100% of the on-road price of the bike. Tenure for loans can be ranging from 12 months to 6 years based on your choice and the terms and conditions of the lender. While a longer tenure may decrease your monthly EMI, it increases the total interest paid in the long run.
Two Wheeler loans usually carry a competitive interest rate; hence, normally it is lesser when compared to personal loans. However, still depends on the lender and the credit score.
Simple Documentation: Two Wheeler loans are not too complicated in documentation. Most of the lenders request proof of identity, address, income, and employment details. Some will run a credit check; however, most lend to people who have a bad, average, and good credit record.
One of the most important reasons for availing a Two Wheeler loan is that there is rapid processing and disbursal of the loan amount. Many finance companies approve your loan within some hours or days; you get a bike when you least expect it. To add to these, many organizations have started offering e-loan-approval processes wherein the loaning process is quicker.
There is flexibility about the variety in repayment options, which may take the form of a short period loan with heavier EMIs or a lengthy one, ensuring more comfort through monthly installments. This way you will be able to choose the duration that is going to best serve your budget at the moment.
Role of a Bike Loan EMI Calculator
Amongst all other most important tools for calculation present in case of a Two Wheeler loan, it is the very bike loan EMI calculator,
which is truly the most essential one. Being simple web-based instruments, they do help to estimate an approximate value to what will the monthly installment based upon the amount the individual wishes to borrow, as well as that tenure he selects and the interest rate applicable thereon.
Then you just input the parameters so you exactly know how much you need to pay within a given month.
In reality, a bike loan EMI calculator will assist you more in terms of planning your finances because it depicts how altering the loan tenure or interest rate will affect your EMI burden. For example, if you are interested in having a short tenure,
then the EMI increases so that the loan paid off quicker, but when you higher tenure, then your monthly payments reduce but total interest paid increases over time.
Read More:- How can I improve my chances of getting approval for a two wheeler loan?
Advantages of Selecting a Two Wheeler Loan
There are quite a few benefits in choosing two wheeler financing for financing the bike. These are elaborated in the following. Instant Possession: A two wheeler loan gives you the instant possession of the bike. There is no need to save up the amount. Instead, you can use the bike right now and then pay for it later with convenient monthly installments.
Low Interest Rate: Two Wheeler loans are generally cheaper than any other loan. It is hence an inexpensive means of funding a new bike.
Improving Your Credit Score: Repayment of your Two Wheeler loan in time will also improve your credit score. You will be able to get better deals on your future loans in case you need them for bigger financial commitments.
Flexibility in Repayments: Even repayments of the two wheeler were so effortless that it was easy for you to arrange to own a bike. You could choose the period and EMI that would most suit your paycheck and other needs.
Low down payment: Since most of the lenders provide two wheeler loans with a down payment which does not even make much difference,
owning a bike really does not leave a hole in your pocket by requiring a very large amount.
Financing your new bike through a two wheeler loan is an excellent way to make your dream bike a reality without burdening your finances. That provides a wide and varied range of options-from commuter bikes in the form of Honda SP 125 to, say,
an MT 15 V2 on the Yamaha sportier models-or some of the royal Enfield variants like Hunter 350. You can know by its bike loan EMI calculator how much you can borrow and what percentage of the interest rate to take and for how much period so that the repayment is manageable by you.
Conclusion
It is highly flexible, convenient, and pocket-friendly; the two-wheeler loan provides you with freedom and excitement of owning one of the top new bikes without any compromise to your financial side. Whether it is the purchase of the first bike or upgrading to a more powerful model,
the process becomes much easier and less expensive with a two-wheeler loan.
Adan Thomas