6 advantages of two-wheeled loans that make your life easier!
A recent study by the IDFC Institute shows that a typical 30-minute journey on Mumbai’s main roads takes over 60 minutes during rush hour. While the numbers apply to Mumbai, the same can be said for all other metropolitan cities. A two-wheeler is your most reliable bet for getting through rush hour. Nimble enough to weave through traffic, a two-wheeler can help cut your commute time and fuel costs, and help you stick to your appointments.
These benefits have boosted sales figures, making India’s two-wheeler market the largest and fastest growing. While commuter bikes are offered at a great price to meet this growing demand, customers can also avail two-wheeled loans at affordable bike loan interest rates. If you are currently thinking about buying a new two-wheeler on loan, here is how this loan will make your life easier.
Easy on the pocket
Buying a bicycle is undoubtedly a significant investment that requires quite large funds. A two-wheeler loan eliminates the need to pay for the bike all at once. Even if you have the necessary funds in your savings reserves, spending them as a lump sum can be unwise. Choosing a low-interest bike loan to finance your bike allows you to pay for the model in small monthly installments, protecting your savings reserves for unexpected rainy days. Plus, because two-wheeler loans let you choose repayment terms (12 to 48 months) that suit your needs, your bike loan EMIs don’t overburden your monthly expenses.
If you want to buy a new two-wheeler without a loan, you will have to spend considerable time accumulating funds to finance the purchase. Saving enough funds can take a few years for people who are just starting a career or who already have existing financial liabilities. However, with a two-wheeler loan, you can avoid this hassle. Since the two-wheeler loan application process is quite simple, most lenders verify and sanction the loan in just a few days. Some even offer instant approvals to preferred customers, where the loan amount is disbursed within seconds. If you take out a two-wheeler loan from a lender that has ties to the bike dealership, your loan can be disbursed instantly.
Simplified application process
Gathering the documents for a loan application can be quite complicated. However, you won’t have to worry about this issue with a two-wheeler loan. Most lenders allow you to apply with only a basic set of documents, with some having a “no documentation” clause for existing clients. Plus, since two-wheeler loans come with a basic, easy-to-follow eligibility checklist, it’s easy to apply for and get quick approvals. So, whether you are an employee or self-employed, you can apply for a two-wheeler loan online and avoid going to physical offices.
Budget plays a crucial role in determining the type of bike you eventually buy. In other words, your choices remain circumscribed by your budgetary parameters. Many potential buyers often compromise their choices simply because they need more funds to purchase a model with better specs. However, if you opt for a two-wheeler loan, you can completely free yourself from these budgetary constraints. With banks and NBFCs offering up to 100% financing options, you can even forgo the burden of managing funds for your dream bike down payment.
Affordable Interest Rates for Bike Loan
To make two-wheeler loans more affordable for customers, banks and NBFCs cap their interest rates on bike loans at fairly affordable levels. With bike loan interest rates starting at just 7%, you won’t have to worry about interest payments when deciding to finance your dream bike. Additionally, if you have an existing relationship with the lender or a good credit rating, the lender may also offer you a discount on the base bike loan interest rate. This means you can buy your dream bike, meet all of your existing financial obligations, and save money without too much hassle.
Help build your credit profile
A good credit profile can give you several credit benefits. Although a good credit score isn’t necessary for a bike loan, you can use your two-wheeler loan to build a credit profile. Since two-wheeler loans come with manageable EMIs and flexible repayment terms, it is quite easy to repay these loans on time. Repaying your two-wheeler loan on time positions you as a creditworthy borrower, thus improving your CIBIL score. This, in turn, increases your chances of getting high-value loans – like car or home loans – at cheaper rates in the future.
Besides these benefits, some lenders also offer special offers such as free insurance coverages, discounts on accessories, etc. For example, if you opt for a loan with two wheels on Bajaj Markets, you can benefit from several festive and seasonal offers. In addition to attractive interest rates for bicycle loans, you also benefit from up to 100% financing on certain models. With quick and easy approvals, you can apply for a two-wheeler loan with minimal paperwork online to take home your dream bike today!