The process makes it possible for you to get a two-wheeler even if you don’t have the entire price amount at the moment when you buy a bike on EMI. When you purchase your bike and apply for your bike loan at the right time, you can turn things around in your favour in the long run. For example, many attractive offers on two-wheeler loan interest rates may be available.
These types of offers usually involve a lowered interest rate when compared with the standard rates during other times of the year. Depending on your two wheeler loan eligibility, you may also be able to negotiate for a higher discount that will be beneficial in the long run. You can get a great deal on two-wheeler loans by looking out for festive discounts.
There are many reasons why two-wheelers are the preferred vehicle. Bike riding is the mode of transportation of choice for the majority of people, whether they are teenagers or employees rushing to work every day. Two-wheelers are very popular in India for many reasons, including their utility, comfort, durability, and fuel efficiency. Besides metropolitan areas, tier 2 and tier 3 cities are also popular with this service. Two-wheeler buyers often wonder whether to take out a loan, use cash or avoid buying to save money when considering buying one.
What is the best way to buy a bike: EMIs from a credit card or two-wheeler loans?
In our opinion, the EMI paid through a credit card is a better option.
- Compared to two-wheeler loans, the two wheeler loan interest rate is lower.
- Processing fees and other charges are less or nonexistent.
- The bike and its charges are not hypothecated. You are the sole owner of fulfilling the two wheeler loan eligibility
- Loan processing does not require any documentation
What is the better approach if I want to buy a bike on a monthly loan basis?
The interest rate on a two-wheeler loan is one of the most important considerations when purchasing a bike on loan. Based on this rate, you will be able to determine whether you will have to pay more or less in terms of principal and two wheeler loan interest rate. It is possible to save quite a bit of money by lowering the interest rate, so you should know a few things to help you with the process.
How much down payment is required
The amount you pay upfront for your bike when you purchase it. As a result, a higher down payment results in a lower loan amount and interest rate. Consider making a higher down payment if you want a lower interest rate.
Bike model
It is also important to consider the model of bike you purchase when you are choosing an interest rate. Unless you pay the entire principal and interest during the loan period, two-wheeler loans are considered collateral or mortgages to lenders. Don’t be intimidated by the dealer’s suggestion of going for a high-end or bestselling model; instead, choose anaffordable bike.
Bikes on EMI have many benefits.
The power to purchase – two-wheelers are highly affordable compared with cars. It is only a matter of budgeting that is needed, with most bike models falling within the 50k to 1000k price range. It is also advantageous that most lenders offer up to 100% financing on the bike’s on-road price.
Eliminates financial burdens –
Spending all your cash on a bike is not advisable just because you have cash on hand. It is impossible to predict when an emergency will occur. Avoiding financial burdens like this is best achieved by taking out a loan. Upon completing the loan, your credit score will improve, and you will be able to get future loans faster and easier, lowering your two–wheeler loan interest rate.
A credit score is improved –
It is important to have a healthy credit score in order to obtain a loan. The best way to improve your CIBIL score is to take out a bike loan and make regular EMI payments. As a result, the chances of default are very low since the EMIs are so low.
Rates at an attractive level –
During the festive season in India,everyone looks forward to it. The interest rates offered by many lenders are, therefore, attractive. Additionally, the two-wheeler loan is a secured loan since the bike acts as collateral, and the terms are more favourable.
Easy and quick to use –
Lenders disburse the loan amount within a few days if the applicant provides the correct documents and has a good credit score.
Make your dream bike a reality –
The dream bike you long for might never become a reality if you decide to save your money. You likely have your eye on a certain model of two-wheeler. Your bike of choice can be purchased with easy EMIs without compromising on other expenses with the help of Bajaj Finserv. Visit Bajaj Mall and do the booking.
Author Bio
I am Zoya Arya, and I have been working as Content Writer at Rananjay Exports for past 2 years. My expertise lies in researching and writing both technical and fashion content. I have written multiple articles on Gemstone Jewelry like Monstone Ring and other stones over the past years and would love to explore more on the same in future. I hope my work keeps mesmerizing you and helps you in the future.
