A two-wheeler is the best way to navigate through traffic and reach your office on time without compromising your health during the COVID-19 pandemic. Given the current social distancing norms of the pandemic, getting a two-wheeler has become more a necessity than a luxury. However, not everyone can afford to buy a bike from their savings. In fact, it is not wise to use emergency funds to buy a two-wheeler.
But, it does not mean that you should give on your dreams of owning a bike. You can still get a bike on loan in Mumbai or anywhere else and manage your finances without dipping into your savings. Your lender may offer up to 100% of the bike’s on-road price as a loan. With affordable interest rates and flexible loan tenure, making timely repayments is easy and convenient. Before applying for a bike loan, it is imperative to know your lender’s bike loan eligibility criteria and ensure to meet them all.
Benefits of getting a bike on loan in Mumbai
- You can secure the entire bike’s market value as a loan. However, keep in mind that the higher the loan amount, the higher will be your interest rate.
- You have flexible repayment options. You can choose a loan tenure based on your needs. Your lender may offer you 12 months to 48 months to repay your loan.
- You can avail yourself of attractive interest rates based on your age, income, credit score, and current financial obligations. To secure a lower interest rate, you must convince your lender that you are a trustworthy borrower and can repay the loan on time and in full.
- It is an unsecured type of loan, which means that you do not have to pledge your assets as collateral. However, to get a two-wheeler loan, you will need to have a higher income and a healthy credit score.
- There is quick approval and minimum paperwork involved, allowing you to get approved within just hours.
- The process of getting a bike on a loan in Mumbai is straight. You will need to visit your lender’s web portal and apply for a loan from the comfort of your home.
- There is minimum documentation involved. You will only need to submit your age, address, and income proof.
Bike loan Eligibility criteria
Before applying for a bike, it is advisable to visit your lender’s website and check their eligibility criteria. To obtain a two-wheeler loan at a lower interest rate, you will need to ensure that you meet their requirements. The best part is that the eligibility criteria to get a two-wheeler loan are at a bare minimum.
Here are the requirements that are common across all platforms:
- You must be an Indian citizen currently living in one of the cities of India.
- You must be at least 18 years old at the time of applying for a loan or 60 years old at the end of the loan tenure.
- It is mandatory to be either a salaried employee of a public or a private company, or you must a self-employed professional
- As a salaried employee: you must earn a minimum monthly salary based on your lender’s policy.
- As a self-employed: You must show a minimum yearly income based on your lender’s policy.
- You must maintain an excellent credit score of 750 to secure a two-wheeler loan at a lower interest rate.
Documents required to get a bike on loan in Mumbai
After meeting the eligibility requirements, you will need to prepare the relevant documents and submit them along with your application. There is minimum documentation involved to get a loan, resulting in quicker approval and disbursal of a loan.
Here are the relevant documents you need to prepare:
- Age proof: Aadhaar Card, PAN Card, Passport, Ration Card, Driving License, or Voters ID Card.
- Residential proof: Passport, Aadhaar Card, Utility bill, PAN Card, Driving License, or Voters ID Card.
- Income proof: Salary slips, bank statements, Income Tax Returns, or Form 16.
- Asset proof: latest land, building, or house tax receipt (in case of a secured loan)
- A recent passport-sized photograph.
Getting a bike on loan in Mumbai or anywhere else is the best way to manage your finances when you do not have other means. Affordable interest rates and flexible repayment options enable you to repay your loan within the stipulated EMI, without any burden on your monthly budget. However, before applying for a loan, make sure to check your lender’s bike loan eligibility criteria and ensure to meet them.