Getting a two-wheeler loan these days has become hassle-free. The reason behind it is the increasing number of two wheeler finance companies and the simplified application procedure. The two-wheeler loans offer you financial assistance from ₹10,000 to ₹1 lac, with a maximum loan-to-value ratio of 95%.
If you are seeking a two wheeler loan in Hyderabad, then you can do so in the easiest way by applying for a two-wheeler loan online and offline in a few simple steps. The interest rate for this loan is also very reasonable, provides you with flexible tenure, and requires minimal documentation. To get the ride of your dream, you can apply for a bike loan now, and today we will provide you with all the necessary information you need before applying for a two-wheeler loan.
What is a Two-wheeler Loan?
A two-wheeler loan is a type of loan that helps you to buy a bike or scooter of your choice and pay the amount in equated monthly instalments (EMI). These loans are pretty easy to get. It doesn’t matter whether you are a salaried person or a self-employed individual, you can apply for a two-wheeler loan if you are eligible for it.
What is the Rate of Interest for a Two-wheeler Loan?
The interest rates on two-wheeler loans differ from one lender to the next. One of the reasons behind it is the risk factor and the overhead costs, but this only makes up a small portion of it. These differences in interest rates are typically determined by the following factors presented below:
- Credit History: If you have a strong credit history, it helps you to achieve lower interest rates. It is because your credit history reflects your loan repayment history, and having a good credit score means that you have paid all your loans on time.
- Monthly Salary: Having a high monthly salary shows a better repayment ability. This motivates the lenders to make a loan available to you at a much cheaper interest rate.
- Amount of Loan: The interest rate is proportional to the loan amount. Interest rates for collateral-based loans are often lower.
- Tenure of Loan: This one is pretty simple to explain. The longer the loan period, the higher the amount, and the shorter the loan period, the lower the rate of interest.
- Vehicle Category: The interest rate on a two-wheeler loan will also be determined by the vehicle category. Scooters, for example, may have a different interest rate than a normal motorbike or a sports bike. The financier determines the interest rate based on the vehicle’s worth.
- Your relationship with the lender: Having a trustworthy relationship with your lender can also be beneficial to you when you decide upon the interest rate that will be charged on your loan.
- Your City’s Tier: The tier to which your city belongs might also affect the interest rate on two bike loans. The risk involved with the transaction and the interest rates changes according to the city you live in.
What are the Eligibility Requirements for a Two-wheeler Loan?
To find out whether you are eligible for a two-wheeler loan, have a look at the eligibility criteria given below:
- You must be a citizen of India.
- Your age must be above 18.
- Both salaried and self-employed people with stable incomes can apply for this loan.
- If you are a salaried individual, you must have worked for at least one year with your present company and have at least six months of experience.
- In the case of a self-employed individual, you should have worked in your present industry for at least a year.
- There is no such thing as a fixed monthly income requirement in a two-wheeler loan.
Which Documents are Necessary for a Bike Loan?
As previously stated, the documentation required for a two-wheeler loan is minimal. Simply have these documents on hand before applying so that your loan process goes as smoothly as possible.
- You will need to submit identity and address proof as KYC documents.
- As proof of income, you will be asked to submit your bank statement for both salaried and self-employed individuals and salary slips if you are a salaried person.
- You will also need to submit one passport-sized picture.
What is the Application Process for a Bike Loan?
It is very simple to apply for a two wheeler loan in Hyderabad. There are two ways to apply for this loan. One is the online method, and the other is the offline method. We are going to give you a step-by-step guide on both of these methods.
First, let’s have a look at the online mode:
- Visit the websites of any two wheeler finance companies of your choice.
- On the website, go to the two-wheeler loan section.
- Check your eligibility criteria to see if you are eligible or not.
- Scroll down to the ‘Apply for a Loan’ section.
- Input your information and choose the two-wheeler dealership of your choice from which you wish to purchase the car.
- Check the box to agree to our terms and conditions, and click ‘Apply Now.’
To apply via offline mode, follow the steps given below:
- Visit the local branch of your two-wheeler dealership.
- You can find the nearest dealer in your city on the internet.
- Speak with a dealership representative about your request.
- Along with the loan application form, provide the KYC and income verification papers, as well as one passport-sized image.
Now that you have reached the end, we hope that you found all this information regarding two wheeler loan in Hyderabad helpful. Now you can easily get a loan by choosing among various two wheeler finance companies. Just make sure that whatever method you choose for application, you have a thorough look over the eligibility criteria and keep all the necessary documents ready.