Steps to Secure Bike Finance for Your Desired Two Wheeler Purchase
As an increasing number of vehicles get on-road menacing the traffic, late arrivals have become a serious concern in heavily populated cities. Owning a two wheeler can be of multi-fold benefits in such a circumstance. However, with the ongoing economic downturn, spending your savings on bike purchase might not be a very smart idea due to declining income lines. One of the best ways to tackle such a scenario while fulfilling your need to own a two wheeler is to go for bike finance.
Most reputed lending institutions provide two wheeler loans of high value to help individuals fulfill their financing needs for bike purchase conveniently. It allows them to defer the payment to an extended tenure, ensuring affordability as well as need fulfillment. Below are given a few standard steps you would need to follow when seeking a bike loan.
Essential Steps to Secure a Bike Loan
1. Select a suitable two wheeler model
The first step to financing such a purchase is to zero in on the right model that you seek to purchase. Here, it is essential to know that bike finance from top lenders is available for up to Rs.1 Lakh, allowing you to select a high-end model conveniently.
2. Consider between new and used options
Once the model is selected, you can also choose between whether you would go on to purchase a new bike or a used one. Know that while used bikes are available in decent and driveable, finding the right financing for them can be a challenge due to their low financing value and high depreciation.
Besides, purchasing a new bike always comes with attractive perks like years of use, long mileage, high insurance value, and easy financing.
3. Determine your budget
Next, determine the budget that would be the maximum funding you will need for bike purchase. It can be close to the loan amount you would require and exclude the down payment value necessarily required to be met when availing a two-wheeler loan.
4. Check your credit score
On budget confirmation, you can proceed to check your credit score, which while not necessary, lays the ground for the convenience of loan availability based on your creditworthiness. The ideal credit score you can try to maintain is 750.
5. Research market rates on bike finance
You can minimise your cost of the loan by finding the funding option attracting the lowest interest rate in the market. Thus, the next step would be to research on lender availability and rates levied.
6. Decide on the lender
Having confirmed the suitable interest rate, proceed to finalise the lender for bike finance. You can do so based on the various features available, like the loan amount, tenure flexibility, repayment options, etc.
7. Meet eligibility requirements
You must also check whether you meet the lender’s eligibility and document requirements or not. Meeting these criteria is necessary as not doing so leads to loan application rejection.
8. Apply online
Next, proceed to apply for your loan with necessary documents. Choosing online application process has its unique set of perks like fast processing and quick loan approval.
Availing bike finance also comes with its set of repayment responsibilities. Thus, you must also make sure to check whether the EMI on your selected loan remain comfortably within your repayment capacity and apply accordingly.
