Planning your finances is an important life skill. Besides accounting for living expenses and savings, drawing up a structured repayment schedule for various loans and obligations is crucial to managing your finances well.
If you have a two wheeler loan or are planning on taking one for your new bike or scooter, it is essential to choose a financing partner that offers you a loan that is flexible, customizable, with a competitive interest rate. Tata Capital’s two-wheeler loans ticks all the boxes.
Flexibility to choose the terms of your loan
Tata Capital two wheeler loan EMI payment can be structured in a way that best suits your budget. You are free to choose a monthly amount that you think you would be able to pay comfortably for the entire duration of the loan. This monthly amount includes repayment towards the principal as well as the interest.
The EMI amount remains fixed during the entire tenure. In the beginning, a larger portion of the EMI goes towards the interest component, but as the tenure progresses, the allocation towards principal repayment goes up. The exact percentage allocated towards principal and interest repayment will depend on the tenure and interest rate charged for the loan.
Additional Read – What is the Ideal Tenure For Your Two-Wheeler Loan?
Alternatively, if you anticipate your future income to increase, you can also opt for a structured EMI option that will allow you to modify your EMI amount with time.
Maximizing your finances with a two-wheeler loan calculator
The three main components that make up your EMI are – loan amount, tenure and interest rate. The two components that you can control are the loan amount and tenure. The interest rate will depend on a lot of factors, such as your personal details, monthly income, tax returns and credit score.
The larger your loan amount and the higher the interest rate, the longer your tenure could be. The ideal thing to do is to find a sweet spot where your EMI is manageable but at the same time, the tenure not so long that you pay high interest on the loan. You can decide the two wheeler loan repayment tenure based on your EMI, starting from six months going all the way up to 60.
Additional Read – Check Out The Steps on How to Calculate Two Wheeler Loan EMI?
A two wheeler loan calculator will allow you to adjust the three variables and arrive at your ideal EMI amount. The loan calculator will also give you a clear break-up of what your interest outflow will be vis-à-vis the principal amount.
Managing the loan
Once you have secured your loan, you can make your Tata Capital bike loan payment online via an ECS mandate. This eliminates the hassle of remembering the due date every month. On a designated day of every month, the EMI amount will be auto-debited from your account.
If you aren’t comfortable making a Tata Capital two wheeler loan online payment, you can also hand over post-dated checks that will be deposited each month towards loan repayment.
Having the right EMI amount and schedule can help bring in a lot of discipline towards your monthly finances. Whether you are a salaried professional, entrepreneur or student, knowing your monthly commitment towards your liabilities can help you manage your money stress-free. For any clarifications or queries, your virtual assistant TIA is always available at your service 24/7.