Given how simple the loan application procedures have become today, borrowing a two-wheeler loan should come as easily as ABC, correct?
While this stands to reason, thanks to online application procedures and simple documentation; there are still hurdles you can encounter on your bike loan journey that may cause unnecessary delays and inconveniences. Needless to say, it always pays to prepare well.
Here is our roundup of all the do’s and don’ts of bike loanyou should follow to avail the best deal.
- Before you apply with a finance company, make sure you tick all the boxes of their two-wheeler loan eligibility criteria.
- Fill out the loan application form correctly and do not skip any relevant field. Any errors in the application form will inevitably cost you time and cause unnecessary hassles. Thus, best to take help from the company’s representative to complete the process smoothly.
- Always shop around to understand the market state and secure the best deals. For this, you can compare the two-wheeler loan interest ratesfrom different lenders and settle for the most favourable one.
- Get a co-applicant for the loan if you fall below the eligibility mark or have a low credit score. But keep in mind that the co-applicant will also be held accountable for the loan. So, choose a co-signer carefully.
- Go for a financing company that offers flexible EMI options, so you can have a repayment schedule to match your monthly cash flow. Sort out a plan with reasonable down payment and tenure terms.
- Choose the loan terms wisely as they will determine your monthly EMI outlay. You will want to settle for affordable terms (lower interest rates, shorter tenure, etc.) which are not heavy on the pockets. Use a bike EMI calculatorto understand the same.
Additional Read: Advantages of Availing a Two-Wheeler Loan
- Firstly, do not apply with several lenders simultaneously since lenders usually look down on multiple enquiries as they reflect high credit risk. So, you may unintentionally hurt your chances of approval.
- Read the loan document carefully before you sign. Since the fine print records crucial loan details like tenure, bike loan interest rate, EMI amount, hidden charges, etc., it only makes sense to clearly understand and communicate with the lender before you close the deal.
- Only borrow a sum you can repay without difficulty. To ascertain the exact amount you require, use a bike loan EMI calculator, and estimate the entire credit cost. This way, you can secure an option without pocket strains.
- Try not to delay or default on your EMI payments. Be disciplined about your dues repayment since they influence your creditworthiness, and may hinder a future loan approval if not paid timely.
Additional Read: How to calculate two wheeler loan EMI?
While the tips mentioned above will reduce half your hurdles, you can secure numerous other benefits by opting for a reliable finance company like Tata Capital. Get an instant loan at a competitive two-wheeler loan interest rate and a comfortable tenure.
What’s more, you can also accurately compute your potential monthly instalments by logging on to our website and using our two-wheeler loan EMI calculator.
Connect today to learn more!