Two-wheelers have been a major driver of the country’s economy with as many as 21 million bikes being sold in 2019 in India. If you have been thinking of bringing home your favorite two-wheeler, now is the time!

Bike loans have become extremely affordable nowadays. You can actually walk into a showroom and ride out with a bike as leading financial institutions provide 100% financing. You could also save up or sell older assets to buy one. A credit card can come handy too to buy a bike that is priced on the lower side. 

So, which option should you choose? Credit card, a two wheeler loan, or depend on your savings? Let’s find out:

Savings

One way to buy a bike is to use your savings. If you have enough money saved, you can pay off the entire amount and purchase the two-wheeler you always wanted. While this seems like the simplest way, it might not be the most financially-sound one. You might want to use your cash savings to create an emergency fund or travel fund instead. However, if you have substantial disposable income, you can choose this route to make your purchase.

Credit card

A credit card is a fairly simple way of buying a bike too. All you have to do is swipe your card, and your dream machine is yours. However, this method will only work if you choose a bike in the lower price range and your credit card allows you to spend that much with its credit limit. 

You could also sell some assets such as an old computer, bike, phone, etc. to pay part of the bike cost and use your credit card for the rest. Choose to use your credit card to buy a vehicle with caution, though. Swipe your credit card only if you know you can settle the dues on time as the interest rate levied on credit cards is quite high. 

Bike loan

A two wheeler loan from a bank or NBFC is the most preferred way of buying a bike. This is because it is affordable and requires minimal documentation. These loans are flexible too. You can pay a down payment and get a loan for the balance or even get the entire amount financed. Bike loans are often approved on the same day of application. 

Tata Capital provides customer-friendly online bike loans to help you buy the bike you have always wanted. It even offers 100% financing so you can buy your bike with zero down payment.

The loans begin at Rs 25,000 and go all the way up to Rs 3,00,000. Tata Capital’s bike loan interest rates are competitive, starting at just 10.75%. 

Using a loan is a smart way to buy a bike as it allows you to use your saved money for other critical purposes and provides financing at a low cost. Use the two wheeler loan EMI calculator to find out how much EMI you will have to pay on your Tata Capital loan, and get set to bring home the bike of your dreams today!

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