Bike Loan EMI Calculator

What Should You Consider Before Opting for a Two-wheeler Loan?

revolt-rv400-electric-bike

Purchasing a bike is a dream and an achievement for many people. People often save the required amount to fund the purchase of their bikes. However, it can take a long time. The price of the bike might increase during this period. Taking a bike loan is a great way to finance the purchase of a bike. 

You don’t have to rely on savings or bear a substantial financial load at once. Instead, a two-wheeler loan allows you to repay the amount using affordable EMIs. However, some critical factors must be considered before opting for bike finance. Read on to learn more about it.

Key factors to consider for two-wheeler loans

Here are some crucial factors to consider before opting for a bike loan. 

  • Find out the credit score 

Before applying for a bike loan, you must check your credit score. An excellent credit score (over 750 points) can help you get better terms and lower loan interest rates. On the other hand, if your credit score is below the required points, you must increase it before opting for the loan.

  • Loan eligibility criteria 

You must check your lender’s two-wheeler loan eligibility criteria before opting for the loan. It is essential to meet the minimum eligibility requirements listed by the financial institution.

  • Choose a suitable loan tenure and EMI

Every loan comes with a repayment obligation. You have the flexibility to repay the amount through affordable EMIs. However, the EMIs can vary based on the principal amount, interest rate, and loan tenure. Therefore, it is also crucial to choose a suitable loan tenure. 

Must Read: How to Calculate EMI with Two Wheeler Loan Calculator

How To Get A Bike Loan Without A Down Payment

revolt-rv400-electric-bike

Owning a two-wheeler is no more a luxury today. With the increasing traffic on the roads and the hassles of commuting by public transport, commuting to work daily by your two-wheeler is now a necessity. Buying your dream bike may have been out of your budget till now, but with a two-wheeler loan, you can make this dream turn into a happy reality. What’s more, with a trusted name like Fullerton India, you get a 0 down payment bike loan if you meet their eligibility criteria. You can use their two-wheeler EMI calculator to calculate the EMI applicable on your bike loan. Let us now have a look at the eligibility criteria for getting a 0 down payment bike loan. 

Eligibility To Get A Bike Loan Without A Down Payment

  • The loan applicant’s age should not be less than 18 years when applying for the loan, and under 65 years, at the maturity of the bike loan. 
  • The applicant should be an Indian resident and should have been living at his current address for at least one year. 
  • If you are a salaried employee, you should have a minimum work experience of one year and should meet the conditions as per Fullerton India’s policy when you apply for the loan. 
  • The loan applicant has to submit these documents to be eligible for a 0 down payment bike loan:
  • The last three months’ salary slips for a government employee and salary certificates including the deductions for a private employee.
  • Form 16 copy
  • Copy of Income Tax returns for self-employed applicants.
  • KYC documents. 

By fulfilling the above eligibility criteria, you can get a 0 down payment bike loan from Fullerton India. Further, you can calculate your EMI using their online two-wheeler EMI calculator. 

Additional Read: Know How Two-Wheeler Loans Different from Car Loans?

What Is the Average Two Wheeler Loan Interest Rate?

revolt-rv400-electric-bike

Are you planning to get a two-wheeler loan? Selecting a loan with a low-interest rate and EMI is important. Let’s look at how you can calculate the bike loan EMI, along with some tips to reduce the loan interest rate. 

Using a Bike Loan EMI Calculator 

A bike loan EMI calculator lets you calculate the EMI you’ll have to pay for a two-wheeler loan. Almost all loan providers have a dedicated loan EMI calculator. 

Fullerton India has a two-wheeler EMI loan calculator. You need to fill the following fields:

  • Loan Amount
  • Rate of Interest
  • Loan Tenure

Based on these inputs, the calculator calculates the estimated EMI you’ll need to pay. Here’s the formula used to calculate the expected EMI. 

How to Lower the Two-Wheeler Loan Interest Rate?

The EMI you pay depends a lot on your interest rate. The higher the interest rate, the higher the EMI. Therefore, lowering the interest can help you lower the EMI. Here’s how you can do that. 

  • Improve your credit score to get a lower two-wheeler loan interest rate.
  • Repay all your existing loans and clear your debts to improve your debt-to-income ratio.
  • Negotiate with your lender for a better interest rate. 
  • Get a loan from a lender that you have a standing relationship with, as lenders could offer special discounts to regular customers. 

Conclusion

The interest rate and EMI are the two most important things to consider before getting a two-wheeler home loan. You can use a bike loan EMI calculator to check the EMI you’ll need to pay. 

Additional Read: Purchase Bike of your Dreams in this festive season

Benefits of Using an EMI Calculator Beforehand for a Bike Loan

Harley-DavidsonÕs new electric bike, LiveWire, is shown in this handout photo

When availing of a bike loan, the sanction period is always a concern, especially if you need the loan urgently. So, what can you do? 

You can use a bike loan calculator. The calculator ensures the loan amount, interest, and tenure you are proposing is valid in conjunction with your finances. Hence, your sanction period may decrease. The following are a few benefits of using it beforehand. 

Benefits of Using a Bike Loan EMI Calculator:

  • Knowing Your Credit Limit

When applying for a loan, people tend to extend their line of credit. But by using an EMI calculator, you know how much you can borrow based on your income, credit score, etc. 

  • Helps Choose a Suitable Tenure

For some people, shorter loan tenure is better, and for others, longer tenure is better. Using a bike loan EMI calculator allows you to see variations of the loan based on the tenure, interest rate, and loan amount you choose. Thus, you get insight into the different options and choose which one is best suited for you.

  • Helps Make an Informed Choice

Loan EMI calculators will help you determine what is ideal for you. Therefore, when speaking to lenders about the loan, you will be aware of what you are looking for and compare all possible options with your ideal conditions in mind. 

Use Fullerton India’s wide range of calculators and financially plan your way to a successful future, knowing your lender is reliable, offering competitive interest rates and flexible repayment schedules tailored to your needs!

Must Read: Major Factor to Consider while choosing a Bike Loan