bike loans

Can I Buy a Bike Without Any Down Payment?

Yes. You can buy a bike without a down payment if you meet the eligibility criteria set by your selected financial institution. The loans that involve zero down payment for a two wheeler are called the zero down payment bike loans. They are also called the 100% financing bike loans. These kinds of loans offer features like:

  • Instant approval
  • 100% financing
  • Loan amount up to 30 lakhs*
  • Interest rate starting at 8%
  • Flexible repayment
  • Minimal Documentation

Zero Down Payment Bike Loan Eligibility Criteria:

  • The borrower should be above 18 years of age while applying for the loan
  • The applicant should not exceed 65 years of age at the end of loan tenure
  • The borrower should be residing in the concerned city for a minimum of one year
  • The applicant should have at least one year experience in the current company

Documents Required for a Two Wheeler Loan

The bike loan requires only minimal documentation. Hence, the application process is simple and easy to meet. Let’s check the requirements for a zero down payment two-wheeler loan:

  • ID Proof – Aadhar card/ PAN card/ Passport/ Employment ID
  • Address Proof – Rental Agreement/ Property Purchase Agreement/Sale Deed/ Voters ID
  • Income Proof – Bank Statements/ Salary Slips/ ITR

On meeting the eligibility criteria and furnishing the documents, the applicant can contact the lending institution and talk to the representative to discuss the terms. If the lender offers satisfactory terms, the applicant can fill and sign the application form and submit the required documents. Once the documents are verified, the lender will immediately disburse the finances to the borrower’s bank account.

Must Read: 5 Perks of Funding Your Purchase with a Two Wheeler Loan

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

Things To Consider To Get The Best Two-wheeler Loan

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Bike finance is the best option to buy your dream bike without touching your savings or investments. You can secure up to 100% of the vehicle’s on-road price as a loan, and avail of an interest rate as low as 1%. However, it is worth noting that the loan amount and the interest rate depend on the eligibility factors, such as age, income, credit score, and current financial obligations. Before opting for bike finance, you must follow the underlying things to get the best deal available: 

Things To Consider To Get The Best Two-wheeler Loan 

  • Eligibility criteria

Before applying for a loan, you will find out your preferred lender’s eligibility criteria. The requirements are usually based on your age, income, employment type, credit history, current financial obligations, etc.  

  • Loan amount

Assess your needs in advance and determine how much you can get as a loan on your repayment capacity. You can use a two-wheeler loan calculator to determine how much you can afford to pay in EMIs and apply for a loan accordingly. 

  • Loan application process

 Not all lenders offer the same application process. So, while looking for a two-wheeler loan, you must choose a lender that offers a convenient loan application process. Your lender must offer an easy and quick loan with minimum documentation.  

  • Repayment tenure

A two-wheeler loan tenure usually ranges between 12 to 48 months. However, it is worth noting that a higher loan tenure can cost you more in interest in the long run.   

  • Down payment

If you make a higher down payment, your loan amount will decrease. A decreased loan amount always ensures a lower interest rate, therefore, reducing the burden from your shoulder.

Keep these points in mind when applying for your next two-wheeler loan to make it even more convenient.

Additional Read: What is the Ideal Tenure For Your Two Wheeler Loan?