How to Get an Instant Personal Loan for a Bike?
How to Get an Instant Personal Loan for a Bike?
You can now buy your favorite with an online loan. These instant personal loans are easily available and require minimal eligibility. But most importantly, unlike a two-wheeler loan, you can finance the entire cost of the bike with an instant personal loan. While a two-wheeler loan requires you to make a downpayment for the bike. In addition to this, you can also use your personal loan money to buy bike insurance or accessories.
With the help of a money loan app, you can now apply for a personal loan from the comfort of your house. You can submit the documents digitally and get the funds disbursed into your bank account immediately once your loan is approved. To know more about how a personal loan can help you bring your dream bike home, keep reading the post till the end.
Why Applying for a Personal Loan for a Bike an Excellent Idea?
Here is a list of reasons why getting a personal loan to buy a bike is the best decision for you.
- Personal loans are simple to avail
Personal loans for two-wheelers are simple to get and simple to repay. Even if you have never taken out a loan or used a credit card in the past, consistently repaying a personal loan helps you enhance your credit record and score.
- Reduces your payment burden
Whether you go for a complete cash payment or a two-wheeler loan for buying a bike, your account will get a big hit. Standard bike loans provide up to 80% financing and call for a down payment of 20% from the borrower. But a personal loan can take care of the entire cost allowing you to manage the loan amount in easy monthly instalments.
- Simple eligibility requirements
The qualifying requirements for personal loans are less restricted. Also, a personal loan does notseek collateral. This makes it simpler for low-income individuals and students working part-time jobs to purchase a bike for everyday usage.
- Higher loan value
You may look at a broader choice of two-wheelers in various price ranges and even purchase one that was previously out of your price range with a personal loan. Your options are not limited because the price difference gets divided into loan EMIs.
How to Get a Personal Loan for Your Bike?
An unsecured loan like a personal loan is a great option to buy a bike. Today, you have several choices of lenders like banks, NBFCs and money loan apps. But before choosing your lender you must of the steps involved in availing a personal loan for buying a bike.
- Check Your Credit Report
It’s always a good idea to check your credit score in advance to understand your loan eligibility. Most lenders look at your credit history when you apply for a loan. It is based on your credit score that the lender will make all the important decisions regarding your loan. If your credit score is low then you must take the necessary steps to improve your credit score.
- Explore Online to Find the Best Lender
Several lenders, including internet lenders, banks, and credit unions, provide online loans. Additionally, several dealerships provide financing options. You must explore all your options before choosing your lender. Check for a lender who offers you a high-value loan at a low-interest rate and reduced processing fees.
- Check the Eligibility Criteria of the Loan
Before submitting your loan application, you must go through the loan eligibility requirements set by your lender. Most lenders require you to meet their age, income and credit score limits. Some lenders may also ask for your location, type of employment, and employer details. Make sure to check these details and that you meet each one of them. Failing to meet your lender’s eligibility criteria will lead to loan rejection.
- Complete the Application Process:
Once you’ve decided on the lender, you must fill out a thorough application and provide any necessary supporting documents. This includes your salary slips, address proof, identity proof, and other KYC details. Cross-check all the details to avoid any errors or discrepancies in your loan application. Even the slightest mistake can result in your application getting rejected. If you are applying through a money loan app, thenmake sure to submit the documents in the requested format.
- Wait for Your Loan to Get Approved
Now you will have to wait for the lender to verify your loan application and approve your loan based on all the details you have provided to the lender. When you apply through a money loan app, the lender will send you constant notifications keeping you updated on the process. You will receive an email and message when your application and approved. Once approved, the lender will process your loan and disburse the loan amount into your account within 24 to 48 working hours.
Conclusion
Buying a bike not only helps you commute through the city easily but also brings you a sense of freedom. It is an aspiration of many young Indians, especially those in their 20s. Since paying the amount upfront may not be a feasible option, you can opt for financing.
Though you can avail a bike loan for purchasing your favourite bike, these loans do not cover the entire cost. You still need to pay 15 to 20 per cent of the total amount as a down payment. In addition to this, there are other charges like insurance fees, registration fees etc. which you have to bear. Availing a personal loan can help you cover the entire cost associated with your new bike, from paying 100% of the bike price to getting new accessories.
However, before signing up for an online loan make sure to estimate your repayment capacity. You should always keep your borrowings within your repayment capacity. Otherwise, you will suffer from bad debt, high penalties and poor credit score.
