Just enter the loan amount of bike you want to get financed and rate of interest. Vicky.in EMI Calculator automatically calculates the installment on reducing balance and it does not have any other processing fee.
Finance Tips
Proliferation and Sales of 2-wheeler has been improving due to styling ,sustained quality ,reasoning benchmarks in technology laid out by the world's largest bike manufacturers like Hero Motor Corp Ltd ,Suzuki, Bajaj, TVS, etc, thus making the bike passioners get attracted towards it, and tends them to purchase it .For customers ,those who don't have sufficient purchasing power, bike loan serves as a powerful tool ,in getting the bike they dreamt of.
Loan definition:
An arrangement in which a lender gives money to a borrower, and the borrower agrees to repay the money, usually along with interest, at some future point(s) in time.
Eligibility for getting loan:
If a person is applying for the loan, his loan will get sanctioned only if his eligibility criteria gets satisfied. The reason for checking the eligibility criteria is mainly for assessing a person whether he has the repaying capacity to make the full payment. Each bank has its own eligibility criteria. For example , Axis bank has the following eligibility criteria .
Salaried Individuals:
- Age(Commencement and Termination)-Between 18 years to the retirement age
- Minimum Income-Rs60,000-Rs75,000 per annum depending upon the two-wheeler model
- Income Salary Slip-As per the latest salary slip or Form 16
- Margin-15%-20% depending on the two-wheeler model
Self-Employed Individuals:
- Age (Commencement and Termination) - Between 21 years and 60 years
- Minimum Income - Rs 60,000 to Rs 75,000 per annum depending on the Two Wheeler Model
- Income eligibility - As per latest ITR
- Margin - 15% to 20% depending on the Two Wheeler Model.
| Profile | Salaried & Self-Employed |
|---|---|
| Identity Proof(Any one) | Voter's ID Card Driving License Photo Ration Card Photo Credit Card Passport Pan Card |
| Residence proof(Any one) | Voter's ID Card Driving License Photo Ration Card Passport Telephone Bill Electricity Bill Municipal Bill Credit Card Statement Rent Agreement Copy & Bill |
| Income proof(Any one) | Latest Salary Slip Salary Certificate Form 16 Latest ITR |
| Age proof(Any one) | Voter's ID Card Driving License Photo Ration Card Passport Birth Certificate |
Loan schemes:
The procedures and offerings for loan differs with banks according to each bank's terms and conditions. For example, HDFC bank provides 50% discount on processing fees and 2% discount on interest rate for HDFC account holders whereas Tata Capital offers 85%funding on-road price, along with a special scheme of paying Rs45 per day applicable only for bike that costs less than Rs1,20,000 . However ,concerning security purposes ,in common the vehicle bought with the money lend by bank is hypothecated to the bank.
Equated Monthly Installment(EMI):
A fixed payment amount made by a borrower to a lender at a specified date each calendar month. Equated monthly installments are used to pay off both interest and principal each month, so that over a specified number of years, the loan is paid off in full.
EMI calculator:
It gives you the payment schedule containing principal and interest rate break up in each EMI, thus providing you with effective interest and cost that you have to pay to the lenders .It mainly helps for comparing loan offers from lenders.
Online tools:
Like EMI calculator ,availability of online tools helps you to assess your eligibility for purchasing the bike ,for which you have to provide your personal details ,income proof-for repaying capacity ,residential proof ,thus enabling you to know about the loan amount ,tenure ,monthly payment that includes documentation and processing charges .In addition to this ,if you select the bike model and bank name, details will be displayed regarding the offers available at each bank ,loan amount along with EMI payment schedule ,tenure etc. With the aid of this tool, you can select the bank which provides loan at reasonable interest rate that economically suits you ,avoiding unnecessary hassle .This makes the customers more self-satisfied with quicker approval of bike loan.