What is the document requirement for a bike loan?

iraikarnatasha

Traveling to places is an integral and necessary part of our daily lives. The dependency on public transport for commuting short distances involves a lot of hassle and is quite time consuming. Public transportation may be an inexpensive option for the working middle class, but it involves quite a lot of hassles. Hailing a cab for traveling short distances is a probable option but it includes an additional financial expenditure to the individual’s life. The purchase of a car is an expensive expenditure which a lot of individuals cannot afford. One of the most suitable options for an individual from the working middle class is buying a two wheeler. A bike is an easy and simple way of traveling short distances without any problems. Owning a two wheeler reduces the stress an individual faces. A customer who has decided to buy a bike can go for a bike loan for handling the finances of purchasing a bike.

A bike loan is a loan product which is provided by financial institutions. In a bike loan, the funds for the purchase of the bike will be provided to the customers at a specific interest rate. With the help of a bike loan, a customer can buy a bike without using up their savings account that helps a customer in maintaining their savings account for a rainy day. A bike loan is easily available at all the all financial institutions. In a bike loan, the loan amount for the purchase of the bike are provided to a customer. The repayment on a two wheeler loan is done through equated monthly installments. The repayment which is done through monthly installments reduce the burden on the customer for the repayment. Generally, a bike loan is provided at a fixed interest rate, which means, the customer will need to pay a fixed amount every month throughout the tenure period of the loan.

The document for bike loan are listed below:

Completed application of loan

Identity proof-

  1. Ration card
  2. PAN card
  3. Passport
  4. Voter’s ID

Age proof-

  1. PAN card
  2. Birth certificate
  3. 10th class marksheet
  4. Passport

Address proof-

  1. Utility bill (telephone, electricity, water, gas) – less than 2 months old
  2. Letter from a recognized public authority that verifies the customer’s address
  3. Bank account statement or Bank passbook

Documents of income-

For salaried individuals

  1. Form 16
  2. Letter from employer
  3. Pay slip of last 2 months
  4. Promotion or increment letter

For self-employed individuals or businessmen                                                                                                                        

  1. Income tax returns of the last 3 years of applicant with computation of income duly attested by a CA
  2. Balance sheet and loss, profit account of last 2 years
  3. Brief introduction of profession or business
  4. Proof of investments
  5. Certificate of practice
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Published by iraikarnatasha

Natasha Raikar, a banker who workes with Bank of Baroda. During her free time, she writes about banking services, updates and information about loan facilities and relevant topics.

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