Types of Two Wheelers for Which You Can Avail Loans

A two-wheeler is one of the most common types of vehicles you can find on Indian roads. It is especially prevalent in cities where the modes of public transportation are inadequate. There are various types of two-wheelers that you can purchase, based on your needs and your budget. If you don’t have the necessary lump sum amount to buy a two-wheeler, you can buy the vehicle by applying for a two-wheeler loan. Here are the different kinds of motorcycles you can buy by taking out a loan.

Scooters

Also known as a motorcycle without gear or a gearless bike, a scooter is the most common type of two-wheeler that you can see on Indian roads. Scooters are ideal for college-going students, who are not permitted to ride geared bikes, until the age of 18 years.  Typically, lenders provide 100% of two-wheeler finance when you take out a loan to buy a scooter. You may repay the loan in pocket-friendly EMIs, within tenures lasting from 2 to 5 years. So, even if you opt for the most expensive scooter, your monthly EMI will not exceed ₹3,000 to ₹5,000, based on the interest rate and tenure you choose

Standard geared bikes

Unlike a scooter, a geared bike is one which has better horsepower and individuals above the age of 18 may purchase geared bikes. A standard geared bike is known for being extremely economical, and they often fit into the budget of all kinds of borrowers. The EMIs payable for geared bikes are usually lower than those for scooters since they cost a lot less than scooters. Despite the small price tag, standard geared bikes are known to offer excellent mileage and are ideal for Indian roads. Also, like with scooters, you can avail 100% finance when you take on a bike loan. You may repay this loan in tenures lasting anywhere between 1 and 5 years.

Luxury bikes

If you’ve always dreamed of buying a luxury bike but can’t afford to pay the lakhs of rupees in a lump sum, you can always take out a two-wheeler loan and bring your dream bike home. Luxury bikes are those that come with price tags exceeding ₹100,000 and up to ₹1,500,000 or more. Since these vehicles come with expensive price tags, your lender may not provide 100% finance. You may need to provide a down payment or margin of 15% to 25% of the on-road price of the bike. The lender determines the interest rate based on the vehicle you choose, the down payment you provide and the loan tenure you select. Typically, the loan repayment tenure for luxury bikes is 3 to years or more.

Dirt bikes

Bike lovers, who love to take off on adventures and participate in bike races, can consider purchasing a dirt bike. You can avail a 2 wheeler loan to buy your dirt bike. Like luxury bikes, dirt bikes are also expensive and may cost anywhere between ₹100,000 and ₹500,000. Also, like luxury bikes, you need to provide a down payment if you intend to take on a loan to buy a dirt bike. Lenders do not offer 100% finance for luxury bikes, and the interest rate and loan repayment tenure (not exceeding seven years) depends upon the on-road price of the bike and down payment.

Final word: So, if you’re in the market for a bike, you can always apply for 2 wheeler loans. Remember to research about the different lenders, especially the interest rate and repayment tenures they’re offering before you send your loan application.