Here is a Bike Loan Checklist for Guaranteed Approval

Bikes are one of the easiest and most popular transportation modes in India. They not only let you sail through the high-traffic roads with ease but also add charisma to your personality. 

If you are looking forward to owning a sporty high-cc bike from your favourite brand, it may cost a considerable sum that you can source from a bike loan. You can become the owner of your dream bike with a bike loan from a reputed lender and pay its price in easy EMIs.

Although you need to repay the borrowed amount within a fixed period, you can use a two wheeler EMI calculator to choose a repayment tenure with EMIs suitable to your repayment capacity. 

If you have eyes on a bike and you want to make it your own as soon as possible, you would want a bike loan with guaranteed approval. However, there is nothing like a guaranteed approval loan. Find this checklist to help you maximize your chances of getting loan approval fast and easy.

Here is a Bike Loan Checklist for Guaranteed Approval

1. The Right Lender

You will find hundreds of lenders in India offering bike loans to borrowers. However, selecting the best NBFC suitable to your needs is quite challenging. You must research, shortlist, and compare lenders based on multiple factors to choose the best one for your needs. 

While comparing lenders, you must take several factors into account, including their loan amount, interest rates, repayment terms, customer service, processing fee, etc. Assess your loan requirement and select the best lender suitable for what you want.

2. Eligibility Check

Checking the lender's eligibility criteria is a crucial step you must take before applying for a loan. Most NBFCs have simple eligibility conditions that most prospective borrowers can easily fulfil.

 These are often related to your age, income, employment, etc. However, these conditions may vary from one lender to the other, and you must check them before finalising your loan application. Applying for a bike loan or commercial vehicle loan you are ineligible for will only lead to loan rejection and a reduced credit score.

3. Required Documents

Although NBFCs have minimal documentation requirements these days, they still require a few essential documents to verify your identity, address, and income. 

Check the lender’s documentation requirements and ensure that you can fulfil them before applying for a loan. Lenders do not ask you to visit their office and submit the documents. You can use their website or personal loan app to scan and upload the documents online within seconds.

4. High Credit Score

Lenders largely depend on your credit score to determine your creditworthiness. They also decide your loan amount and interest rate based on your past credit behaviour. Therefore, plan ahead and maintain a high credit score for several months before applying for a bike loan. 

A high credit score is a sign of consistent repayment history, low debt-to-income ratio, low credit utilisation rate, diverse credit portfolio, and extended credit history. Check the lender’s minimum credit score requirement and check your credit score to ensure that you fulfil it.

5. Suitable Repayment Term

Most bike loan lenders offer flexible repayment terms that borrowers can select based on their repayment capacity. You may use a two wheeler EMI calculator to calculate your EMI amount according to the loan tenure you choose. Longer tenure leads to smaller EMIs, while shorter tenure leads to bigger EMIs. 

However, longer tenure may increase your interest outgo, while a shorter tenure may save money on the total interest cost. Therefore, the trick is to find the shortest loan term with the EMI amount adjustable within your monthly budget.

Personal Loan App

Although you may apply for a bike loan from the lender’s website as well, having a personal loan app on your mobile phone will make the entire process much faster and simpler. Once you download the app on your smartphone, you can create a new account or register via your Google or Facebook account. 

Following that, you just need to provide a few details and upload the required documents to get your loan approval within minutes. The app also has quick links to check loan status, pay EMIs, and perform other loan-related activities. Find an app suitable to your needs and use it to apply for a bike loan online.

The Last Words

Refer to this checklist while applying for a bike loan and improve your chances of guaranteed approval. The key is to compare lenders, maintain a high credit score, and fulfil the lender’s eligibility and documentation requirements to get the loan you require for your dream bike.