If you’re done with relying on the untimely availability of public commutes and paying surge charges for cabs, it’s a sign that you’ve started thinking about getting yourself a brand new two-wheeler; a bike that would help you glide your way through the traffic, and save a lot of your time. Two-wheeler loans, readily available in the market today, can spare you all the hustle and make your daily ride to work more comfortable. However, it is very important to make the right choice from among the various two-wheeler finance options available in the market. Check out some two wheeler loan questions you should ask while taking it.
Here are 10 questions that you must ask yourself and the lender before you seal the deal.
1] How much is the down payment?
If you go for a two-wheeler loan, you must first analyse how much is the margin money and how much amount is to be financed by the lender. Usually, the extent of a two-wheeler loan varies between 80-90% of the total amount. But with TAB Capital, you can avail a two-wheeler loan of up to maximum amount depending upon your eligibility.
2] What is the loan application process?
Usually, a loan application process in the traditional lending system could eat up a lot of your time, running errands to the bank. But TAB Capital makes your loan application process swift and seamless, done completely online.
3] Can I afford the EMI?
Analyse the EMI cap wisely, so that the monthly repayments do not pose a financial burden on you. Some lenders offer long loan repayment tenures, which in most cases turn out to be beneficial for borrowers. TAB Capital offers attractive interest rates and long repayment tenure of up to 3 years on two-wheeler loans.
4] When is the EMI date?
Once the EMI date is fixed, you might not be able to change it. So, fix up on a date where you can pay off the monthly amount without any EMI bounces.
5] Are there any hidden charges?
Apart from the interest, you may also need to pay a processing fee or an administrative fee on the two-wheeler loan, which is either fixed or a certain percentage of the loan amount. Sometimes, you may also have to bear charges of the loan application, valuation fees, stamp duty and lawyer fees. But online lender, such as TAB Capital do not impose any hidden charges on bike loans.
6] How is the interest rate calculated?
It is advisable to compare the EMI of various financers who offer you a similar amount and repayment tenure. Sometimes, even when the interest rates are the same, in actuals, different ways of computation lead to an EMI reduction. So, conduct a due diligence before settling with a lender. You may also look up the EMI to be borne by you with the help of online EMI calculators.
7] What supporting documents do I need?
You must keep all the important documents ready before you reach out to the lender. Make sure your KYC documents, bank statements, income proof certificates, and other supporting documents which testify your present financial freedom, ready at hand.
8] Is there any collateral required?
Some lenders would ask for a security against which would they loan out the money to you. However, online lenders such as TAB Capital provide two-wheeler loans without any collateral.
9] Is there any prepayment penalty?
You might want to pay up the remaining loan at one go after you are rewarded with a sale of shares or just a bonus! However, some lending institutions levy a pre-payment penalty of 0.25-2% depending on the nature of your loan. Thankfully, TAB Capital do not impose any prepayment penalty on you.
10] When will my two-wheeler loan be approved?
Loan approvals can be a time consuming and cumbersome process if you opt for a two-wheeler loan through the traditional lending system. Nevertheless, TAB Capital can approve your two-wheeler loan in minimum amount of time.
Apply for your two-wheeler loan with TAB Capital and get set vroom!