Two-wheeler loans are the easiest of all loans to avail of. The customers can get a two-wheeler loan within a period of 6 hours to 1 week ( 7 working days ) and buy their dream two-wheeler. As per the times where all the youngsters love speed, thrill, and all the adrenaline secreting in them, the bikes have become more and more advanced and thus more costly. In the previous time, not long back, just 20-25 years back, no one would have thought that a bike would cross an even a total value of 1 Lakh Rupees, but this has changed now. So with the changing time, how could our two wheeler loan remain the same. So it was a time to change which happened in the financial activities of 2002, where a lot of drastic changes were made in the banking and finance sector and thus made loans quite easy, emphasis on two wheeler loan. Earlier the minimum rate of interest was 11.57%, but now with a decent credit score, it is reduced to 10.35%. We’ll discuss these points and by then you’ll have a clear understanding that what shall be known to a customer before the person should apply for a personal loan and why is it necessary:-
1) Loan Amount: As obvious as it sounds, a person should have a clear understanding that how much amount is required by the individual and does he have the necessary means to repay that particular amount. The individual should know why he needs the amount so he can make logical reasoning for it and thus can further think about the loan amount.
2) Interest Rate : Also another obvious point, as different banks are having different Two Wheeler Loan Interest Rate, a person should know the rate of interest of his bank. This would help him to calculate his monthly EMIs and total repayment amount.
3) Repayment Period: Usually the repayment period lies between 1-7 years. The person should be aware of his present conditions and thus decide that in how many years and months he can repay the total amount of the loan.
4) EMI: Keeping the above 3 things in mind a person shall calculate his monthly EMI and can decide if he is capably fulfilling the EMI.
5) Prepayment Option: Always know your Prepayment option so that you can have a clear picture of the further payment process.
6) Credibility of Lender
7) Disbursement of Loan: This means that at times the loaner wants to fulfill the whole amount before the tenure is ending. Thus he needs to know the time for Disbursement of the Loan. Generally, it’s 6-12 months but depends upon bank to bank.
8) Loan Process Simplicity
Conclusion: Every individual is having their circumstances and depending upon them, there are decisions and choices, a person can make in their life. The same is the case when it decides against taking a personal loan. So a person should analyze his conditions with a clear mind, grab knowledge of it from everywhere, access them carefully, and then take a well-versed decision.