Bikes are considered one of the most preferable private modes of transportation in India. Being economically efficient and available as an easiest way to travel through crowded roads and streets of the country, they also remain high in demand. Simultaneously, the demand for bike loans has gone up too in recent times. Individuals find it easier to purchase their choice of bikes with financing options like two-wheeler loans that ease their affordability instead of exhausting their lifelong savings.
Thanks to the simplified document requirements, financial institutions have only made these advances easily accessible. When planning to apply for the advance, make sure to check and keep ready all the documents required for bike loan for streamlined application processing.
List of Documents Required for Bike Loan
Below is a detailed list of standard documents you would need to provide when availing a two-wheeler loan.
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KYC Documents
Identity proof: It can include Aadhaar card, PAN card, voter ID, driving license or any other ID proof issued by the central, state or local government with attached name and photo.
Address proof: Documents serving as proofs of address include any documents issued by an authorised body with the individual’s permanent address, such as Aadhaar card, Voter ID card, Passport, ration card, utility bills, etc.
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Proof of income
Any document that certifies to the applicant’s income stability can serve as a proof of income. However, the documents differ for both salaried and self-employed applicants, with the exception of bank account statements and Income Tax Return filed.
Salaried applicants need to provide salary slips of stipulated previous months or Form 16 as income documents required for bike loan. In the case of self-employed applicants, income documents needed include balance sheet, profit and loss statements, cash flow statements, etc. audited by a CA.
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Proof of occupation
Salaried and self-employed applicants also need to provide their proofs of occupation establishing their occupational stability. For salaried individuals, identity proof issued by the employer, experience certificate or employment letter would suffice as a proof of stable occupation.
In the case of self-employed individuals, company registration certificate, memorandum of association, partnership agreement, GST registration certificate, etc. can serve as proofs of occupation.
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Photograph
Applicants must also provide their passport size photograph along with other documents needed to complete the paperwork.
Note that the list of documents is only indicative and that the lender can ask for additional documents as and when needed to complete verification and loan processing.
One needs to accompany all these documents along with a filled-in bike loan application form for further processing to be initiated. Make sure to fill in the application form correctly with all personal, employment and financial details for easy loan verification and processing.
As bike loans are secured advances, you must consider the down payment you would need to make initially to avail necessary funding for your selected two-wheeler purchase.
Alongside documents required for bike loan, lenders also lay down essential eligibility requirements that borrowers need to meet to avail funding. Essentially, these requirements form the backbone of paperwork completion, thus being indicative of what you would need to provide to back up the eligibility criteria. Below is the standard list of requirements you must meet to avail a bike loan.
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An applicant must be above 18 years of age.
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He/she must also be a residing Indian citizen.
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For salaried employees, a minimum total employment of 1 year is essential with a minimum duration of 6 months in the current job.
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In the case of self-employed applicants, a minimum business vintage of 1 year is needed.
While the eligibility and documents required for bike loan remain simple, you must take care of other essentials to ensure a smooth loan processing. Opt for the online application process to experience fast-tracked initiation and completion of loan approval with the right eligibility fulfilment.
Also, Know about two wheeler loans Mumbai.
