Questions You Must Ask Before Choosing a Loan Provider for a Two-Wheeler

In densely populated cities, commuting through public transport is not easy due to which many people prefer private vehicles like bikes and scooters for comfort. Before looking for comfort, one must know that buying a personal vehicle requires significant investment. The 2 wheeler loan interest rate is a crucial factor that determines your monthly EMIs. Given below are some factors that one must consider and ask questions about to clear all of their doubts.

1. Understand your budget:

The first thing before choosing a loan provider, finalize your budget. Other costs, such as maintenance, fuel cost, insurance premium, etc., are factors that one must consider. Never buy a two-wheeler that goes beyond your budget as it can increase the amount of monthly EMI which can be challenging to pay.

2. Interest rate of the loan:

All lenders offer loans at different two-wheeler loan interest rates. Compare other lenders and don’t jump on the first loan, you see. A simple search online can help you get an idea of the types of two-wheeler loans and their interest rates. Other factors like your credit score, age, other liabilities, current assets, and your other ongoing loan are important in deciding if you will get a loan or not. If you have a low CIBIL score, then you will get a higher interest rate. However, if you have excellent previous track records, you can quickly negotiate with the lender to reduce the interest rate.

3. Choose a repayment plan that suits you:

Before finalizing a loan, always ask your provider about different loan repayment types. One should have a solid plan for paying back the loan on time. Discuss with your lender and ask further questions to make an informed decision. Once you get the loan of your choice and bike finance interest rate that suits you stick to the repayment structure you choose. It is advised to select flexible EMI’s and grace periods to reduce the chance of default.

4. Focus on the total cost and not just of the monthly amount:

One of the most common mistakes that customers make while deciding on a two-wheeler loan is that they easily get carried away with small monthly EMI’s without calculating the total amount they have to pay. It is best if you consider the total cost of the two-wheeler as monthly installments have many other hidden costs such as taxes, delivery cost, etc. unless you ask about these charges you would be kept in the dark by many providers. Always read the terms and conditions of your loan before finalizing one.


Before finalizing a lender for availing a two-wheeler loan, one of the most important things to remember is that you need to do your research. The article helps you go through the most crucial steps, and you can rest assured that you will be availing of one of your city’s best deals. A two-wheeler loan can help you purchase your dream bike without worrying about paying the whole amount at once.



Hi, I am, a professional blogger. I have done MBA in Finance and worked in many finance organizations. I have worked on top financing firms for the past 4 years. Recently I am working on various blogs.