Things to Consider Before Buying a Bajaj Auto Credit Two-wheeler Loan

There are countless choices in the market when it comes to two-wheelers. This variety in models with different features may lead to confusion. Either way, the majority of these vehicles come with a huge price tag, especially when premium two-wheelers are included in the deal. This is where a two-wheeler loan can help you buy your dream vehicle. 

However, before you decide to finance your next two-wheeler, you should be clear about some crucial aspects.

This article explores such factors to help you achieve a bike loan efficiently.

• Credit Score

Your credit score determines your two-wheeler loan eligibility. Lenders use this score to examine your financial responsibility and trustworthiness. It ranges from 300 to 900, with a higher score corresponding to a better credit profile. 

CIBIL ranks you on credit score, which is recognised by most banks. To reduce risk, lenders like Bajaj Auto Credit often look at your credit score to assess how likely you are to repay the loan. Lenders usually consider credits above 750 points as good. 

You should only apply for a Bike Loan after checking your credit score. Understanding your creditworthiness before obtaining a loan helps you to choose which financial institution to approach. It also gives you an estimate of the interest rates you might get.

• Eligibility Criteria

While your credit score is an important factor, lenders also look at other determinants while making a decision on your eligibility for a two-wheeler loan.

Below are the specific eligibility criteria to get Bajaj Credit:

• Age: You must be between 18 to 65 years old at the time of the application.

• Residential Stability: You must have lived at your present address for at least a year and should be able to prove your stability

• Employment Stability: You should have worked in secure employment for a minimum of one year or you should be self-employed with consistent IT returns that cover the last two years.

• Credit Score: A good credit score with credit bureaus is a must. 

• Documentation: You must have a permanent phone number and submit KYC documents as required. 

• Maximum Loan Amount

Knowing the maximum amount of loan you are eligible for is important before you plan your purchase. It gives you an idea of the range of motorbikes available and the amount of money to be spent in the long run. While the higher loan amount may be necessary to afford a more developed model with extra features, it will also make the monthly repayments bigger.

Must Read: What Documents Are Required for a Bajaj Auto Credit Two-Wheeler Loan?

The credit score doesn’t just affect the loan but also the interest rate. In most cases, borrowers with higher credit scores get better terms and lower interest rates. It means they will pay less for the loan in the future. They also get a bigger loan amount without requiring any down payment. So, if you want to buy a premium bike on loan, strengthening your credit score is the best course of action. 

• The Process of Loan

Applying for a two-wheeler loan is relatively simple. Institutions and banks mostly offer online application options. With these facilities, you can easily get the money for your two-wheeler without visiting physical branches. Simply fill in your personal and vehicle details, check eligibility, and provide the necessary documents. Then, the bank will assess your application. If approved, you will get the money to buy your dream vehicle. 

Conclusion

Before taking a two-wheeler loan, you must assess your finances well. Ensure you can afford loan payments without compromising your current situation. Non-payment of loan repayments will be a serious risk, so it is necessary to be careful when borrowing money. 

Account for your monthly income, expenditures, and other financial obligations before financing your two-wheeler. This way you can prevent stress and strain on your wallet later.

Explore Bajaj Auto Credit’s two-wheeler and Bike loan designed to meet your requirements.