Premium bikes are gaining more popularity in the two-wheeler segment. These bikes are the ones with an engine displacement of 200cc and more. Intuitively, more the engine displacement more is the power and by tweaking various elements of technical parameters, the premium bike can offer top class specifications of torque, bhp, and acceleration.
However, all premium bikes come with a price tag and sometimes a rather big one. So how can you fund the bike of your choice?
Funding Premium Bike Purchase
Often, the means to achieve your life’s ambition is riddled with obstacles especially the financial kind. But, in today’s highly competitive world that is a thing of the past as Tata Capital can help you acquire your favorite bike through a well-structured two-wheeler loan in India.
Let’s start with the basics. The premium bikes can be classified into two – bikes up to a value of Rs 3 lakh and bikes above Rs 3 lakh value (known as superbikes). The terms and conditions for extending a bike loan are obviously different for each category. Let’s see what these are.
A brief summary of the eligibility conditions, which are detailed here for standard bikes:
Age: If you are a person aged between 21 and 60 years of age you are eligible to apply for a two-wheeler loan (standard bikes).
If you are a person aged between 21 and 60 years of age you are eligible to apply for a two-wheeler loan (standard bikes).
Occupation: You need to be a salaried employee or a self-employed person. As a salaried person, you need to be in continuous employment for one year. As a self-employed person, you need to be in the profession or business for a minimum period of one year.
Income: You need to show a regular source of income.
Bike Loan amount: You can avail a two-wheeler loan amount from Rs 25,000 to Rs 3,00,000, subject to a cap of 95% of the value of the two-wheeler.
Tenure: You can repay the bike loan in 6 months or you can take up to 60 months.
Residence: You need to prove you stayed in the same residence for at least one year.
A brief summary of the eligibility conditions for premium bikes:
Age: If you are a person aged between 21 and 60 years of age you are eligible to apply for a two-wheeler loan (High-end bikes).
Occupation: You need to be a salaried employee or a self-employed person. As a salaried person, you need to be in continuous employment for two years. As a self-employed person, you need to be in the profession or business for a minimum period of two years.
Income: For Salaried- Rs.15,00,000 and For Self Employed- The business income should be Rs.5,00,000
Residence: You need to prove that your residence is your own or owned by your parents/spouse.
The documentation is an important aspect of the process for availing a two-wheeler loan in India and documents are required to show proof of your identity, income, residence, and ownership of property as the case may be. As supporting documents, you need to submit 6 months bank statements, 3-month salary slips, and 3-year ITRs. The proofs are standard documents such as PAN, passport, driving license, bank statements, and ITRs.
As you can see from the above, the terms and conditions are different for standard and premium bikes, understandably so.
Now that you know that you can get a two-wheeler loan, you can assess your eligibility based on the above and decide for yourself what kind of premium bike you want to own. Almost all the top brands in India have premium bikes in their product range.
Several international brands have launched superbikes that are super expensive ranging from Rs 10 lakh to Rs 85 lakh. Remember that in the case of superbikes above Rs 3 lakh you need to bring in your own capital of a minimum of 35% of the value of the Superbike you want to own.
Tata Capital would extend a two-wheeler loan to the extent of 65% of the value of the bike subject to your financial creditworthiness. So, without much ado check out the application process and apply here for a bike loan.