Are you reluctant to go in for a two-wheeler loan in Coimbatore? Or thinking, what are the benefits you will get by going for a vehicle loan? Well, your concerns are understandable as there are pros and cons to availing of a loan. Repaying the loan with interest is the worst part. However, it is inevitable as any financial institute would like to make profits. Today, opting for a two-wheeler loan has become a common trend in the market. You will find many finance companies that offer loans at low-interest rates and easy EMI options. Furthermore, you can also get a loan for used bikes and scooters that are in good condition.
Why opt for a two-wheeler loan?
Open for salaried and self-employed individuals:
Whether a borrower is a salaried person or a self-employed, they can avail of a two-wheeler loan in Coimbatore. Though the rent at Coimbatore ranges from 25,000 to 30,000 in posh areas, your minimum income for survival is Rs. 17,000/- per month. Today, many get a monthly salary that exceeds a minimum of 10K or 15K. Furthermore, low-income groups, say an annual salary of Rs. 96,000/- would get loans with easy repayment options. Your annual income need not come under the taxable income range. Even self-employed individuals avail of two-wheeler loans though they have funds to purchase for obvious reasons.
Fulfills your immediate financial needs:
When you take a two-wheeler loan, you will not face a financial dilemma at that time. The easy EMI options with higher repayment duration enable you to pay back the amount to the Banks, NFBCs, and other financial companies at fixed interest rates within your income. It lets you plan your finances to pay a certain amount to the lenders monthly. Furthermore, you can get a two-wheeler loan in Coimbatore even for used or second-hand vehicles that function well. Hence, the two-wheeler loan lightens your burden in buying a two-wheeler vehicle.
Improved Credit Scores:
Personal, business, car, and home loans involve substantial funds. As delinquency and defaults have become common, it has become challenging to get loan approval. A two-wheeler loan is a consumer loan that involves a lesser amount. Hence, the repayment of two-wheeler loans in Coimbatore is the easiest among other loans, which improves your CIBIL score and creates a base to avail of the higher amount of loans.
Attractive interest rates:
The interest rates for two-wheeler loans in Coimbatore vary from 8% to 22%, depending on factors like the cost of the vehicle, the type and brand, and the repayment duration that a borrower chooses for buying a two-wheeler loan. It also depends on the bank or a financial service company you approach, the date and time of your employment, the income range, bike specifications, etc. According to reliable sources, banks and other financial institutes offer loans at low and feasible interest rates.
Flexible repayment options:
Today, the borrowers need not wait for a long time in the queue outside banks and offices to get their loans sanctioned. Many reforms have taken place in the loan approval process over the past few years, reducing the processing time to 24 hours. Moreover, the repayment duration varies from 12 to 48 months, which makes it easy for the borrower to repay the amount in small investments. Many companies offer pre-approved loans to the customers who approach them for loans to buy a two-wheeler. All you need to do is to present a sanction letter in the showroom and select your desired vehicle. If you need an extended loan period, you can get it up to 60 months or 5 years instantly with flexible repayment options.
The Indian Motor Act passed the laws that banks and other financial institutes should sanction insurance and accident coverage with vehicle loans. Some financial institutes offer 100% of the on-road value in pre-approved loans and fund the full amount mentioned in the invoice, including accessories. The loan would also cover costs like insurance, accessories, and registration.
Two-wheeler loan has attained popularity in Coimbatore and India. Gone are those days when you would find only the first-hand vehicles in the showroom. If you find it tough to buy an expensive vehicle and are unsure about the repayment, you can always opt for the used two-wheeler loan in Coimbatore initially to serve your purpose.