According to research, the number of credit served consumers increased significantly from 91 million in 2017 to 179 million in 2021, rising the expected credit serviced levels from 12% to 22% of the adult population.
Credit that has not been received has decreased from 67% in December 2017 to 50% in December 2021. However, it remains a significant component of the total matrix.
Unserved consumers’ lack of credit score and history is a barrier to credit chances. Many lenders are cautious about giving credit to people who have no credit history or score.
However, getting a two-wheeler loan is a seamless process and lets a consumer buy their dream vehicle in a few hours with a two-wheeler loan instant approval.
A two-wheeler is a necessity in today’s world, and one must consider various factors before taking a loan to buy one.
Reasons to Take Out a Loan When Purchasing a Two-Wheeler
Taking out a bike loan to purchase a bike is a wise decision because the applicant can pay it off over time. It also removes the stress of repaying the entire sum at once. Further, they can also select an appropriate EMI for their monthly budget.
1. Quick & Easy Approval
Obtaining a two-wheeler financing is now quite simple. Since the procedure is online, it runs smoothly and quickly.
Complete the application, upload the documents, and the loan will be granted in a few hours. Further, the paperwork for a two-wheeler loan is modest, eliminating any inconvenience and speeding up the application procedure.
Identity, address, and proof of income are the basic documentation required.
Getting a two-wheeler loan with Muthoot Capital is straightforward and two-wheeler loan instant approval is their main plus point.
2. Flexible Repayment
Two-wheeler loans come with flexible repayment tenures. Usually, it has a longer repayment period, which is beneficial to people who desire the vehicle with the convenience of low monthly payments.
A longer repayment period equals a less amount of EMIs. Long-term loans, however, may have significant interest rates; therefore, choose the tenure wisely based on financial condition.
Muthoot Capital provides loans with a range of repayment options, ranging from 12 to 48 months.
3. Affordable Interest Rates
One of the best things about getting a two-wheeler loan is the affordable interest rates.
Borrowers can acquire a loan from Muthoot Capital for as little as 0.99% p.a.
4. Up to 100% Loan Schemes
Opting for a bike loan has numerous benefits; one of them is that some lenders will lend up to 100% of the cost of the two-wheelers.
However, the loan amount will be determined based on the borrower’s income, credit score, and the type of two-wheeler they want to purchase.
Applicants can borrow up to 100% of the two-cost wheelers with Muthoot Capital.
5. Boost Credit Score
Bike loans are simple to repay, and they are an excellent method to establish credit.
This loan will prepare the path for future loans, such as higher education, marriage, or homeownership.
A two-wheeler loan is a convenient way to pay for one’s bike in monthly instalments.
However, one needs to consider other things before taking out a loan to purchase a new two-wheeler. Before taking out a loan to buy a new two-wheeler, applicants need to assess their financial situation.
This will enable them to determine whether they can afford the EMIs without experiencing financial hardship at the end of each month. It should not be tough to purchase a new two-wheeler as long as their savings plans are clear.Further, applicants can also calculate EMI through the EMI calculator to estimate their monthly costs.