A two-wheeler provides you the ultimate ease for your day to day commute. As compared to a four-wheeler, a two-wheeler is an economical option and also easy to handle in Mumbai’s traffic snarls. Still, if you do not want to spend all your savings on this one big purchase then you can opt for a two wheeler loan. Availing a two wheeler loan is a simple task these days. You can avail a bike loan for your bike right at your fingertips even before you choose the dealer.
If you decide to avail two wheeler loan you need to look at a lot of things before you to take the loan. There are many things which you need to manage to get the best deal out for your loan. Yes, one of the important things is the interest rate charged, but along with this, there are other aspects such as the loan amount and tenure. Of these, you need to specifically take into consideration the tenure of your loan which is ultimately based on your loan amount and repayment capacity.
The tenure of your loan directly affects your EMI and also the two wheeler loan’s interest rate. You need to ask yourself how long or short do you want your tenure to be? What is the perfect two wheeler loan tenure? Let’s find out.
The tenure that you choose for your two wheeler loan depends on many factors. Each two wheeler loan will have a different range of tenure. If you take a maximum loan tenure, then this will lead to a small value for each EMI that you pay but the number of these EMIs will increase. This will also lead to an increase in the overall interest rate. If you choose a shorter tenure, then the value of each EMI will increase and the number will reduce. This will also lead to a comparatively low rate of the overall interest rate. A smart way to choose the tenure is to see how much you can pay monthly.
To get an estimate of what your monthly EMIs can be, you can use the two wheeler loan EMI calculator. You can choose a longer tenure to start with and see what the estimated EMI is and then shorten the tenure and to see what estimated EMI amount you get. Taking all of these into consideration you can decide on the tenure for your two wheeler loan.
The maximum tenure of 2 years is ideal for an applicant who wants to become debt free soon. Indiabulls Dhani offers a tenure of 3 to 24 month for a two wheeler loan. Also, Indiabulls Dhani does not keep your bike or scooter as collateral so you can take your bike home as soon as you buy it.
All said and done, the tenure of your two wheeler loan should be as long as you need and can afford. If it exceeds more than your repayment capacity, then the interest rate will keep will increasing and it can soon turn into a stressful situation.