Keep These Documents Ready To Avail A Two Wheeler Loan Online

Two-wheelers are the perfect vehicles to navigate through congested Indian roads. Their cost-effectiveness, low fuel consumption and ability to travel moderately long distances make them ideal for commuters. However, quite often, your dream of owning your favourite two-wheeler is impeded by your financial situation. This is when a two-wheeler comes to your aid. Banks, captive financiers and NBFCs offer two-wheeler loans at varying interest rates.

Two-wheeler loans allow you to choose from a range of two-wheelers – affordable and expensive. Furthermore, you can choose a tenure for your loan that you’re comfortable with. This way, you won’t have to go beyond your means to pay the monthly EMI while also enjoying the perks of owning a two-wheeler.

Approval for a two-wheeler loan depends on various two wheeler loan eligibility criteria, including your credit score, debt-to-income ratio and credit history. You also have to submit multiple documents during the KYC process. Incorrect or insufficient document submission can lead to the rejection of your loan application. To avoid rejection, keep the following documents ready while applying for a two wheeler loan.

Documents required for a bike loan application

1. Valid ID proof

Valid identity proof is one of the foremost things you must produce during your two wheeler loan application process. It is important to mention that only those ID proofs are valid, which have a picture of you and your name, and are issued by the government. You can submit any of the following documents as your photo ID proof.

a. Aadhaar Card/e-Aadhaar letter
b. Passport
c. Voter card issued by the Election Commission
d. PAN Card
e. Driver’s licence
f. Ration card
g. Birth certificate issued by the Registry of Births and Deaths or by a Municipality
h. Transfer certificate/Matriculation certificate
i. Photo Identity Card issued by your institution (valid for students only)

2. Two recent photographs

You will also have to submit two passport-size photographs of yourself where you resemble your current self. You can submit coloured photographs instead of black and white ones.

3. Valid address proof

A document proving the legitimacy of your permanent and current address needs to be produced. If your permanent address is the same as your current address, then one acceptable proof is satisfactory. Here are a few documents that can serve as valid address proof.

a. Aadhaar Card/e-Aadhaar letter
b. Passport
c. Voter card issued by the Election Commission
d. Driver’s licence
e. Ration Card
f. A certificate confirming your address issued by a government-registered educational institution. Additionally, the certificate should contain your photograph.
g. Utility bills like water, telephone and electricity bills that are not older than three months.
h. Vehicle Registration Certificate

These are some of the most common address proofs provided by applicants. However, there are other documents you can use if you don’t have access to any of the documents mentioned above.

4. Bank statement for the last three months

Before approving your two-wheeler application, lenders will want to inquire about your financial status. Hence, you must submit your bank statement for the last three months. It gives the lenders a good estimate of the percentage of your gross income that you end up spending. This will provide them with a rough idea about your financial obligations. You can quickly get an e-statement from your bank’s app or website.

5. Proof of income

Proof of income is an essential parameter that lenders use to estimate your eligibility for a loan. Proof of income varies for salaried and self-employed individuals.

Salaried applicants need to submit the following documents.

a. Letter of Employment is a must.

You can submit any one of the three:
b. Monthly salary slips for the last three months (You could show salary credit in the bank statement)
c. Form 16 or 16A, which is a certificate for tax deducted at source (TDS)
d. Most recent Income Tax Return (ITR) document

Self-employed applicants need to submit the following documents.

a. TDS certificate
b. ITR of the most recent financial year

6. Details of the company

For self-employed people who own a company, sufficient details about the company need to be provided. This might include company registration certificates, PAN Card and proof of the company’s gross profit.

Conclusion

Proper submission of documents is essential to getting your two-wheeler loan approved. From identity proof to proof of income, ensure you have all the documents ready before applying. To get two-wheeler financing, you can visit Bajaj Markets. The loan application process involves minimal hassles and can be done entirely online. You can also choose a loan tenure you’re comfortable with and pay your monthly EMIs accordingly. Moreover, you can avail of low interest rates, significantly reducing the EMI you must pay every month.