Two-wheeler loan
Two-wheeler loan — finance a new bike or scooter
A two-wheeler loan spreads the cost of a bike or scooter over a fixed term, with the vehicle itself serving as security. Lenders fund most of the on-road price, so the down payment stays small — but the on-road figure includes registration, insurance and accessories, and lenders differ on which of those they will finance. Compare on the total you repay, not on the EMI alone.
Why borrowers pick it
What a two-wheeler loan gives you
Low down payment
Partners fund most of the on-road price, so you ride away after a modest upfront payment.
Short tenures
Short terms keep total interest low relative to longer vehicle loans.
New and used
Several partners finance pre-owned two-wheelers, subject to the vehicle's age and valuation.
Dealer-linked disbursal
Funds go directly to the dealership once the invoice and registration details are confirmed.
Eligibility
Who qualifies for a two-wheeler loan
Criteria differ by lender. These are the ranges our partners commonly apply — the exact rule is shown on each offer.
Salaried applicants
- Within the lender's age limits at loan maturity
- A steady net monthly income that meets the lender's minimum
- Stable employment in your current job
- A valid driving licence
Self-employed applicants
- Within the lender's age limits at loan maturity
- An established business with continuous operations
- Your latest income tax return
- A valid driving licence
Paperwork
Documents you will need
Keep soft copies ready before you apply — most partners complete verification digitally.
Identity and address
- PAN card and Aadhaar
- Passport-size photographs
- Valid driving licence
- Utility bill or rent agreement as address proof
Income and vehicle
- Recent salary slips or the latest income tax return
- Recent bank statements
- Proforma invoice from the dealer
- Insurance and registration details once issued
Costs
Interest, fees and charges
The rate is only part of the cost. Read this table alongside the total payable shown on each offer.
| Charge | What lenders typically apply |
|---|---|
| Processing fee | A percentage of the loan amount or a flat fee, set by the lender |
| Interest rate | Set by the lender based on your profile |
| Documentation charge | As per the lender's terms |
| Prepayment / foreclosure | As per the lender's terms, after a minimum number of EMIs |
| Hypothecation removal on closure | As per the lender's terms, plus RTO charges at actuals |
Figures in brackets are placeholders. Final rates and fees are set by the lending partner and are disclosed in the sanction letter before you accept an offer.
FAQs
Two-wheeler loan questions, answered
How much down payment do I need?
Lenders fund most of the on-road price, so the down payment is the balance. A larger down payment lowers both the EMI and the total interest you pay.
Can I finance a used two-wheeler?
Some partners do, subject to the vehicle's age, condition and valuation. Rates on used vehicles are typically higher than on new ones.
Is the vehicle hypothecated to the lender?
Yes. The lender's name is recorded on the registration certificate until the loan is closed, after which you apply to the RTO to have the hypothecation removed.
Is insurance included in the loan?
It depends on the lender. Some finance the on-road price including first-year insurance; others fund only the ex-showroom price. Check what the offer covers before you commit.
Also compare
Other ways to borrow
Compare two-wheeler loan offers side by side
Checking offers is a soft enquiry, so your credit score is not affected.