“Get instant loan in five minutes” or “You have a pre-approved loan for your next vehicle purchase” – you’ll often find mails with such subject lines in your inbox. Most of it may land in the trash but when you come to think of it, acquiring the finance for any kind of purchase has become really easy. Gone are the days when you had to rack your brains over money to own your dream bike. Now, simply go to the nearest bank, fill up a few forms, submit the documents and you’re good to go. So, are motorcycle loans hard to get?

The Rundown

We’re getting right to the point to answer your question: Getting a motorcycle loan is extremely easy and non-problematic. Availing a loan for the purchase of a two-wheeler is one of the easiest things to do provided you have all your documents in place and you meet the criteria. Adding to this, manufacturers and dealers have their tie-ups with banks, offering great deals that work in your favor when getting a loan. It sure is easy, and we’re here to tell you how to go about it. Here are some steps and tips that will help you with the process.

Choose The Bank

Once you’ve decided on which motorcycle you want to purchase, the next step is to pick the bank from where you wish to avail of the loan. Almost every bank provides a loan for two-wheeler purchases and almost every bank has an easy process. Naturally, the decision is hard to make. What one needs to keep in mind is the interest rate charged by the bank on the loan. Though the interest rate charged on a motorcycle loan is said to be minimal as compared to other loans, every bank has its separate rating system. Whichever bank provides the lowest interest rate is considered to be a good choice.

Secondly, look into any deals the manufacturers or dealers have with any banks. Heading to a bank that has a tie-up with your manufacturer or dealer will often have some benefit or the other for you. Do also pay attention to the relationship you share with the bank and how much you can negotiate the interest rate. Lastly, keep an eye out for deals and offers, especially during festivals; some banks even provide 100 percent finance on motorcycle purchases.

Factors That Determine Your Bank Loan Approval

Availing a bank loan is easy mainly because the banks make it easy for us, but to a large extent, it also depends on you. Factors like a good credit score, decent annual income and employment can increase your chances of getting a good bike loan, making the process even easier for you. Read on to know more.

Credit Score

A credit score is a score that you acquire on the basis of your other loans and general financial activity. It plays an important role in acquiring loans; higher the score, higher your chances of getting a loan approved. Banks are at a risk of losing the money as there’s nothing on mortgage while approving a bike loan and thus, Credit Score plays a vital role. A lapse in the payment of installments or delay in the payment leads to a bad credit score, which means properly managing your finances makes it that much easier for you to get a two-wheeler loan.

Your CIBIL (Credit Information Bureau (India) Limited) Credit Score can be checked through CIBIL itself. It determines the interest rate that you are charged by the bank. A good Cibil Score is always helpful as it demonstrates how disciplined you are when it comes to finances. You may be able to avail of certain benefits or negotiate the interest rate on the basis of it. Now, there are also options to acquire a loan even if you have a bad Credit Score. There are many lenders that provide you with the money to make your purchase. But the interest rates vary and generally, it is a little higher than what is charged if you have a good Credit Score.

Also read: CIBIL Score for Bike Loan in India

Employment Status

This is one of the most important factors while determining loan approval. Banks do check and verify your employment status before sanctioning a motorcycle loan. This is just a precaution to ensure that you’ll be able to repay the loan in time without any hassle. Being employed makes it a lot easier for you to get a loan approved. Additionally, your duration in the company also directly impacts it as it’s a reflection of your loyalty, and loyalty matters when it comes to bank loans.

Annual Income

Banks also check your annual income before approving a bike loan, or any kind of loan for that matter. The amount approved by the bank is on the basis of your income. Whether you’ll have the surplus amount to repay the loan or not is determined through the annual income you draw. The more the income, the easier it is to get a motorcycle loan. Since the investment in a motorcycle is less than any four-wheeler, you can get a loan even if you fall within a low-to-medium salary structure. You can also check your eligibility to avail of a bank loan on the basis of your annual income with the help of an app or online.


Even though the hassle of availing a bank loan for a motorcycle purchase is much less than any other type of loan, you will require some identity and address proof to get the loan approved. A verification process of the documents submitted is carried out by the bank and only after a thorough re-check is the loan granted to the customer. You may also have to provide an employment letter from your company confirming that you are an employee with them.

EMI Structure

The EMI structuring depends on the tenure of the loan and the monthly amount that will be paid. Your Credit Score plays a prominent role here for the bank to structure the installments. You can check an EMI calculator and understand how much money you’ll have to shell out each month depending on the plan you choose. This is where we can help you even more, since we can help with calculating bike loan EMIs.


As you’ve seen, motorcycle loans are effortless to get, and with the advancement in technology, you can even apply for a motorcycle loan through apps and online. Make use of the ease with which you can own your motorcycle, decide whether you’re better off with a full payment or an EMI plan, and start your journey to fulfilling your dream.