SBI Two-wheeler Loan is designed for customers willing to buy a new two-wheeler or a four-wheeler with easy repayment options. This loan from SBI enables customers to purchase two or four-wheelers with hassle free loan offers.
This two-wheel vehicle loan is offered at competitive interest rates and shorter tenure periods, making it the perfect option to finance your vehicle.
The process of applying for SBI Two-wheeler Loan is quite straightforward and simple. All you need to do is fill up the application form online, upload the necessary documents and apply for the loan. The entire procedure can be completed in a single sitting, in just a few minutes.
After submitting your application, SBI will process it within 24 hours and contact you with further actionable points within 48 hours of your submission.
The main advantages of this loan include hassle-free processing time, low interest rates, flexible repayment options and fast approvals. There are no hidden charges or costs associated with this loan offer from SBI and hence you can get the best value for money for your investment.
The repayment period accordingly depends on the limit of your loan offering from SBI Bank so that you can pay back comfortably as per your financial limitations.
Eligibility Criteria for SBI Two-Wheeler Loan
If you are looking to apply for an SBI two wheeler loan, there are a few eligibility criteria that you need to meet in order to qualify. These criteria include age, income, repayment capacity, credit score, etc. To make sure you meet these criteria before applying, let’s take a look at the eligibility criteria set forth by SBI.
Age:
Individuals who are between 21 years and 60 years old at the time of loan application are eligible to apply for an SBI two-wheeler loan. Senior citizens who are above the age of 60 years may also be considered as special cases depending on their repayment capacity and other criteria that fit the bank’s requirements.
However, applicants must ensure that they meet the minimum age requirement going forward during the course of repayment. In case you need to change your age for any reason, it is important to inform your lender about this change immediately.
Income:
In order to be eligible to apply for an SBI Two-wheeler loan, one must earn a minimum income as specified by the bank. Generally, the gross monthly salary should be at least Rs. 20,000 for salaried individuals and Rs. 25,000 for self-employed professionals or businessmen.
For agricultural laborer’s or rural farmers, the minimum income may vary according to the bank’s discretion. Furthermore, the applicant must have a continuous employment period of one year and a minimum age of 21 years with no more than 65 years of age at loan maturity (or retirement).
Additionally, eligible candidates must possess sufficient CIBIL score to qualify as well as provide all necessary documents as mentioned below:
-PAN card
-Aadhar card
-Bank account statement (Current or Saving Account)
-Latest 3 month salary slip or Income tax returns proof
-Age proof documents such as driving license/voter’s ID/passport etc.
Credit Score:
Your credit score is one of the most important factors considered in determining the eligibility for applying a loan with the State Bank of India. A healthy credit score not only means you will have access to various loan offerings with better interest rates and lower EMIs but also indicates your reliability as a borrower.
In case of two-wheeler loans, SBI generally looks for an individual to have a minimum CIBIL score or Credit Information Bureau (India) Limited score of 750 or above. A higher credit score gives you more chances of getting eligible.
Many other banks and financial institutions look at varying credit scores as per their own internal regulations however this varies from bank to bank and institution to institution.
Your credit score may be affected by factors such as multiple applications made over a specific period, overdue payments on existing debts, payments passed due date, negative remarks due to skipped EMIs etc., Your Credit Score represents how reliable and eligible you are in repaying your loan timely without defaulting on your repayment obligations.
It’s important that all your loans are timely repaid at all times in order to maintain a healthy CIBIL Score which helps lenders gauge the borrowers repayment capacity.
Ideally, it is advised to check your credit report once every six months in order to stay up-to-date with all latest credit related updates that can affect your scores positively or negatively thus helping you as an individual take effective measures for increasing or maintaining a good CIBIL Score, thereby making it easier for lending institutions like SBI Two Wheeler Loan Online Apply process hassle free and potentially getting the best finance rate available from SBI Bank on the Two Wheeler Loans applied for.
Documents Required for SBI Two-Wheeler Loan
Applying for a Two-wheeler loan from SBI is a straightforward process. However, in order to be considered for approval, there are certain documents that must be submitted along with your loan application. These documents generally include proof of identity and address, proof of income, and bank statements.
Additionally, depending on the loan amount and other factors, some additional documents may be required. In this article, we will go through the list of documents required for loan approval.
Identity proof:
When you apply for a State Bank of India two-wheeler loan online, you must provide evidence of your identity. The required documents may include photographic identification such as PAN (Permanent Account Number) card, Aadhar card, Voter Id or passport.
You will also be asked to upload copies or scan documents such as passport sized photograph and proof of current residence address. It is important to ensure that all documents are valid and up-to-date prior to submitting the application.
In addition, if you prefer to apply offline at an SBI branch, then the same documents will be needed, but they must be presented in person at the time of application submission.
Address proof:
When applying for a Two-wheeler Loan online with the State Bank of India, you will need to provide proof of your address and identity. You can provide any of the following documents as valid identity proof:
-Passport issued by Government of India
-Aadhaar Card
-Voter ID Card
-Driving License
-Pan Card
For Address proof, you’ll need any one of these documents:
-Passport issued by Government of India
-Aadhaar Card
-Voter ID Card
-Latest utility bill (Gas/Electricity/etc.) or telephone bill (landline/mobile) which is not older than 3 months. Please note that postpaid bills are accepted only if they bear customer address.
Income proof:
In order for applicants to qualify for an SBI Two Wheeler loan, they must provide proof of income. This is a key component as your income will be taken into account when determining the loan amount that can be provided, as well as the interest rate and repayment tenure options.
Generally, applicants will need to produce one or more of the following documents to verify their income:
-Latest salary slips/form 16 (for salaried employees).
-Income Tax Return (ITR) forms (for self-employed professionals or business owners): ITR forms should be two years up-to-date.
-Proof of additional sources of income such as rental agreement/lease deed (for landlords or tenants), fixed deposits / investments records etc.
-Bank account statement: bank statement should cover a minimum period last 6 months and shall reflect regular inflow/outflow transactions.
-Proof of continuity of employment (if applicable).
Bank statement:
A valid bank statement is one of the most important documents required to apply for an SBI Two-wheeler loan online. A bank statement should provide the lender with a recent snapshot of your financial health, including information regarding the average balance you are maintaining in your account, as well as any past or present loans and credit card bills.
The bank statement will help in assessing the loan amount and interest rate that you can get on the loan.
It is important to make sure that the bank statement provided is an up-to-date document which has been generated within a certain number of months before applying for a loan. Generally, banks accept three months’ worth of statements for loan applications but some may accept six months’ worth of statements, depending on your specific needs.
The statements should also be free from any irregularities or misstatements which could affect your chances of getting a loan.
To make sure that there are no discrepancies in your application, always double-check all details provided in the bank statement before submitting it. This will ensure that you have all correct information ready when applying for your SBI Two-wheeler loan online.
Interest Rates for SBI Two-Wheeler Loan
SBI Two-wheeler Loan is a popular financing option for those in India looking to purchase a two-wheeler. One of the main considerations when taking out a loan such as this is to consider the interest rates.
In this section, we will take a look at the different SBI Two-wheeler Loan interest rates, as well as other key factors when calculating the cost of a loan. Let’s get started.
Fixed vs. Floating Interest Rates
When applying for a loan, you must decide whether you want to fix or float your interest rate. A fixed interest rate means that the rate stays the same over the duration of the loan. Conversely, a floating interest rate may vary with some frequency, depending upon market conditions and could be higher or lower than when you originally signed your loan papers.
Both options have their advantages and disadvantages, which should be weighed against each other before making this important decision.
Fixed Interest Rates: With a fixed interest rate, you will know exactly how much of your monthly payment goes toward interest and principal repayment each month. This can help with budgeting and keeping track of what portion of your payment goes towards reducing debt.
A downward movement in interest rates may leave you feeling strapped with a higher-than-expected payment although it won’t change mid-loan cycle.
On the other hand, the ability to lock in at current rates may assist in planning for future needs since upward movements in rates could leave more expensive debt ahead for future borrowing needs.
Floating/Variable Interest Rates: Floating or variable interest rates typically involve “teaser” periods that offer a lower than traditional fixed interest rate at loan origination but adjust upwards at periodic intervals once active repayment begins.
While this type of “go slow” approach is welcome during periods where rising economic pressures move interest rates upward, many borrowers can find themselves overwhelmed by payments that suddenly balloon out of control; making it difficult to make on time payments regularly due to sudden jumps in payment amounts throughout their repayment period as compared to extended albeit consistent EMI payments under fixed rates agreement plans.
Floating/variable loans also present challenges if resale value becomes important as they do not use uniformly calculated internal return metrics over loan term unlike fixed or part-fixed/part-floating agreements which determine resale values through known pre-agreed inputs over time frames.
Processing Fee
If you are considering applying for a State Bank of India (SBI) Two Wheeler Loan, it is important to understand the different fees associated with this loan. A processing fee will be charged by SBI when you apply for the loan.
This fee is typically a percentage of the loan amount applied for and varies depending on factors such as your credit score, repayment history and profile.
To estimate the processing fee in advance, please refer to this table:
Amount (inRs.) Processing Fee
Up to 50,000 1.30% + GST 18%
50,001 – 1 lakh 1.20% + GST 18%
1 lakh – 3 lakhs 1.00 % + GST 18%
Above 3 lakhs 0.85% + GST 18%
Before applying for an SBI Two Wheeler Loan it is important to read all the terms and conditions carefully in order to understand any associated fees or charges before making your final decision on the loan.
Additionally, it is highly recommended that you use a trusted financial advisor or broker to provide professional advice and assistance before approving a loan agreement with any lender.
Benefits of SBI Two-wheeler Loan
SBI Two-wheeler Loan is a great option for those looking to finance a new two-wheeler. Not only is the application process hassle-free and online, but the loan is offered at competitive interest rates and flexible repayment options are available.
There are many other benefits of taking an SBI Two-wheeler loan, such as the option to take a loan for an extended repayment period, the ability to customize the loan amount and tenure, and the security of opting for insurance for the loan. Let’s look at these benefits in more detail.
Low-interest rates
State Bank of India (SBI) offers some of the lowest interest rates on Two-wheeler Loans in the market making it an attractive option for borrowers. The applicable rate of interest when you avail a Two-wheeler Loan from SBI depends on several factors such as your credit score, income, type of two-wheeler vehicle and loan tenure.
When compared to other banks, SBI’s two-wheeler loan interest rate remains among the lowest and most competitive in the market.
The minimum interest rate charged by SBI is 8.70%, which can go up to a maximum of 9%. Along with this, borrowers can also benefit from additional discounts such as concession given to women applicants and college graduates shall be 1% over and above the base rate.
You can also get reduced processing fees if you are availing funds as part of SBI’s festival offer period or by applying through Bank Mitra outlets or through our online process. As always, it is advisable to get a detailed understanding about the terms & conditions for various offers before making an agreement for any loan facility.
Flexible repayment options
Two-wheeler loans offered by SBI can help you realize your dream of purchasing a two-wheeler. Customers have a range of flexible repayment options to chose from and these are tailored to suit individual needs.
Monthly repayment options are available for loan amounts ranging from Rs. 50,000/- to Rs 2,00,000/- with the tenure ranging from 12 months to 60 months. Moratorium period (interest only) is allowed in case of difficulties in repayment till the maximum tenure of loan is reached.
The interest rates for Two-wheeler loans are calculated based on the profile of customers and the minimum rate starts from 8% onwards depending upon various parameters such as customer’s occupation, his/her credit score etc.
Maximum loan amount available per person may vary based on customer’s eligibility criteria and other factors considered by bank at its sole discretion.
Early settlement option is also provided to customers if they wish to close the loan before attaining the maximum tenure period and applicable benefits can be enjoyed when repaid through EMIs or through lumpsum payments made towards the outstanding amount due.
TDS is applicable on selected Two-wheeler loans at slab rates prescribed by Income Tax department along with all other statutory deductions including service tax , education cess etc., where applicable as per prevailing Income Tax Laws.
Quick disbursal
The SBI Two-Wheeler Loan plan offers a hassle free application process along with quick disbursal of loan amount. Customers can avail loan within just two days of application. The eligibility criteria for loan application is simple and doesn’t require any strict document verification or long paper work.
Customer needs to submit basic documents such as KYC documents and others for quick processing of the loan.
In addition, these loans offer a competitive interest rate along with flexible repayment tenure up to 48 months for repayment option. As the loan amount is directly transferred to the bike dealer’s account, customers are offered hassle-free purchase experience.
Furthermore, these loans provide customers with option to pre-close their loans as well as apply for top-up loans in case one requires additional funds while availing the two wheeler loan.
Moreover, customers have the freedom to choose between fixed and floating rates when it comes to interest rates on the SBI Two Wheeler Loan plan depending on customer’s requirement and financial needs.
In addition, SBI Two Wheeler Loan Plan also offers a zero down payment facility through which customers can avail a loan without having to pay an initial lump sum deposit during their bike purchase process that provides ease in acquiring a two wheeler loan from SBI Bank at easier terms and conditions.
How to Apply for SBI Two-wheeler Loan
The process of applying for an SBI Two-wheeler Loan online is fairly simple and straightforward. The online application process will require you to provide personal information as well as documents related to your income and employment.
Additionally, you may be required to submit any documents related to the two wheeler you intend to purchase. Here, we will look at the entire process of applying for an SBI Two-wheeler Loan online.
Online application for SBI Two-Wheeler Loan
Applying online for a SBI Two-wheeler Loan is a straightforward process. All you need to do is follow the steps below:
Step 1: Visit the official website of SBI and click on ‘Apply Now’ option under ‘SBI Two-wheeler Loan.’
Step 2: Enter your personal details like name, contact details, address, etc.
Step 3: Select the type of two-wheeler you wish to purchase with an estimated loan amount. Step 4Select the tenure of your loan along with providing other necessary information.
Step 5Upload the documents required by SBI to apply for a loan like your KYC documents, ID proof, address proof and bank statements or other income related documents.
Step 6Verify all the information provided in the application form and once everything confirmed submit it online. Step 7Now wait for SBI to approve your loan application which usually takes up to 2-3 working days.
Once approval process is complete you will receive an SMS/email from them confirming that your application is approved and that you can now collect your two-wheeler from the showroom after making payment for it as per terms mentioned in your loan agreement.
Offline application for SBI Two-Wheeler Loan
When applying for a SBI Two-wheeler Loan in the offline mode, applicants must submit documents such as identity proof, income proof, address proof, passport size photograph and other important paperwork at a branch of State Bank of India (SBI).
Applicants should also provide details regarding the two-wheeler they wish to purchase. After the submission of documents and verifying the application form, an approval is granted.
Applicants are then required to sign an agreement form given by SBI. Once approved, the applicant is given an amount specified in the loan agreement for purchasing a two-wheeler or for vehicle registration or tax payments related to two-wheeler acquisition.
They will then be required to make regular repayment plans based on their capability and annual interest rate applicable at that time. Most banks also require insurance coverage over the loan period while making payments to ensure they are aware if any incidents occur with their customers during this period.
Conclusion
Making the decision to purchase a two wheeler can be an empowering one. Whether you are replacing your current bike with a new one or simply seeking additional financing for the model you already have in mind, SBI is here to help make the process as smooth and stress-free as possible.
With simple online application forms, competitive loan offers, and flexible repayment options, being approved for a two wheeler loan from SBI is easy – so why not apply today?
SBI Bank offers two wheeler loans for both salaried and self-employed individuals. To apply for this loan, applicants need to submit documents such as Aadhar card, PAN card, address proof; their income statement; bank statements of their last 3 months; proof of employment or business ownership if applicable; and a copy of quotation of bike they wish to purchase.
Once all documents are verified and accepted by SBI Bank’s standards, applicants can receive funds electronically within 48 hours.
For more information on SBI’s two wheeler loan program, please contact an experienced Customer Care representative at +91 22 7215 1515 or visit https://www.sbibank.in/loans/two-wheeler-loan/. With competitive interest rates, minimal paperwork requirements and fast processing times — it’s easy to secure your dreams with SBI Two Wheeler Loan Apply Online.