Are you planning to take out a two-wheeler loan? Find out the lowest interest rate, EMI


To find the best deal, it is important to compare the chosen lenders on eligibility, interest rates, processing fees, repayment term, loan-to-value ratio, and fees.

A two-wheeler helps us navigate traffic from bumper to bumper with ease while saving a lot of time. Compared to a four-wheeler, two-wheelers are convenient to maintain and more economical to manage. The Covid-19 pandemic has spurred demand for personal transportation versus public transportation to avoid potential health risks due to the deadly virus.

If you are thinking of taking out a two-wheeler loan, there are a few important things to keep in mind. You should never opt for a two-wheeler loan without comparing the available offers. Each lender or financial institution has its own set of terms and conditions. Therefore, to find the best deal, it is important to compare the chosen lenders on eligibility, interest rates, processing fees, repayment term, loan to value ratio (LTV) and fees, etc.

Banks typically finance up to 90 percent of the value of the bike. The remaining 10 percent is the down payment you will have to pay. So, before you apply for a loan, do your math to find out if you have the down payment money ready to pay. Also, when choosing a two-wheeler for yourself, don’t go overboard with the budget. Go for an option that fits your budget well, according to BankBazaar.

On top of that, your credit score will also play an important role in getting a loan approved or getting a loan at a lower interest rate. A score below 750 may result in your application being rejected or you may settle for a loan at a higher interest rate. You will also need to provide certain documents such as proof of age and identity, proof of income and address, etc. when applying for a loan.

You can also wait until the next holiday season for additional discounts. Most lenders have attractive offers during the holiday season such as no processing fees, lower interest rate, zero down payment, etc.

If you are considering taking out a two-wheel loan, the table below lists over 20 major banks that are currently offering some of the lowest interest rates on two-wheel loans. Note that we have only included the lowest advertised rates for each of the banks mentioned in the table below. The applicable interest rate may differ and depends on your age, income, credit rating, and your lender’s eligibility requirements.

The table also includes indicative IMEs for a two-wheeled loan in the amount of Rs 1 lakh contracted for three years for each of the banks.

Indicative two-wheel and IME loan interest rates currently offered by major banks

Disclaimer: Interest rates on two-wheeler loans for all public and private listed banks (ESBs) (except foreign banks and small financial banks) have been taken into account for the compilation of data. Banks for which data is not available on their website have not been taken into account. Data collected from the websites of the respective banks on September 21, 2021. The lowest interest rate offered by banks on two-wheeled loans has been shown in the table regardless of the loan amount and term. The indicative IMEs were calculated on the basis of the interest rate mentioned in the table for a loan of Rs 1 lakh with a term of 3 years (the processing fees and other charges are assumed to be zero for the calculation of the EMI ). The information mentioned in the table is indicative and may vary depending on the bank’s T & Cs. * Under the Mudra regime. ^ High interest rate. ^^ Minimum interest charged on the loan paid to an individual during the first quarter of 2021.

Data compiled by, an online marketplace for loans, credit cards and more.

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