When one buys a bike via financing, they can enjoy several benefits. Some of them are as follows –
One can buy the bike they want
When one buys a motorcycle after they apply for a bike loan, they will be able to buy the bike they want. If they chose to buy a bike with cash, their options would have been limited.
Furthermore, most lenders offer 0 downpayment loans these days. A 0 downpayment loan allows one to take their dream bike home without spending a single penny as a downpayment. The entire MSRP of the bike will be borne by the lender.
There is a catch – 0 Downpayment loan that entails high-interest rates and hefty EMIs. Hence, one should read the terms of the loan scheme carefully before applying.
One can keep their savings, FDs and emergency funds untouched
Bike loans can help one to keep their emergency funds, FDs and savings are intact. Motorcycles these days cost a lot of money. Hence, buying a bike with cash means emptying one’s cash reserves!
To keep such instances at bay, a bike loan seems like a good idea. The debt can be repaid in small EMIs + affordable bike loan interest rates. Thus ensuring that one would not need to feel financially burdened or stretch their monthly budgets further!
One can practice the discipline of keeping sufficient funds in their bank account
Paying EMIs on time is essential when one buys a bike via a motorcycle loan. Defaulting on EMIs entails hefty fines. Furthermore, it would also reduce one’s credit score and place red flags on their credit history. This is why maintaining the minimum balance in one’s bank account is essential. In case one often keeps INR 0 in their bank account, they can change this habit in no time.
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