Bike loans have today become one of the quickest ways of financing your dream two-wheeler purchase. They are easy to avail and come with simple eligibility requirements to make two-wheeler financing accessible for the masses. However, when seeking hassle-free loan approval, paperwork requirement is one of the essential things you must take care of at the onset.
Thankfully, with some of the best lenders, requirements of documents for bike loan are reduced to minimal. Once you have zeroed in on the bike loan and decided on the lender, the next step would be to arrange the required documents as per eligibility criteria enlisted before initiating loan application.
Paperwork Requirement for Bike Loan
Following are the important documents needed to avail a two-wheeler loan from your selected lender. The list includes standard documents required and can vary with your selected lender.
- Application form (Filled-up)
Application form is one of the most essential documents for bike loan requiring applicants to provide accurate personal, professional, and financial details. Make sure the details you fill in are true to your knowledge and fulfil the eligibility requirements laid down by your lender. You can access the application form either offline through your nearest lender branch or online from their official website.
- KYC documents
KYC or Know Your Customer documents primarily include identity and address proof listed by the RBI. They include, but are not limited to –
- Proof of identity: PAN card, Aadhaar card, Voter ID card, Passport, Driving License, etc.
- Proof of address: Apart from the ones mentioned above, and excluding PAN card, the proofs of address also include ration card, utility bills, etc.
Other OVDs for KYC include attested copies signed by a government official, other government ID proofs with photo and address, etc.
- Proof of income
The following documents serve as income proofs for availing a bike loan.
- Bank account statements for two to three immediately preceding months.
- Income Tax Returns.
- Latest salary slips for 2 previous months (in case of salaried applicants).
- Financial statements for self-employed individuals.
Other than that, you can also submit other income documents for bike loan such as rent receipt, profits from investments, etc to indicate an improved repayment capacity.
- Proof of occupation
Proof of occupation is also necessary to establish a regular income source with the selected lender.
- Salaried applicants: Provide your employer-issued employment ID as your proof of employment.
- Self-employed applicants: To establish your self-employment status, you must provide proof of its establishment and operation, like certificate of incorporation, partnership agreement, GST registration certificate, Udyog Aadhaar certificates, MOA, etc.
- Passport-size photograph
Also, keep your passport-size photos ready to submit along with the application for and other relevant documents. It serves as a source of identification of the person availing the loan.
Time Involved in Document Processing
The time taken to process documents for bike loan application typically depends on the accuracy of documents submitted. You must thus take care to check and keep the necessary documents handy before applying for hassle-free processing of your loan application as well as document processing.
Note that the processing time for these documents also depends on the mode of application chosen. Usually, online applications come with reduced paperwork requirements and quick document processing with e-verification.
You must also select the lender carefully to ensure streamlined and fast-racked paperwork completion.
Once you have collected all the documents needed, create a soft copy of each document ready for submission in case of online application. Note that these documents serve as a proof, establishing your eligibility fulfilment as per the stated criteria. Thus, make sure that the documents for bike loan submitted carry all the necessary information required to establish your loan eligibility.
Visit official website for more information regarding finance and loan.
