Canara Bank Two-Wheeler/ Bike Loan Process

The individuals who are wishing to take their own bike. Canara Bank is providing you the two-wheeler loan to its customers with some easy documentation. To take a loan from the Canara bank the applicants have to fulfill the minimum eligibility criteria.

Two-Wheeler Loan By Canara Bank

All the details which are needed to take a two-wheeler loan from the Canara banks are available below here. Interested candidates who want to take loans for purchasing bikes can follow this post.

canara bank two-wheeler loan

Eligibility Criteria Required for Bike loan at Canara Bank-

Canara Banks decides the eligibility criteria on many factors but the important factor among all the factors is loan repayment. Those various factors are as follows-

CIBIL Score-

The bank will provide you the two-wheeler loan will by checking the repayment record of the existing loans and the CIBIL history.

Age-

Canara bank offers the loan to the individual who is having a minimum of 21 years of age at the time of taking a loan and should be a maximum of 65 years of age at the time of loan maturity.

Income-

Based on the income of the applicant the loan repayment ability will be decided by the bank. Banks will set the minimum amount as income to avail of a bike loan to the individuals. The minimum income of Rs.12,000/- should be of the individual has set by the Canara bank.

Documents Required Applying for CANARA BANK Two-Wheeler Loan-

The following documents should be submitted by the Self-employed candidates.

  • Passport-sized photographs.
  • Copy of Income-tax PAN
  • Application forms should be signed by the applicants.
  • ID Identity Proof which can include PAN/ Voter ID/ Passport/ Driving License.
  • Address proof which can include Passport/ license/ utility bill/ Registered rent agreement.
  • Income documents- ITR of last two years
  • Business existence proof- Under this you can submit VAT/ Service tax registration/ incorporation details if having companies/ Business address proof.

The following documents must have to be submitted by the salaried candidates.

  • Passport-sized photographs.
  • Copy of Income-tax PAN
  • Application forms should be signed by the applicants.
  • ID Identity Proof which can include PAN/ Voter ID/ Passport/ Driving License.
  • Address proof which can include Passport/ license/ utility bill/ Registered rent agreement.
  • Income documents- in this you can submit form 16/ bank statement of three months which shows the EMI debits and salary credits.

Plan of CANARA BANK Two-wheeler loan with Interest rates-

  • For the Loan amount of Rs.10,000/- the lowest EMI (Every month Installment) is Rs.340/-.
  • 3 years is the maximum loan tenure.
  • 55% is the interest rate.
  • The processing fee for this loan amount will be 0.25% with the minimum amount of Rs.1000/- and maximum Rs.5000/-.
  • Interest calculation will be based on the Monthly reducing balance of the EMI.
  • The applicant’s age should be between 21 years of age to 65 years of age.

How the interest rates of CANARA BANK two-wheeler loan works –

Two-wheeler Model-

The interest rates of the CANARA BANK bank on two-wheeler depend on the model of the bike you are choosing for you. If the customer selects the model which values high rates on the bikes, then the interest rates will be lower.

Applicant’s relationship with the bank-

The salary account holders of the Bank itself will get the interest rates on the loan with special charges, offers, and rates.

Applicant Income

Depending on the monthly net income of the applicant the interest rates are decided. The applicants with higher salary brackets are offered the lowest interest rates.

Category of the employer-

The major deciding factor of the interest rates is determined by the employer category of the burrower. The salary individuals list of the company categories will be with the CANARA BANK for which they will avail bike loans. If the category of the employer is higher, they will get the loan with the low-interest rates.

EMI calculation of CANARA BANK for bike loan-

EMI is the Every Month Installment which you have to pay each month to the CANARA BANK or any other banks to repay the loan amount. For the loan amount of Rs.10,000/-, the EMI of the CANARA BANK will be Rs.335/- which is the lower interest rate of the bike loan with 12.65%. The factors which involve in calculating the loan AMI of CANARA BANK are as follows

  • The important factors which affect the CANARA BANK loan interest are the EMI. The EMI will be higher if your interest rate is higher.
  • The longer tenure of loan repayments will reduce the monthly EMI per lakh.
  • Depending on the burrowing amount of the loan, the EMI will be decided.
  • It all depends on the calculation of the methods by banks.