What is the minimum down payment for a two-wheeler loan?

Most lenders require 10-15% down payment (LTV up to 85-90%). Some NBFCs and dealer financing offer zero down payment schemes for salaried individuals with 750+ CIBIL scores. Zero-down schemes usually carry higher interest rates.

Can students get a two-wheeler loan?

Yes, but most banks require a parent/guardian as co-borrower since students typically have no income. Some institutional tie-ups with colleges offer special student EMI schemes. The co-borrower's income and CIBIL score determine the rate.

What is the interest rate for a bike loan in 2026?

Bike loan rates in 2026 range from 8% to 16% p.a. for new two-wheelers. HDFC Bank offers 10.9-12%, State Bank of India from 11.1%, Bajaj Finance from 9.99%. EV two-wheelers from select lenders can be as low as 7.5%.

Are prepayment charges applicable on two-wheeler loans?

Most lenders charge 2-5% prepayment penalty. NBFCs like Bajaj Finance typically have no charges after 6 months. Always check the foreclosure clause â€” prepaying in year 1-2 can save 30-40% of the total interest.

What insurance is mandatory for a two-wheeler loan?

Comprehensive insurance is mandatory for the entire loan tenure. Third-party insurance alone is not sufficient for lenders. The insurance should name the financier as the registered owner/hypothecator. You can shop for insurance independently â€” it's often cheaper than dealer-arranged insurance.

Two Wheeler Loan EMI Calculator

Calculate your bike, scooter, or electric two-wheeler loan monthly EMI and repayment schedule.

Loan Amount

$20K$1M

Annual Interest Rate

7%22%

Loan Tenure

1 Mo60 Mo

Monthly EMI

$3,274

Total Interest Payable

$17,859

Total Amount Payable

$117,859

Principal (85%)Interest (15%)

Principal vs Interest

Yearly Breakdown

Amortization Schedule

Year	EMI	Principal	Interest	Balance
Year 1	$39,288	$29,759	$9,529	$70,241
Year 2	$39,288	$33,202	$6,086	$37,039
Year 3	$39,282	$37,039	$2,243	$0