Steps To Use The Two Wheeler EMI Calculator
Purchasing a two wheeler should not be a difficult decision. Whether this is your first two wheeler or you already own one, bringing home a two wheeler is a matter of joy and pride. The decision should not put financial stress on you and you should not worry about making an upfront payment for it. With several lenders in the industry offering a two wheeler loan, the purchase can become easy and hassle free. You can apply for a two wheeler loan and use a two wheeler EMI calculator to get an understanding of how you can repay the loan.
A two wheeler loan is available for all types and brands in the industry. The loan has high approval amount and quick disbursal, making it one of the top choices for many. You need to start by scouting the dealership and look for two wheelers that fit your needs. One of the most important aspects to consider is the usage. If you are going to share the two wheeler with someone in the family, you will have to consider their preferences too. If you are buying a two wheeler only for the daily commute, you do not need a high engine capacity or a premium two wheeler but if you are buying one for adventures and mountaineering, you will need a premium two wheeler. Hence, consider your requirements and then shortlist the available options.
After you have shortlisted the options, you need to take a test drive in the two wheeler and then zero in on one. If you are comfortable in the test drive, it is a good choice to proceed. Look for lenders that offer a loan for the purchase and remember that no lender will fund 100% value of the two wheeler. This means you will have to make the minimum amount of downpayment required and the balance will be your loan. Most lenders offer funding for 60% to 70% of the purchase price of the two wheeler.
To apply for the loan, you need to fill the online application form and submit the documents of identity proof, address proof, income proof, and the invoice of the two wheeler. But before you sign on the loan documents, you need to read the terms and conditions thoroughly and most importantly, you need to use the EMI calculator. Let us get into details about how it works.
What is an EMI calculator?
You repay a loan in equated monthly instalments and this amount is based on the tenure and loan amount. It includes the principal amount and an interest component and you need to pay it until the entire loan amount is repaid. The EMI calculator is available on the website of the lender and it will help get an insight into monthly outflows you will have to manage.
Steps to use the two wheeler loan emi calculator
- Head to the website of the lender.
- Click on the EMI calculator
- Provide the loan amount, tenure, and interest rate.
- Click on Estimate.
- You will see the results on the screen.
- Now change the variables until you get an optimal output.
The two wheeler loan emi calculator works on a formula that is used to estimate the amount of EMI based on the variables. The EMI amount will depend on the variables so you can change them and see the difference in the output. The calculator is easy and convenient to use. If you try to calculate the EMI manually or using a spreadsheet, there are chances of an error and it will not show you an accurate amount. It will also take up a lot of time and effort. Again, if you want to change the variables, you will have to do the entire process all over again and it could become very tedious. This is why it is highly recommended to use the EMI calculator when you apply for a loan.
Benefits of using the EMI calculator
Here are the top benefits of using the EMI calculator
High accuracy
The EMI calculator is highly accurate and will give you an estimate in no time. There are no chances of an error because the calculator works on a systematic formula.
Saves time and effort
If you try to calculate the EMI manually or using the spreadsheet, it will involve a lot of time and you will require the knowledge of using the formula to get the right answer. If you make a small mistake, it can change the entire result.
Better financial decisions
By using the EMI calculator, you can ensure the right financial decisions. It will allow you to compare the loan products and also compare different lenders within minutes. You simply need to change the variables and you will be to see the difference in EMI amount. Hence, you can choose a lender that offers the loan at low interest and has a higher loan amount.
Helps with financial planning
If you are aware of the EMI amount before signing on the loan documents, you can plan your finances accordingly. You will be able to commit to an amount that you can manage to pay each month. It will also allow you to adjust the monthly budget in accordance with the EMI amount you need to pay.
Thus, using the two wheeler emi calculator is a wise decision and can make a lot of difference to the borrowing decision. No matter the type of loan or the amount of loan you apply for, it helps to use the calculator and see the amount of monthly outflows you are required to handle. This is all about two wheeler emi calculator. I hope you find this blog helpful. The calculator is easily available, it is user friendly, and is easy to use. Even if you do not understand the formula or have no knowledge of the spreadsheet, you can use the calculator by providing the three variables and you will have an answer. It will allow you to be prepared for the monthly outflows for the entire tenure of the loan.
