Can I apply for a two-wheeler loan with a co-applicant for my business?

If you run a small business and need a two-wheeler to deliver goods or provide services, you can opt for a two-wheeler loan with a co-applicant. Adding a co-applicant can increase your likelihood of loan approval and may get you better loan terms. Here are some key points:

• Co-Applicant Eligibility: Your co-applicant can be your spouse, parents, siblings, or adult children. They are expected to have a strong credit score and a stable income to support their application effectively. This gives the loan provider additional assurance regarding repayment capacity.
• Documents Required: Both the applicant and co-applicant are typically required to provide standard documents such as identity proof, address proof, financial statements, and income tax returns. Additionally, documents verifying the ownership details of your business may also be necessary.
• Loan Amount and Tenure: The loan amount and maximum repayment tenure allowed can be higher when there are co-applicants instead of a single applicant. This gives you flexibility in loan planning.
• Interest Rates: Adding a co-applicant with strong finances may help you qualify for lower interest rates than applying as a single applicant. Banks, Non-banking Financial Companies (NBFCs), and other financial institutions evaluate this positively.

Adding a joint loan applicant with strong finances may help qualify for some two-wheeler business loans if the co-applicant meets the fiscal criteria often set by loan providers. Assess whether you can meet the eligibility criteria before applying.