Electric 2-Wheeler Loans: Top 5 Banks & Interest Rates

There has been a gradual shift from petrol and diesel vehicles to electric vehicles. The demand for electric vehicles is increasing due to growing environmental awareness and innovative mobility.

They have become a centre of attraction for the global automobile industry as they are more durable and reliable.

However, the adoption rate has been low due to high costs.

If we talk about total EV sales, 1.94 million EVs were sold across vehicle segments in India in CY2024 (a growth of 27% year-on-year), with electric scooters and motorcycles accounting for 1.14 million units (11,48,415) or 59% – higher than the 56% share in CY2023

We believe that to adopt electric vehicles in India we need financial support from banks that can provide easy loans for electric vehicles especially electric two-wheelers.

EV financing can help reduce the high upfront cost and is an affordable financing method to purchase an electric vehicle. Two-wheeler loans are offered by several financial institutions and NBFCs to salaried and self-employed individuals.

Factors such as maintaining a good credit score or a successful history of paying monthly instalments are considered while financing the loan.

We have compiled a list of the top 5 banks offering electric two-wheeler loans, along with their current interest rates. Get the best deal and travel eco-friendly with ease.

Top 5 Banks for Electric Bike Loans with Attractive Interest Rates

SBI

The State Bank of India is India’s largest public sector bank. Its interest rates start from 16.95% p.a. for the regular two-wheeler loan scheme. The maximum loan amount for a two-wheeler scheme is Rs. 3 lahks, with a repayment period of 48 months.

Bank of India

Bank of India’s two-wheeler loans can be used to purchase both new and second-hand two-wheelers as well. One can avail of a two-wheeler loan from the Bank of India at interest rates ranging from 7.35% onwards.

The maximum loan amount which can be availed under this scheme is Rs.50 lakh with a loan repayment tenure of up to 5 years.

Punjab National Bank

Punjab National Bank offers two different two-wheeler loans, PNB Saarthi, and PNB Power Ride.

Its interest rates start from 11.15% p.a. onwards. The maximum loan amount that can be availed is Rs. 1.50 lakhs subject to repayment capacity. PNB Saarthi has a repayment period of 24 months to 60 months while PNB Power Ride has a repayment period of 36 months.

ICICI Bank

ICICI Bank is one of the largest private lenders in the country. The bank offers two-wheeler loans with interest rates starting at 9.00% p.a. It also offers loan amounts of up to 100% of the on-road price of the two-wheeler with a repayment period of 48 months.

Axis Bank

Axis Bank offers up to 100% on-road funding for two-wheelers with a minimum loan amount of Rs. 25,001.

It has a repayment tenure of 12 to 48 months. The two-wheeler loan interest rates range between 10% to 28% per annum, depending on the loan amount, tenure, engine capacity, bike model, and other features.

HDFC Bank

HDFC Bank is one of the leading private banks offering two-wheeler loans. Its interest rates start from 14.50% p.a. onwards. The bank also offers up to 100% of the on-road price with a repayment tenure of 12 months to 48 months.

Disclaimer:

“The information provided in this article is for general guidance only and may not be entirely accurate. Interest rates and loan terms are subject to change and may vary depending on individual creditworthiness and bank policies. We recommend visiting the official websites of the respective banks or contacting them directly for the most up-to-date information and to discuss your specific loan requirements.”

Conclusion

The Indian market for electric two-wheelers is experiencing significant growth and has become a promising sector for both consumers and investors. With the government’s emphasis on reducing pollution and promoting sustainable transportation, various financing options have emerged to make electric two-wheelers more accessible to the masses.