How Do I Calculate EMI on Bike Loan?


Bikes are a popular means of transportation and a valued property for many people. While some prefer to buy bikes to help with daily transportation, others prefer to acquire super-bikes for sport and love.

However, many people do not have the funds to do so right away; in these cases, the bike finance companies are their saviours. 

EMI is one of the most prominent ways to pay for a bike loan. 

It enables borrowers to make smaller (and frequent) payments instead of making a large payment once in a while. 

However, calculating EMI on a bike loan is not so simple. 

Borrowers who make mistakes while calculating EMIs will be unable to manage their budgets effectively. 

Therefore, here is a detailed guide on calculating the EMI on a bike loan.

What is a bike loan EMI calculator?

A two-wheeler loan calculator is an online application that calculates how much the borrower will have to pay in EMIs to repay the loan.

Once they know how much EMI they have to pay each month, they can appropriately plan their monthly budget.

Borrowers will receive a variety of additional information in addition to the EMI amount to aid them in their quest for the best terms.

Muthoot Capital provides a free and simple EMI calculator for bike loans.

How to compute the EMI for a bike loan?

The two-wheeler loan calculator is based on a straightforward mathematical calculation. 

EMI = P* r* (1+r)^n / ((1+r)^n – 1) is the mathematical formula.

P denotes the principal loan amount, n is the monthly tenure, and r is the monthly interest rate. 

As can be seen from the formula, the two-wheeler loan calculator takes three factors into account: the loan amount, the rate of interest, and the length of the loan.

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However, one does not need to do it manually; the EMI application will calculate the EMI and provide the result automatically.

Now, the steps to calculate the EMI for a two-wheeler loan are:

  1. Open the bike loan EMI calculator tool.
  2. Enter the required loan amount, the interest rate, and the loan tenure. 
  3. Now, the EMI calculator will automatically provide the EMI details. 

Applicants can also experiment with different interest rates and payback terms to get an idea of the EMIs they would be responsible for.

Further, the borrower can contact the lender’s representative to determine the interest rate at which they will be charged to calculate an exact EMI amount.

Individuals will be able to plan how to repay their loans without any problems if they use a two-wheeler loan calculator.

In addition, people are urged to shop for a two-wheeler within their budget and analyse their affordability with an EMI calculator before applying for a two-wheeler loan.


When a person applies for a two-wheeler loan, they need to keep in mind that skipping payments on the loan is one of the most prevalent mistakes to avoid.

Missed EMI payments on a two-wheeler loan can hurt the credit score.

Furthermore, defaulting on EMIs may result in the bike being sold to recoup the borrowed funds. To remain out of difficulties, they must pay them on time and in full.

Individuals can obtain a two-wheeler loan at competitive rates with Muthoot Capital, a reputable lender. The eligibility requirements are simple to meet, with no hidden fees and minimal documentation required.

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