Two-Wheeler Loan Down Payment Guide
How much you must pay upfront at each bank, and how a bigger down payment cuts your EMI and interest.
Updated 27 September 2026 · 8 lenders trackedWhat you need to know
The down payment (or margin) is the part of the on-road price you pay yourself. Banks fund between 70% and 90% of the price, and a few fund up to 100% for select customers. Federal Bank funds on the ex-showroom price, so you pay registration and insurance yourself.
Down payment effect
| Down payment | Loan | EMI | Total interest |
|---|---|---|---|
| 0% (₹0) | ₹1,20,000 | ₹3,929 | ₹21,431 |
| 10% (₹12,000) | ₹1,08,000 | ₹3,536 | ₹19,288 |
| 15% (₹18,000) | ₹1,02,000 | ₹3,339 | ₹18,217 |
| 20% (₹24,000) | ₹96,000 | ₹3,143 | ₹17,145 |
| 30% (₹36,000) | ₹84,000 | ₹2,750 | ₹15,002 |
On-road price ₹1,20,000, 11.00% for 3 years. A 0% down payment (100% funding) is usually offered only to strong profiles or at a higher rate — which would make the EMI higher than shown.
Funding by lender
| Lender | Funding (share of price) | Loan amount | Tenure |
|---|---|---|---|
| Indian Bank Two-Wheeler Loan | 70% – 75% of price (25% – 30% margin) | Up to ₹10 lakh | Up to 4 years (48 months) |
| Bandhan Bank Two-Wheeler Loan | Up to 95% of on-road price (typically 90%) | Up to ₹5 lakh | Up to 4 years (48 months) |
| PNB Two-Wheeler Loan (PNB Saarthi) | 90% of on-road price for salaried with salary via PNB/check-off; 75% for business concerns | Up to ₹10 lakh | Up to 5 years (60 EMIs) |
| Axis Bank Two-Wheeler Loan | — | As per model and profile | 12 – 48 months; super bikes up to 60 months |
| SBI Two-Wheeler Loan | Up to 85% of on-road price | ₹50,000 – ₹3 lakh (regular two-wheeler) | Up to 5 years (60 months) |
| Federal Bank Two-Wheeler Loan | On ex-showroom price (not on-road) | Based on ex-showroom price | Up to 4 years (48 months) |
| Bank of Baroda Two-Wheeler Loan | 90% of price for loans up to ₹3 lakh; 85% above ₹3 lakh | Up to ₹10 lakh | Up to 5 years (60 months) |
| HDFC Bank Two-Wheeler Loan | Up to 100% of vehicle price (select customers/models) | Up to 100% of vehicle price for eligible customers and models | 12 – 48 months |
Tips
- Confirm whether funding is on ex-showroom or on-road price
- Pay at least 15% – 20% to keep the EMI and total interest down
- Do not borrow separately (e.g. a credit card) to fund the down payment
Down payment calculator
Frequently asked questions
What is the minimum down payment?
It depends on the lender: about 10% at PNB (salaried) and Bank of Baroda (up to ₹3 lakh), 15% at SBI and 25% – 30% at Indian Bank. HDFC Bank can fund up to 100% for select customers.
For information and comparison only. Loan terms, rates and rules change — confirm with the lender and read the Key Facts Statement before borrowing.