Before taking a high-interest used bike loan, run the numbers. Sometimes buying a basic new bike with better financing makes more financial sense.
Example: ₹60K Used Hero Splendor vs ₹85K New Splendor Plus
| Used (₹60K) | New (₹85K) | |
|---|---|---|
| Loan amount | ₹45K @ 20% | ₹75K @ 13% |
| Tenure | 24 months | 36 months |
| Monthly EMI | ₹2,300 | ₹2,529 |
| Total interest | ₹10,200 | ₹16,044 |
| Insurance (3 yr) | ₹9,000 | ₹12,000 |
| Expected repair (3 yr) | ₹15,000 | ₹3,000 |
| 3-yr total cost | ₹79,200 | ₹106,044 |
In this case the used bike wins — but only if it has low kilometres and good service history. Always get a mechanic inspection before purchasing any used two-wheeler.