Personal Loan
Overview
What Are The Features And Benefits Of A Personal Loan?
No Collateral/Security Required
starting Rs. 1249/ LAKHS.
Personal loans don’t need you to provide any collateral such as a house or car to avail a personal loan. The loan is approved only based on your creditworthiness, which depends on your credit score, income, repayment history, employer reputation, etc.
Repay your loan with Flexible Tenure
up to 5 or 7 years.
Personal Loans usually come with flexible tenure ranging from 12 months to 60 months or 72 months.
Flexible End Use
multiple purposes
Personal loans can be used for multiple purposes, such as to meet expenses of a medical emergency, travel, house renovation, debt consolidation, etc.
Minimal Documentation
Key documents
Personal loans can be applied for online and even offline with minimal documentation. Key documents that lenders generally need the applicant to provide include a proof of identity, a proof of address and proof of income.
Flexible Loan Amount
Top-up
The personal loan amount that gets disbursed is based on an individual’s repayment history, monthly income, age, profession, employer reputation, and other such factors. Lenders offer personal loans of the amount as low as Rs. 10,000 to as high as Rs. 40 lakhs.
Nil part payment
foreclosure charges
Floating rate home loans can be foreclosed or can make part payments before the end of the tenor
Hassle free
Personal loan processing
we endeavor to offer the ideal experience through handling and then some. Our qualification standards are basic and documentation necessities are insignificant
Quick Disbursal
within a few hours
Personal loan disbursal can sometimes happen within a few hours, once the application is approved. Turnaround times can also be as short as a few minutes if you can avail of a pre-approved loan offer.
When to opt for a Personal Loan?
Here are some of the top circumstances when it is best to go for a personal loan:
Finance a Purchase
Financing a purchase depends on whether it is a want or a need. If you’re going to take out a loan anyway, getting a personal loan and paying the seller in cash might be a better deal than financing through the seller. Don’t ever decide on financing on the spot, though. Ask the seller for an offer and compare it to what you could get through a personal loan. Then you can decide which is the right choice.
Wedding or a Large Event
Any large event such as a wedding qualifies if you would end up putting all associated charges on your credit card without being able to pay them off within a month. A personal loan for a large expense like this might save you a considerable amount on interest charges, provided it has a lower rate than your credit card.
Consolidating Debt
If you owe money on credit cards with higher interest rates, you can pay off those debts with a personal loan that has a lower rate. You can eliminate debt more quickly because less of each monthly payment goes toward interest costs.
Emergencies
Sometimes there are situations when there are no options besides borrowing. For example, when you face medical expenses or you need safe transportation to keep earning income, a personal loan may make sense.
What are the Various Factors to be Considered While Seeking a Personal Loan?
Here are some of the factors to consider before taking a Personal Loan
Personal Loan Interest Rate
When you take a Personal Loan, the interest outgo is one of the vital deciding factors. The interest rate you pay depends on a variety of factors: your age, income stability, whether salaried or self-employed, number of years of work experience (in the current job/business/profession) and total), your credit score, existing EMIs (if any), and your repayment capacity, loan tenure, among other things. The interest outgo determines your EMI and has a bearing on your budget and long-term financial wellbeing. So, make sure you apply for the best personal loan rates.
Loan Tenure
The maximum tenure for a Personal Loan is usually 5 years. But the shorter the tenure of a Personal Loan, the better it is. A higher tenure can reduce your EMIs, making repayments comfortable, while opting for a lower tenure (of say 2 to 3 years) increases your EMI; you pay a higher interest cost on the Personal Loan.
Consolidating Debt
If you owe money on credit cards with higher interest rates, you can pay off those debts with a personal loan that has a lower rate. You can eliminate debt more quickly because less of each monthly payment goes toward interest costs.
Emergencies
Sometimes there are situations when there are no options besides borrowing. For example, when you face medical expenses or you need safe transportation to keep earning income, a personal loan may make sense.
Customer Service
When you avail of a Personal Loan in times of need, you wouldn’t want it to be an unpleasant experience, do you? Hence, ensure the customer service at the lender has high standards. This service can even help keep track of your loan, allowing you to be in better control of your finances.
Terms & Conditions
Make sure you read the terms & conditions carefully to make an informed choice. This will avoid issues later and ensure a pleasant, hassle-free experience.
