The personal loan is a popular financial product for consumers to purchase almost anything on EMIs. Especially those big-ticket purchases.
It has also become a great option for households to meet any shortfall of cash they experience in buying a car, renovating a house or even in circumstances of a medical emergency. Here is a run-down on the eligibility criterion of Personal loans to understand them better: What is a Personal loan? To put it simply, it is an unsecured loan (collateral free loan) or Instant Loan in India taken by consumers from banks, financial companies or Peer to Peer (p2p) lending platforms to meet their personal needs. It is approved based on some key criteria such as a borrower’s monthly income, credit score, employment history, debt-to-income ratio, repayment capacity, and other relevant personal and financial parameters. As said, it an unsecured loan i.e. unlike a home loan or a car loan it is not secured against any collateral as an asset or security money. It is availed based on the creditworthiness of the borrower. If a borrower defaults, a lender has no asset to seize. For what purposes can you avail a Personal loan? A borrower can apply for this type of financing for any personal financial need. The lending institution will not monitor its use. Normally, people utilize a personal loan for home renovation, for child’s education, to purchase any latest home appliance, for wedding-related expenses and even to meet any unexpected medical expenses or any other financial crisis. It is also useful when it comes to getting quick business funding, to pay down payment for your house or to fix your car. The Personal Loan Eligibility Criteria The eligibility criterion for a personal loan varies from lender to lender. Before you Apply for Personal Loan Online it is suggested to check your loan eligibility. It includes a borrower’s age, occupation, monthly salary or income, repayment ability and residence information. Your CIBIL score plays a determining role on your loan approval. The Personal Loan Eligibility is different for salaried individuals, self-employed and businesses or a professional. The Loan Tenure It depends upon your loan amount and on the number of EMIs in which you wish to break your loan. Generally, it can be 1 to 5 years or 12 to 36 months. It is subjected on a case by case basis. The Interest rates on Personal loan Since it an unsecured loan, the interest rates are comparatively higher to those of secured loans. But it is also conditional to the choice of your lending institution. Currently, many major banks, financial companies, and p2p lending platforms offer interest rates of as low as 12% p.a. However, the rate applicable to a loan request is again contingent on borrower’s creditworthiness. Instant Loan in India Personal Loan Eligibility Apply for Personal Loan Online
2 Comments
1/11/2023 09:53:55 pm
Amazing write-up! Billing is a breeze thanks to smart ANNA tech. Just chat us the details or ask us to replicate a previous invoice. We can also set up a repeating invoice, so in future you can bill with just a tap of the app.
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1/11/2023 09:59:33 pm
Really Informative! Never lose another receipt. Each time you pay with your ANNA business debit card, we’ll prompt you to photograph your receipt so you’ve got it safely stored.
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