Planning a long vacation in the Bahamas, don’t have enough cash? Interested in buying an expensive home appliance but lack of funds is a problem? Want to pay your credit card debt but your savings are not enough?
Well, no matter what could be the personal reason you have, it would not be wrong to say that availing a personal loan is a big- time solution to meet all your needs. Right from travelling, credit card debt to home renovation, wedding and so on, a personal loan comes handy to fulfill all your needs in a hassle-free manner. It is easy to avail the same with minimal documentation and fewer formalities and in return it offers numerous features and benefits, making your loan journey a memorable experience.
But when it comes to availing the same, many loan-seekers think that it is absolutely easy. Well, though the process is seamless and transparent, there are some key factors that one should always keep in mind in order to grab the best deal. Today, in this article, we are going to tell you those hidden factors that play a key role in your overall loan journey. So, without wasting any time further let’s discuss those points in the article below.
Interest Rate: The most important thing that you should always consider while availing this unsecured credit is the interest rate. Different banks and NBFCs offer different rates to the applicants, depending upon their eligibility. But, if we talk in general, the interest rates range between 10.99%-25% per annum for all. However, this is the minimum and maximum range offered by the lenders and it could vary from applicant to applicant.
Loan Amount: Before applying for a loan in your favorite bank, it is important to check whether that lender offers the loan amount that you required or not. If we talk about the loan amount offered by the lenders, the minimum amount is ₹50,000 and maximum can go upto ₹40 Lakh. So, check the loan amount criteria before applying with your favorite lender.
Tenure: Next factor to look after is the tenure of a personal loan that usually ranges between 1-5 years (12-60 months). Majority of the renowned lenders offer this loan repayment period. It totally depends upon an applicant which tenure he/she selects to repay the loan. The shorter the tenure, the more amount you need to pay as your monthly installment. And, the reverse will happen, if you keep your tenure longer, the EMI burden will be less but your Interest and Total Amount Payable would increase. So, it’s always the applicant’s call, which tenure he/she wants to choose.
Credit Score: Not many pay attention to this but it is no doubt one of the most crucial factors to keep in mind, affecting your loan journey. Before offering the loan to the applicants, the lenders do check the credit/cibil score just to check the profile of an individual. Keeping a track on credit history allows lenders to know whether an applicant has defaulted earlier or not. The score usually ranges between 300 to 900 and if the score is good, there are high chances that an applicant can avail a loan at lower rates. A score of 700-750 out of 900 is considered to be a good score that can help you grab the best loan deal. And, you know the interesting part? Now a person can check his/her score anytime in just 2 minutes. Read below about the same.
How to Check CIBIL Score Online?
Nowadays, there are many reliable sites that offer you this facility, wherein you can online check your score for free. All you need is your PAN Card and you are done! The process is seamless and transparent and it takes only 2 minutes to check your score. Not only this, your CIBIL Report is also sent to you absolutely free. Read the article below to know the steps.
Steps to Check CIBIL Score by PAN Card
Step 1: Open the CIBIL Page
Step 2: Enter your Name( as per PAN), Date of Birth, Gender, PAN Number
Step 3: Give your Contact Details such as Current Residence Address, Email ID & Mobile Number
Step 4: Agree to the Terms and Conditions
Step 5: Click on Submit Button
Eligibility Criteria: Different banks have different eligibility norms which an applicant needs to meet at the time of availing a loan. These norms include age, income, work experience, job stability, employment type (salaried/self-employed), etc. The lenders do keep these factors in mind while offering the loan to the applicants.
Documentation: Without a complete list of documents, it is not at all easy for an applicant to apply or avail a personal loan. You need to keep all the documents ready, if you want a seamless and a hassle-free process. Few required documents are as:
- Loan Application Form
- Passport Size Photograph
- Identity & Address Proof
- Salary Slips of Last 3 Months
- Last 6 Months Bank Statements
- Audited Financials for the Last 2 Years
No comments:
Post a Comment