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WHAT ARE THE FEATURES AND ELIGIBILITY FOR UNSECURED LOANS?

Posted on Friday August 12th, 2022

Nowadays loans are savior for several reasons which can bail you out from tough financial situations and provide you financial cushion for happy events in your lifespan. An unsecured loan is that credit solution which doesn’t require any collateral, so a lender sanctions you a loan based upon your creditworthiness. A lending institution will check prescribed eligibility criteria to approve your unsecured loan. Personal loan, business loan, credit card loans are some of the basic examples of unsecured loans.

Loans are classified into secured and unsecured loans which have different features and criteria. An unsecured loan generally depends upon borrower’s credit worthiness whereas in secured loan, one has to pledge some type of asset as collateral reducing the chances of default. Therefore, unsecured loans stand in contrast to secured loans and if you are looking to Apply For Loan it is good to know the features of unsecured loan which are mentioned below:

Higher interest rate: However, unsecured loans are riskier than secured loan for lenders as they are collateral free but require higher credit score for loan approval. In case of default on secured loan, lender has right to repossess the collateral to recover the outstanding dues but in unsecured loans, lender can’t claim any asset. Therefore, unsecured loans are fully qualified on the basis of creditworthiness, so they are always offered on high interest rate.

Role of co-applicant in loan: Every lending institution decides the loan approval based on creditworthiness of borrower in case of unsecured loan and can charge you a higher rate of interest if they find you risky as per their analysis. In some cases, looking after your requirement and eligibility, lender may give you an opportunity to add a co-applicant with a stable income and good credit score.

The role of co-applicant is to take on the legal obligations to pay the debt in the times when primary borrower defaults on payment. One can also share the EMI burden with their co-signer.

Credit report: It is the key factor that decides the approval or rejection of your loan application. One must have a credit score above 750 to get approved for unsecured loan and to grab a competitive interest rate on it.

Well, the eligibility criteria for unsecured loan are highly stringent and may differ from one lender to other. Here, we are listing the widely followed eligibility criteria. Have a look on it:

A borrower must be salaried person or self-employed individual with regular income above a certain minimum threshold.

If you have any existing loan then its EMI must be below 50% of your monthly earnings.

The credit score of borrowers whether they Apply For Loan Online or offline should be above 750 with an excellent credit history.

One must have a work experience between 2-4 years depending upon the type of employment.

Now you know that secured and unsecured loans are starkly different and have different features and eligibility criteria, so choose wisely between them to get a financial aid in tough times.


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WHY GOLD LOAN IS BEST OPTION FOR LOW CREDIT BORROWERS?

Posted on Monday July 25th, 2022

Nowadays, individuals looking for required funding have a lot of options offered by the lending sector and the best option among all credit solutions are Gold Loan especially for the loan seekers who have low credit score. There are number of people who suffer financial crunch and Apply For Gold Loan as it has speedy disbursement and flexible repayment structure.

A loan against gold is a secured loan that demands you to keep your gold ornaments and jewelry as collateral to the lender to access desired funds. It proves to be viable choice for low credit borrowers with short term cash needs.

The loan money can be used to fund any financial crunch and it is convenient because of its characteristics which are mentioned below:

High loan quantum: As compared to other secured and unsecured loan solutions, gold loan has a higher loan amount cap. The loan money directly based upon the quantity and purity of the gold that you are going to pledge with specific lender. This loan is the good option if someone requires a more considerable borrowing. One will get the 70-80% of the gold value as a loan amount.

No need of credit history: In case of gold loan, one needs not to be concerned about their credit history because lenders never consider your credit report while approving your loan application. The best thing about gold loan is that you are not obliged to disclose any existing loan before applying for loan against gold ornaments.

Low rate of interest: The gold loan has a lower rate of interest as compared to other secured loans such as Home Loan, Loan against Property and Machinery Loan etc.; therefore loan against gold is less expensive than other types of secured loan solutions. It means you will be required to repay the loan money with less money from your monthly budget without burning a hole in your pocket.

Flexible repayment structure: This is the best feature of gold loan because unlike other loans, gold loan can be availed with various loan repayment options. There are basically three types of repayment choices such as regular EMIs, you can pay only interest during the loan tenure and principal amount at the end or you can pay the interest as well as principal amount after the tenure with no repayments made in meantime.

Hence, it is an attractive option and one can Apply For Gold Loan Online or offline by leveraging their possession to receive desired cash in an emergency situation. ShubhBank is one of the leading NBFCs across country that provides gold loan with lowest and effective rate of interest. We provide you the flexible repayment options from which you can choose the best suitable for you.

One needs to submit their basic details and gold ornaments to the lender to get immediate funds which they can use for their personal and professional needs. We are there to support our customers in the direction of growth and to provide all the loan services at their doorstep valuing their time and money.


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WHICH PROPERTIES CAN BE PLEDGED FOR LOAN AGAINST PROPERTY?

Posted on Monday June 20th, 2022

A Loan against Property is the most preferred type of secured loans these days. It is a secured loan where borrower has to pledge his/her property as collateral to lender in exchange of loan money. When you Apply For Loan against property the lender gets security for lending cash to the borrower, therefore mortgage loans have lower rate of interest.

However, there is a myth that one can pledge his/her residential property to avail a loan against property but here in this article, we will guide you about different types of properties that can be put as security to secure a mortgage loan:

Residential property: This property is one’s personal place of residence and permanent stay. It may include a flat, building, villa, mansion or even a vacant land. One can pledge his/her residential property whether it is self occupied, rented or vacant. You can mortgage your property as long as it is registered in your name. Thus, pledging your property with lender ensures a lowest possible interest rate as well as flexible repayment tenure.

Commercial Property: It is a type of property that can be used for other purposes than residence. When these properties get used for business purposes and starts generating income for you, then they get qualified as commercial property.

The property might include school, offices, gyms, warehouses, hospitals, retail stores or any other factory outlets. Borrowers can pledge vacant or rented commercial properties as long as they are free from any legal dispute on ownership as well as title existing on the space.

Co-owned Property: As name reflects, it is the property that is owned by two or more individuals. One can pledge this property if he/she is a co-owner but they have to get other co-owners on board to sign the loan application. It is easy to secure a mortgage loan for married couple as lender considers marriage a contractual relationship in terms of law. It is good to talk lender beforehand, if you want to apply for loan against property for a co-owned property.

Industrial Property: These are the properties which are used for manufacturing and developing units or for the production of goods and products. Any individual can pledge an industrial property for loan against property, but the approval on application varies from one lender to other. Some of the lenders do not consider the industrial spaces as security while others do.

Now when you know the different types of property for mortgage, you can move further to understand which type of space fulfils your eligibility and fits your pocket. One can use the loan money for different activities such as higher education, wedding expenses, medical emergencies or high interest debt consolidation. You just have to submit the original property papers at the lending institution until you repay the loan.

At ShubhBank, anyone can Apply For Loan against property Online or offline irrespective of residential, commercial or industrial spaces because we keep your interests at heart and offer you best possible rates of interest, high loan value, flexible tenures and zero hidden charges.


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HOW LOAN AGAINST PROPERTY AND FINANCIAL ASSETS HELP IN LOAN?

Posted on Wednesday May 18th, 2022

It is rightly said that every cloud has silver lining, as loans fall into the same witness box. Sometimes loans can be weak sauce but if they are managed properly, they can be really advantageous. This credit will help you to achieve your financial goals as well as fulfill your requirements. The more you borrow and repay timely, your creditworthiness increases and you become mature in eyes of lenders.

There are certain types of assets that can aid in meeting your personal and professional needs. It can be any immovable property, precious metal, mutual funds, securities and FDs etc. one can access a loan against any of these monetary resources to satisfy your needs. If you want to borrow against any residential or commercial property, you can Apply For Loan against property where if you are borrowing against financial assets, you can avail loan against securities.

Loan against Gold: It is one of the most popular types of loan availed by Indian people. Nowadays, this yellow metal is precious and regarded as a haven in lending market. The popularity of this loan is due to its repayment as it has two methods, one is simple EMI method where only interest rate is charged and other is bullet method. A maximum of 80% of loan money can be availed from the gold value depending upon its purity.

Loan against PPF: Public provident fund is an asset as well as tax saving term backed by the Indian government. These funds can be used as collateral for availing a loan which is tax free and having higher ROI than fixed deposit. It helps to access 25% of the maximum amount but this credit can be availed on condition of having an account opened from last 6 years.

Loan against Fixed Deposit: The loan against fixed deposit is considered to be a safe investment and is quite common among individuals. One can avail up to 90% of the FD value but the term time cannot exceed from the fixed deposit term time. Anyone above the age of 21 years can apply for such loan. However, it is risk free for lenders as there is no effort to change its state if borrower defaults on loan repayments.

Loan against Property: It is a multipurpose loan used for fulfilling various needs of business, education and personal expenses etc. You can avail up to maximum of 70% of the market value of the property depending upon applicant’s eligibility for tenure of 2 to 15 years. Before you Apply For Loan against property Online or offline, make sure your property should be free of any litigation and you have a stable income.

Hence, you can avail a loan in many ways these days but you must be smart to choose the loan product wisely as you have to stick the agreed repayment schedule so that the assets you pledged against the loan should remain secured. You can apply for Loan against Property from ShubhBank and avail the great deals and offerings along with competitive interest rates.


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HOW ONLINE PERSONAL LOAN HAS CHANGED THE LENDING PATTERN?

Posted on Friday May 6th, 2022

Personal Loans are small sized loans that are accessible at smart rates of interest and can be easily disbursed to your bank account. Many lending institutions are offering this form of credit to people for fulfilling their needs but for shorter repayment period. All these lending companies have their own digital platform where you can Apply For Personal Loan and easily access the required funds.

The advancement in technology has motivated so many potential borrowers to avail shorter cash credits. Before the evolution of digital platforms and web portals, getting such smaller loans for traditional banks was a tedious task. Nowadays, online loans have changed the entire lending pattern.

In this blog post, we have highlighted some of the benefits of availing an online personal loan which have mentioned below:

No need of financial collateral: Personal loans are the unsecured loans and don’t require pledging any of your assets as security or collateral against loan. If you are working professional and require funds before your next paycheck, you can easily get this loan and loan repayment period is shorter.

Faster paper processing: As the whole loan process is online, the required documents are uploaded within few minutes and you loan quantum will be disbursed in your bank account within 1-2 business days if you have strong credit score as well as meet the eligibility criteria. One doesn’t have to collect the piles of paper and visit to a branch to apply for a loan.

Paperless transactions: Most of the lending institution has an easy and basic documentation process which can easily be done with mobile and electronic gadgets. It means you don’t need to visit any lending branch physically as you can avail a personal loan at a one finger click by sitting at your home or office.

No hidden fee: When you Apply For Personal Loan Online ensure yourself by reading all the terms and conditions, rate of interest, monthly installments and any other charge if applicable as there is no hidden fee on it. All these factors are highlighted on the web portal of specific lending mobile app to get a hassle-free loan.

Real-time tracking: It is one of the greatest features of personal loan that one can track their loan application. After you apply for loan, you can track your application status on your mobile through SMS or emails. Moreover, one must receive the regular updates from lender regarding the processing of their loan application.

Competitive rates of interest: Those days are gone now when branch managers handled the interest rates of loan. There are number of lending institution present online who offer highly competitive rates and you can compare the different lender and rates before you decide on specific lender to fill out your loan application. The rate of interest is fixed based upon your creditworthiness and repayment capability.

Quick loan disbursal: One has to provide their banking details along with account number, IFSC code of branch etc. hence. Your loan amount is disbursed to your bank account within few hours after approval and you can use the cash for any required purpose.


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WHAT KIND OF LOAN SERVICES SHUBHBANK OFFERS?

Posted on Monday March 7th, 2022

ShubhBank started up as a lending platform and a digital partner with various renowned financial institutions introducing digital lending offers to the potential loan seekers across the country. We aim at understanding the requirements of our customers and offer one stop solution for all their financial needs covering every aspect of life. One can Apply For Loan needed to cover all their necessities depending upon their need. We have listed types of loans offered by us.

Personal Loan: ShubhBank offers simplest and instant loan to the potential borrowers meeting their urgent requirements which does not require any collateral. The loan processing is very fast as it just gets completed within 2-3 business days offering you hassle free journey. You can apply for it online also as it is the most convenient way and we provide your doorstep services. The interest rates may vary according to the bank norms that will process your loan.

Mortgage Loan: It is another type of instant loan offered by us where one has to pledge his/her residential or commercial property as collateral. The unique feature of this loan solution is that the quantum is up to 100% depending upon the evaluation of property current price and disbursal takes place between 5-7 days. The interest rate starts from around 8.50% to 18.00% involving the processing fees and service tax.

Home Loan: Owning a house is the basic requirement of every family and ShubhBank helps you to achieve your dream goal of purchasing your own home. We tie up with all the lenders providing you the best interest rates as buying a home is the biggest investment of life. Home loans features with longer tenures, fixed and floating rates where 80% of value of home is disbursed as loan quantum in less possible time.

Business Loan: This loan is another category of financial solution which helps small business owners to expand their business or capital needs. Moreover, loan is offered with minimal documentation, easy eligibility criteria and lowest possible rates of interest. The loan tenure is flexible and loan money can be availed up to few lakhs to crores depending upon your repayment capacity. However there is no need of collateral but a guarantor is required.

Used Car Loan: Our institution is among top ranked service providers and offer best rates pre-owned car loan facility across the country. We offer most convenient and easiest used car loan at competitive interest rates to the borrowers in need. The banks associated with us offer 80% of loan amount with flexible loan terms and tenure.

Gold Loan: Every household in our country own the precious metal as ornaments, coins and bars as it is in our culture and can be savior in times of financial crunch. Gold loan are the cheapest loans available in the market as they can be availed at lowest rates of interest and has easy repayment structure.

ShubhBank offers unique loan products and provides you the platform where one can quickly check their eligibility criteria and Apply For Loan Online or by visiting our branch fulfilling your demands and needs.