Feature Image

DO’s AND DON’Ts TO REMEMBER WHILE TAKING A PERSONAL LOAN

Posted on Wednesday August 5th, 2020

Taking a personal loan and using the loan money to fund your vacations or to buy yourself a new gadget is great, as long as you manage the timely repayments and don’t get into debt trap. Personal loan is a most popular financial product that an individual can avail when in need. Most of the lenders have sweetened the pot with minimal documentation, quick approval, flexible tenure and comfortable loan terms. This type of loan is very useful when you need funds in short time such as wedding, travelling, vehicle purchase or home improvement. Before securing it based upon your needs, plan a budget and figure out if your income can accommodate the monthly installments. If you are going to apply for the loan, there are some do’s and don’ts to remember while taking a personal loan for you given below in this article:

1. Borrow as much as you need: This is the best way to avoid getting into debt trap. You may meet the eligibility criteria for higher loan quantum but it’s advisable to borrow just what you need. If you are not sure about your requirements then opt for Personal Loan Overdraft, where you are sanctioned with full loan amount in one go but withdrawals can be done as per need and you only have to pay the interest rate on the amount you use.

2. Borrow according to repayment capacity: As a thumb rule for loans, a loan EMI should not exceed 20-25% of your monthly income. So, before you Apply For Personal Loan calculate how much monthly installment you can accommodate after meeting all you’re your expenses and adjust the funds accordingly.

3. Choose the right tenure: If you opt for long tenure, it will reduce the EMI and short tenures are suitable for short term cash needs where a borrower expects the money from other sources in few days. Therefore, choose carefully and make timely payments as it can affect your credit score and reduce your chances of getting the loan approvals in future.

4. Don’t use loan money for luxuries: A personal loan is multipurpose, it does not come with a restriction on use and sometimes, it is easy to give in to the impulse of spending the loan amount on luxuries. Well, it’s great to treat yourself occasionally but spend the borrowed money carefully and make sure to repay it on time before making an unpleasant loan journey.

5. Read the terms and conditions carefully: Nowadays, there are innumerable digital lending platforms providing you the Online Personal Loans to save your time and make you aware about the terms and conditions applicable on loan processing and approvals. Before, signing the loan agreement read the terms and conditions carefully and ensures yourself what you are getting into.

Personal loans are convenient because they are fastest and easiest form of credit available in the market. It should be a wise decision to identify your needs first, plan out your budget and to opt for a Personal Loan.


Feature Image

BENEFITS OF APPLYING A PERSONAL LOAN FROM DSA

Posted on Thursday July 16th, 2020

Personal loans have become one of the best-selling loan products and it’s in high demand for number of advantages such as easy to apply, easy to repay, faster processing with minimal documents. Considering the high demand, personal loan providers are increasing at rapid pace in market, thus many a time, loan seekers get confused in choosing the right lender. Most of the times borrowers knock at the doors of lending institutions for loan and ignore Direct Selling Agents but if you study the functionality of DSA meticulously, you will find a number of benefits of applying a personal loan from DSA which are given below:

• Best Customer Support: A loan agent will always provide you with a best customer support system as compared to traditional lenders as they follow strict code-of-conduct ensuring the customer will get better services from DSA. They provide you step by step guidance at every step of the loan process.

• Doorstep Service: DSAs are best known for their doorstep services. They send their executives at your doorstep to alternate your visit to your lender’s office. The assigned executive will visit your place as many as times needed for collecting the documents, clarifying your doubts or taking your signatures on the loan documents.

• Credit Score in Safe Hands: There are always high chances of making personal loan mistakes which can spoil your credit score. In case, your eligibility criteria do not match with the lender, then your loan application will get rejected and it will surely spoil your credit score. If you Apply For Personal Loan from DSA, he/she will send your application to those lenders only whose eligibility criteria match you. Also, if you are not eligible, DSA will inform you not to process the application. Hence, there will be no harm to CIBIL.

• Great Chances of Approval: Mostly, the DSAs have a partnership with multiple lenders, therefore when you send a loan application through DSA; they evaluate your personal and professional information and choose the right lender so that you may get a granted approval on loan instantly.

• Less Effort and Saves Time: When you apply a personal loan from DSA, it saves a good amount of time and effort of borrower. You just have to Apply For Online Personal Loan through the website for which DSA works. Once your application gets submitted, loan agent will assist you at each and every step of loan process and saves a lot of time. Always check your loan EMI which will help you to plan your finances in better way.

These are all the benefits you can enjoy by applying for a personal loan from DSA. They always have to abide by the rules and regulations set by the lender, so one can easily trust a DSA for securing a loan product. If a loan seeker wants a seamless experience in the personal loan process, apply it through Direct Selling Agent (DSA) instead of applying a loan directly through the lender making the entire process easier and faster for customer.


Feature Image

HOW MUCH PERSONAL LOAN CAN BE APPROVED ON THE SALARY?

Posted on Thursday June 25th, 2020

Every individual has different requirements for which they apply for a personal loan and need different loan quantum. These loans are unsecured in nature, so you don’t need to pledge any asset as security for the loan. Therefore, before approving your loan application, lenders make sure of your capability of repaying it back as well as the loan money from personal loan always depends upon your income as it is one of the major factors that decides your repayment capacity. The important question that comes in applicant’s mind is how much Personal Loan can be approved on the salary. This is the main reason why personal loans have higher rate of interest as compared to secured loans.

There are not any significant criteria to decide how much loan amount will be approved on your salary. However, the loan amount generally varies from lender to lender but it strictly depends upon applicant’s profile when you Apply For Personal Loan. In this article, ShubhBank has listed some of the factors that decide how much loan will be approved to you:

Income: As mentioned above your income is the one of the significant factor on which your loan approval depends. The higher are your earnings, the higher is the possibility of getting approved for a personal loan. The big figures of your income results in higher loan amount in your pocket to fulfill your all requirements.

Job stability: Job stability is another factor that decides whether you will be able to repay your secured money in the future or not. For instance, you are earning good but there is no stability in your profession, if you have been unemployed or was earning less at some point during present working scenario, thus conditions like this make you look more vulnerable to default on loan. Therefore, lenders hesitate to approve a bigger loan amount for Personal Loan in India to you.

Your debt to income ratio: Your debt to income ratio reflects how much money you are left in pocket for your expenses after paying your monthly installments. Every lender finds it riskier to lend a higher loan quantum to an individual who is having a lower salary or higher debt to income ratio.

Your Credit Score: Your Credit Score indicates your repayment history for pre-existing loans or outstanding payments. All your credit report is of great use to the lenders as they decide your repayment capacity through it when you avail a Personal Loan. The one who has a low credit score is always the least preferred one to the lenders, and the loan amount approved to them is low as compared to the borrowers having good credit score.

These are some of the basic eligibility criteria such as age, salary slip, and bank statements etc. which decide your loan amount approved for a personal loan. Always remember any instance of a previous default on loan payments can hamper your chances of getting the desired loan money.


Feature Image

HERE’S WHAT YOU SHOULD CONSIDER BEFORE APPLYING FOR A PERSONAL LOAN

Posted on Wednesday June 24th, 2020

With festivals about to knock at our doors, we are all pepped up to celebrate the major festivals of the year with loads of excitement. From buying fancy presents, participating in corporate events, and heading for exotic tours, all bring something for all of us. But amid this festive cheer, most of us get carried away with the holiday expenses. The result our bills add up and we’re left with a hefty outstanding payment. This issue, however, can be easily resolved with proper financial planning. Yes, you can now zap your bills and consolidate them with a personal loan. Alternatively, you can also take this loan to meet multiple expenses. Since the interest rate is much lower than credit cards and the tenure ranges from 1 to 5 years, your monthly installments will be small and manageable. But before taking the plunge, let’s take a closer look at the factors to consider How to Get a Personal Loan.

Compare Interest Rates
While the interest rate isn’t the only factor to be considered, it is important to compare it to settle with the most competitive deal. Different lending institutions will offer different interest rates depending on their policies, your credit report, and other miscellaneous factors. Make sure you have a complete understanding of these rates before finally settling with a lender. If you are unsure about the rates and policies, confirm it with the representatives of the concerned lending agencies. Finally, when you have a list of interest rates charged by multiple lenders, compare them, and settle with the lowest.

Understand Your Needs
Very often, people consider taking a holiday loan for something they want but don’t necessarily need. If your expense can be pushed further and doesn’t require immediate attention, it’ll qualify as a want. Do not give in to your ‘wants’ even if it’s the holiday season. Additionally, avoid taking more money than you ‘actually’ need for the expenses. If you are taking the loan to fund your vacation and your overall expenses come to three lakhs, do not take a loan worth five lakhs just because you qualify for it. While this may not seem much in the beginning, the cost will soon weigh you down when the time comes to pay it off.

Evaluate the Extra Costs
An interest rate isn’t just the only cost that comes with your loan. Instead, it comes with a range of other charges including (but not limited to) processing fees, late payment fees, and prepayment fees. Since the costs might differ depending on your lender, check it clearly, before signing up for the loan. Also, avoid applying with a lender if they do not have any provision to pre-close your loan.

Bottom Line
Remember, a little financial planning goes a long way in helping you save on interest and other unnecessary charges. So, by considering all these factors a person can get the Personal Loan in 5 Minutes without any problem in future.


Feature Image

APPLY FOR PERSONAL LOAN ONLINE WITHOUT ANY HASSLE

Posted on Thursday March 12th, 2020

There are many times that we face a sudden huge expense and without the proper capital, it can be quite troublesome. Do not worry as there are many banks that let you Apply For Personal Loan Online. Personal loans are brilliant as you do not have to keep anything as collateral, that is, you are not pledging anything as security. As a result, you would have to have a good credit history to be eligible for applying for such a loan. You can use the money taken out for any reason as you deem worthy. You can use it to go out for a vacation, for your marriage, sudden medical emergency or even for home renovation. Personal loans are very flexible and the best part is nowadays you do not have to wait in long lines to get your loan application processed; just log on to the website of your preferred bank and follow the necessary steps to apply for the loan online. Apply for a personal loan in tricity today without any hassle!

What to do before you apply for the loan?

Before you Apply For Personal Loan there are few things to reconsider. Carefully assess why you need the loan and how you will manage to pay it back. For this, you must be aware of your credit history. A through research should also be done by you so that you can get the best interest rate.

Eligibility criteria to full fill

After you have compared the different banks and picked the ones that you like. It is best to go through the eligibility criteria prescribed by them. The following eligibility criteria are common to most banks. The bank of your choice may have its own policies so it is better that you go through all the literature given in the terms and conditions so that you can make the best choice for yourself. The eligibility criteria for a self-employed person very from a salaried person so be sure to check out what you need.

The following are criteria which must be fully by a salaried person:

● The age of the person should be between 24 years to 60 years.
● The net monthly income of the person must not be less than 20000 rupees.
● The credit score of the person must be above 750.
● The minimum loan amount that the salaried person must take out is 100000 rupees while the maximum limit is 20 lacs.

The following are criteria which must be fulfilled by self-employed person:

● The age of the person should be between 24 years to 55 years.
● The net monthly income of the person must not be less than 25000 rupees.
● The credit score of the person must be above 750.
● The minimum loan amount that the salaried person must take out is 100000 rupees while the maximum limit is 30 lacs

Say goodbye to the long lines that you had to wait in for long hours to get your loans approved. Go through all the necessary information online. Apply for the loan from anywhere and be at ease as you get the best services from your preferred bank from the comforts of your house.