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WHAT ARE THE STAGES OF PERSONAL LOAN PROCESSING?

Posted on Wednesday February 3rd, 2021

Sometimes situations may arrive when your savings are not enough to cover your emergencies because spending all your savings in a single time is not a wise idea as it increases your potential financial risks in the long run and left you with no financial security to cover you back. There might be a solution for such situation where money is needed urgently apart from your monthly budget. In such case, borrowing will be the only solution left for you but what makes sense is choosing a right lender and perfect type of loan which has easy processing with simple terms. Personal Loan is such a financial tool where you get access to funds without pledging any security at budget-friendly interest rates.

With the revolution in technology with the lending sector, you can now secure a Personal Loan in much easier way. You can easily take a personal loan by visiting the websites of online lenders like ShubhBank or you can also pay a visit for offline loan. To apply for the loan, you just need to fill the loan application form by providing basic information what may lender ask you for. The online processing is fast and your loan gets approved in a shortest possible time. There are few stages of personal loan processing which we have listed below:

→ Loan Application: To start a loan processing, you have to fill a loan application form which can be found easily on the online platform of various lenders. The application form should be duly filled with all the genuine information. The form includes the section to provide your personal details such as name, address, age, employer with whom you are working and contact details such as email address or phone number.

→ Submission of documents: Once you complete the loan application form, lending institution will take the loan process ahead and will ask for the KYC documents to get submitted. A lender needs these documents of loan borrower to determine and verify the identity, age and income. These documents include Identity proof, residence proof, income proof etc.

→ Document verification: The verification process starts once you submit all your required documents with loan application form to the lender. Firstly, the lender will check the credit score when you Apply For Personal Loan and if you meet the criteria, the lender will move ahead to verify your provided documents. The primary verification includes your identity and address that you have filled in application form, then your income details are verified by cross checking with your employer or bank details. When lender finds your documents correct and you meet the eligibility criteria, you will be approved for loan.

→ Disbursal: Here, the lender drafts a loan agreement for you. It may include loan terms and conditions, the interest rate and tenure for which you are getting approved. If you are satisfied with all the terms and conditions, you need to sign the loan agreement. After that the loan money will get disbursed directly to your bank account. It is always advised to go through the terms and conditions carefully in the agreement before signing it.


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HOW TO PICK A RIGHT BUSINESS LOAN FOR YOU?

Posted on Thursday January 7th, 2021

If you are planning to own a successful business or you want to grow your ongoing business, therefore, figuring out to start a profitable firm needs to raise the funds for your business product. There are number of reasons for which your needs funding such as need to purchase new machinery, pay wages to the employees, land purchase to set up the production unit, to buy an office or it can also be needed to expand the existing business or to consolidate the existing debt.

Initially, a business person need more funds to build up sales and one will need money to maintain the cash flow and to pay salaries. Now, the question arises where do you get these funds from? There is a large lending sector for potential business loans, these days. In our country, business plays a crucial role and contributes highly in the GDP of country. The small and medium businesses mainly contribute 95 percent of the industrial units in India. The demand of Business Loan is increasing by each passing day. Hence, lending institutions are making it easier to apply for business loan and get instant funding.

In this article, we are providing you with some tips which will tell you, how to pick a right business loan for you:

⇒ Type of Loan: In lending sector, there are different kinds of business loans available which include term loan, working capital loan, business line of credit, equipment loan or small business loan. Therefore, to avail the maximum benefits, one first needs to decide which loan you require. If you need to upgrade the machinery, you can go with equipment loan and if you need to remunerate the employees or want to expand your existing business, you can avail a working capital loan. You can research and knowing your options will help you to opt for the best-suited scheme.

⇒ Right business loan lender: When you need to Apply For Business Loan you will find innumerable lenders offering number of benefits. Many of the lenders approve and disburse the loan quantum easily whereas many of them take time to deliver the money. If you really want to grab the best option for yourself then do not trust any random lender easily. Finding the right lender may take some time so go through different lenders and compare the interest rates and read the customer reviews. Once you find the right lender, you can go ahead to take a loan.

⇒ Documentation: When you avail a business loan, the lender will ask about your cash flow to be sure about the repayment capacity. It is your responsibility to provide the correct details of everything to avoid the loan rejection. Try to find those lenders who have minimum set of eligibility criteria along with less paperwork.

Selecting a right business loan is very important for a particular business’s success. There are varieties of online lending platforms which will help you to assess the different business loans offered by various lenders. Selecting the right loan product can also add the growth to your business exponentially.


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HOW TO ACHIEVE THE FINANCIAL GOALS IN NEW YEAR?

Posted on Wednesday December 30th, 2020

Financial goals are the savings, investment or expenditure targets you plan to achieve over a set period of time. The phase of life or the age you’re in usually determines what type of financial goals you wish to achieve. For example, if you’re a teenager, it may be an easy short-term goal like saving for a new pair of branded jeans or something more challenging like saving for a bike. On the flip side, an individual with a growing family would have a long-term goal of going from renting a house to owning his/her own home by taking Home Loan. Moreover, saving for a child’s higher education and saving for your own retirement are the other popular financial goals.

How a one can set the financial goals?
Setting the financial goals is not an easy steps, one has to be determined about his/her decision. So, we are there to help you by suggesting some steps to set the financial goals.

• Figure out what matters to you at first. Put everything, from the practical and crucial to the unusual and distant, on the table for inspection and evaluation.

• Examine out what’s within reach, what will take a little time, and what must be part of a long-term strategy.

• Apply a SMART goal strategy on yourself. Make certain that your ambitions are Specific, Measurable, Achievable, Relevant, and Timely.

• Create a realistic monthly budget. Get a strong hold on what’s you saving and what’s you spending, and then work on it to address your goals. Use your budget to plug leaks in your financial boat.

• Your realistic and practical layout and water-tight budget will show at least a handful of leftover money. How much that money is, get it automatically directed into a separate account designed to complete the first couple of things on your list of priorities.

• Monitor your progress with passing time. Ensure yourself that you are hitting the set benchmarks. If not, take some time in that case to re-evaluate what is wrong.

How to achieve the financial goals?
The best way to achieve your financial goals is by making a layout that prioritizes your savings and investments. When you evaluate your own expenses and savings, you’ll discover that some are wide and distant-reaching goals, while others are narrow in aspect. Your goals can be separated into three categories according to time period:

• Short-term financial goals take a couple of months to achieve. For instance, it may include taking a holiday trip, buying a new gadget or paying off a particular debt by taking Personal Loan.

• Mid-term financial goals can’t be achieved in a short time and can take too many years to get accomplished. To illustrate, it may include purchasing a dream car, finishing a degree course or certification, or paying off your existing debts.

• Long-term financial goals (more than five years) may take long years to get accomplished and, as a result, they require longer commitments, true determination and often more money. To exemplify, it might include buying own home, saving for a child’s higher education, or for a comfortable retirement.


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IN WHAT CIRCUMSTANCES YOU NEED TO BORROW MONEY?

Posted on Wednesday October 7th, 2020

Every person has different notion of borrowing, some might consider it ok to borrow money for short term as well as long term goals whereas some might be strictly against any sort of borrowing. However, in certain situations of life, we have no other option than to avail a loan. The misconception about taking a loan is not good for your finances couldn’t be ignored. The loans can help you in number of ways such a growing your business, get your child higher education; help you to buy your dream home or to invest in attractive business opportunity. However, if loan is not used correctly, it could trap you in vicious debt cycle. So here are some points listed in what circumstances you need to borrow money and there is no harm in it.

→ Medical Emergencies: An emergency can arise uncertainly, therefore, it is tough to be prepared if you are caught off-guard. If you don’t have any medical insurance to cover your emergency, then borrowing money is inevitable. Several lending institutions offer personal loans to help you take care of medical emergencies without worrying about huge bills of the hospital. However, do check the terms and conditions of the loan before borrowing it.

→ Higher Education: If you are worried about child’s future education, a loan against education could be an excellent option if you don’t have adequate savings. Most of the banks and NBFCs in India provide education loan to help the children fulfill their dreams. The financial institutions not only offer the lower interest rate when you Apply For Loan but also have longer repayment period.

→ Expanding Your Business: If someone wishes to grow their existing business, borrowing money might be a best option, if you are short of funds in account to fuel your expansion. With the easy cash flow in operational units, you can grow your business by leaps and bounds which can lead to increased sales and higher profits. Therefore, have a robust business plan to reflect the lender that how you want to use the loan money to expand your business with minimal risk.

→ Consolidating existing loan: You have taken multiple loans in past years and unable to manage them, then gold loan might be a good idea to avail a loan with high amount to pay the existing loan. The gold loans are offered on lowest possible interest rate that can save you money if you are paying higher interest rates. It not only helps to consolidate the loans but also helps to manage your debts better.

Now we have touched upon few circumstances why people might borrow money. Before you Apply For Loan Online do your homework by comparing the different lenders on internet and keeping in mind the different aspects of loan that how much money you really need and how much money can you comfortable repay in a decided tenure. A loan can turn into messy financial challenge if you mismanage it, so beware of your deeds.


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WAYS TO GET A BETTER RATE OF INTEREST ON PERSONAL LOAN

Posted on Monday October 5th, 2020

Nowadays, there is one of the best financing tool in market is a personal loan. Be it for starting-up small venture, your child’s wedding or higher education or to fund the purchase of any electronic appliance, you can avail a personal loan for various purposes. There are many lending institutions offering best deals on these loans but getting low rate of interest is not an easy task. Every lender takes into consideration multiple factors before deciding to lend money to anyone. So take a look on some important factors that determine your interest and the ways to get a better rate of interest on personal loan and how to improve them.

Good Credit Score: A personal loan is an unsecured loan and doesn’t require any collateral. Therefore, in such circumstances, a strong credit score is essential. It represents the creditworthiness of the borrower and lenders will ask for your credit reports before approving your loan. Having a good credit score, increases your chances to get easy personal loan as the lender have idea that you will be able to repay the borrowed money on time. Moreover, a strong credit history puts you in position to negotiate the interest rates.

Avail Seasonal Offers: Always pay attention to seasonal offers during the festive season in order to get low interest before you Apply For Personal Loan. You can great deals offering zero processing fees, customized pre-approved deals and discounts on interest rates.

Compare the Loan Deals: Before availing a personal loan, keep in mind the interest rates offered by different lending institutions. All the information is available online, these days, so visit the websites of various financial institutions, and compare all the factors then zero in on a personal loan. You can also check with existing creditors for borrowing as they may offer lower interest rates as well as longer payback period than other conventional lenders.

Good Repayment History: Either it is current loan or pre-existing one, follow the habit of repaying your EMIs and credit card bills on time. This timely repayment will not only improve your CIBIL score but you will also be in better position to negotiate for better interest rates on any type of loan.

Calculation of Interest: It is advisable to understand the interest calculation methods before taking an offline or Online Personal Loan. Some lenders may offer flat interest rates on loan where the interest is calculated on entire loan amount whereas some may offer loan at reducing rate of interest which is calculated on remaining principal amount. Having a better understanding of calculation method will save you a lot of time and efforts by avoiding paying a higher interest rate on personal loan.

If you are still unable to decide how to get a personal loan at competitive interest rates, you can avail it on ShubhBank.com. Our loan processing is hassle free with minimal documentation, collateral free and flexible repayment options as well as with the approval in just few business days after applying a loan.


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WHY PEOPLE ARE PREFERRING MORE PERSONAL LOAN NOWADAYS

Posted on Thursday April 30th, 2020

Among the COVID-19 breakdown, the demand of personal loans has been increased as the cost of living is increasing as well as the ease of availability makes it the best option among all other financial products. It is an unsecured loan and has great potential to meet your financial emergencies and provide you with the funds needed to make significant purchases. There are also some other reasons why people are preferring more Personal Loans nowadays. Let’s have glance at those reasons:

Medical Urgency: There are few costs that protections plans don’t cover related to health related crisis and these can mount quicker than one can imagine. In such cases, many people choose the Personal loan from ShubhBank to meet these costs. With the hiking prices of healthcare facilities, surgeries and major illness cost a lot.

Debt Consolidation: It is one of the most important reasons to secure a personal loan these days. Debt trap are common and everyone at some stage of life get debt trapped. However, personal loans are bit expensive due to high interest rates but they are way cheaper than credit cards which incur interest over 30%. It is also beneficial when you have to pay for more than one or two loans, in that case, you can repay all the pre- existing loans by taking Personal Loan.

Improve Credit Score: A low credit rating always panic you as it affects your creditworthiness for future borrowing. Personal Loan is a great financial tool and individuals with poor credit score can take a small amount of this loan and timely repayment of this can boost their credit score but never default on the repayment as it can result in fall of credit score again.

Starting New Business: Getting approved for a business loan to start-up a new venture is a tough task. You have to meet certain criteria and have to submit piles of documents to qualify a business loan. Therefore, going for a personal loan is the best option as there is no restriction on the use of borrowed money.

Marriage Expenses: Our country is known for big fat wedding as people take this event on their financial status. It needs lakhs of money from costumes to catering, nowadays; shortage of money is not a big deal. As things are changing these days and availing a personal loan from ShubhBank is a best solution to that situation.
Purchasing Latest gadgets: Advanced mobile phones, new age home apparatuses and upgraded technology have turned out to be more extravagance than need. All these things make the personal loan a great choice to acquire your dream gadgets.

Today, the number of personal loan borrowers is increasing to greater extent due to certain obligations or may be dreams. But always be careful about borrowing as it is not a fun, you are bound to repay much more along with the interest rate. Always think wisely before borrowing and Apply For Personal Loan at ShubhBank whenever you are in dire need.