Personal Loans – An Overview
Personal Loans are loans that can be availed for any purpose. Planning a Wedding, Vacation or Travel is lot more easier than you think of with “Personal Loan” facility at bank. Personal Loans are your savior especially at the time of a cash crunch situation. All your personal expenses can be met with great ease and comfort by applying for personal at your nearest branch. You can avail Personal loans to get away with all kinds of expenditure and meet your immediate financial need without putting strain on your pockets. Personal Loans will assist you in order to meet your financial needs and at the same time lets you enjoy the luxuries of your life with your dear ones without having you spend your hard earned cash. Here are some advantages of availing personal loans:
- Hassle Free
- Very less documentation
- Quick Process and Sanction
- Fastest Disbursal
Features of Personal Loans
Personal loans usually start ranging from Rs. 50,000 – Rs. 25,00,000 for a salaried professional at a fixed rate of interest of 10.85% upto 37% p.a. Customer can avail personal loans to match their unpredictable financial needs like educational expenses, weddings, holiday plans, medical treatment, and renovation of house including free insurance for the loan. Approval time for the personal loan is very less by virtue of which you can get cash almost instantly. Personal loan scheme varies for a salaried individual, self-employed, and pensioners.
Loan Amount – Rs. 25,00,000/-
You can get personal loans can be easily availed either at a bank or conveniently apply for personal loans online. You can apply for loan amount ranging from Rs. 50,000 upto Rs. 25,00,000/-. If you are a salaried professional your eligibility is based on your monthly income and also repayment history.
Rates of Interest – 10.85% upto 37% p.a.
Rate of interest on Personal Loans starts from 10.85% per annum upto 37% per annum.
Repayment of the loan amount can be done conveniently through electronic clearance system. Your EMI can be subjected to automatic deduction on a specific date. You can also make a repayment through Post Dated Cheques.
Fore Closure Charges
Pre-payment of your personal loan can be done at any point of time during your loan tenure without bearing any additional cost. Fore-closure without any penalty is boon to any personal loan. Normally you can make a pre-payment anytime after your first EMI has been deducted. Pre-payment amount should not be less than a sum of three EMIs however there is no maximum limit for the same.
Loan tenure - 5 years
Personal Loans can be paid back your during long loan tenure starting from 12 months upto 60 months. Longer loan tenures ensure that your EMI is nominal, however, the longer the loan tenure the higher is the rate of interest you will bear towards your personal loan. Therefore you can choose what you want to go with.
Processing Fee: upto 2%
Processing fee upto 2% is charged for processing your personal loan document. Personal Loan- Advance Part Payment: There is no need of making any advance part payment towards your loan amount however
Know Your Eligibility
• Age: You are considered eligible for a personal loan if you are more than 21 years old or less than 65 years old.
Salaried: You are eligible to avail a personal loan in anywhere across India if you are drawing a monthly salary of Rs.17,500/-
Self Employed: You are eligible to avail a personal loan if you have a steady monthly income.
Know Documents Required:
• A photo ID proof which has been issued by the government authority.
• A valid age proof issued by the govt. of India.
• A valid residence proof issued by the govt. of India.
• An application form which is duly filled and signed by the applicant.
• Bank statement of past 6 months which has been duly stamped by the authorized signatory of the issuing bank branch.
• For Salaried:
✔ Last three months salary slips
✔ Form 16 or a valid IT return form
For self employed professionals:
✔ Preceding three years IT return certificate along with computation of income.
✔ Last three years reviewed and certified balance sheet and P&L account.
Credit Score is a Score which is calculated based on your financial history. It is a track record of your past financial transactions. Anyone who is regular at paying his or her credit in form of their payments towards credit cards, existing or outstanding loan of any kind is certain to have a higher “Credit score”. A higher credit score will empower you and increase the probability of the bank to grant an approval on your personal loan anywhere across India without a hassle.