Why is it best to apply for a Personal Loan online?

 A Personal Loan is a widely availed consumer debit product. In comparison to other Loans, it is more accessible. It also has a quick processing time. This is why most people prefer it as a borrowing option.

Moreover, securing a Personal Loan has become relatively easier today. Various online Loan portals offer it. To apply for the same online, you only need to follow some steps. They are also easy to understand and take minimal time to complete. While these are just a few benefits, here are some others:

1. Ideal for emergencies

In times of financial crisis, you need to arrange funds swiftly. You usually do not have time for lengthy procedures as expenses need to be funded immediately. Through online Personal Loan application, you get funds instantly. You do not have to stand in long queues and wait for your turn. This saves you a lot of time. If you upload the right documents on the website or Banking app, the process gets done even faster.

2. Quick documentation process

The documentation process online is quite simplistic. You can scan the requested documents and upload them directly on the web portal. This way, you discard the hassle of carrying around photocopies. The risk of loss or damage is also reduced.

3. Faster approvals

Traditional application processes are subject to external factors. These factors are usually not in your control. Sometimes, the manager may not show up. In other cases, the bank may be shut down. These disruptions delay the process. However, online loan application processes are systematic. They are to the point. Most online portals enlist the interest rates so that you can apply for the Personal Loan in an informed manner.

4. Easy access

It is tricky and inconvenient to keep track of traditional Loan applications. You may misplace the documents. Because of this, you could have to start over the process. To avoid this, it is wise to apply for the Loan online. Online portals store your data systemically. All your information becomes easily accessible. Details like your Savings Account or income proof stay safe and confidential.

You can monitor it and your application status. As a result, you do not have to depend on intermediaries for assistance.

5. Simple research

Traditional Loan application processes are overwhelming. Each lender has a different set of benefits. It is hard to keep track of who offers what. But this is not the case in online applications. Through online loan portals, you get detailed information. They give you the best deals on quick Personal Loans. This includes affordable interest rates, processing fees, loan tenures, etc. You can choose who matches your requirements. This way, you make sound decisions.

6. Round-the-clock support

Most online lenders offer 24x7 customer support. Their customer service team guides you through your issues. They also resolve your queries.

Types of Personal Loans to apply for

 Personal Loans serve as viable options when you want to satisfy immediate financial needs. Their instant disbursal and easy application process make them an appealing option. Besides, unlike other forms of Loans, you need not submit any collateral to avail of them.

Today, you get a Personal Loan for various purposes. Some examples include higher education, medical expenses, debt consolidation, holidays, etc. However, you also get such a loan based on the interest rates. It is essential to know about them to select one that suits your needs. Here are a few explained:

• Secured Loans

It is wise to opt for such Loans if you have any financial assets like jewellery and property. Such Personal Loans offer lower interest rates because of collateral. The lender can seize the collateral submitted if you fail in repayment. Hence, it is best to ensure that you pay the Equated Monthly Instalments on time.

• Unsecured Loans

They are the most popular form of Personal Loan in India. They levy the highest interest rates. Lenders face a higher risk due to no collateral submission. Hence, they find a means to compensate for the risk-bearing. Also, factors like your credit score, income, and debt-to-income ratio determine the rate charged. These factors indicate your creditworthiness the best.

• Fixed and variable-interest Loans

In most cases, lenders also offer Fixed-Interest Loans. These come with fixed Personal Loan interest rates that stay consistent throughout the Loan tenure. You also get an idea of the rate charged beforehand through the website or Banking app. In Variable-Interest Loans, the interest rate fluctuates based on market benchmark changes. As a result, you pay varying interest during the Loan term. 

• A personal line of credit

Such a Personal Loan does not have any fixed instalments or duration. It is a revolving credit you can avail of instead of a lump sum. It works just like a credit card. Lenders offer this facility based on collateral or by connecting to your checking account. Such quick Personal Loans are apt for emergencies and immediate financial needs. They come with various benefits and interest rates.

Hence, you get the option to select one that satisfies your financial requirements. However, it is best to compare lenders and check for their offerings before doing so.

• Debt consolidation Loan

This is a combination of all the Loans. It has a lower Annual Percentage Rate. Thus, you pay lower interest rates instead of multiple varying rates. It is best to opt for them if you have many debts and want to simplify the repayment. The amount is also disbursed to your Bank Account immediately.

Tips for choosing a Personal Loan

1. Consider the purpose of the Personal Loan
2. Take into account the repayment terms
3. Read the fine print of the terms and conditions
4. Mind the interest rates

A beginner’s guide to Personal Loans for self-employed professionals

 Running a business helps you overcome the limitations of earning a monthly income. But it is an equally challenging job, which entails a host of responsibilities. It is also relatively risky as you can incur unexpected expenses at any given moment. In times like these, you cannot simply rely on your savings.

Instead, it is wise to opt for an Instant Personal Loan for self-employed individuals. It is a type of Personal Loan that caters to the needs of people who run their enterprises. Whether for business-related purposes or personal reasons, it provides the necessary financial assistance in times of emergency. Let us understand what it offers:

Swift eligibility check

Reputed lenders provide a list of eligibility requirements on their website or Banking app. You can go over the same quickly before you go ahead with the application process.

Paperless documentation process

If you take the digital route and apply for the Personal Loan online, you easily dodge extensive paperwork. All you need to do is follow the specified steps and submit documents to complete your KYC verification. The following are some of them for reference:

• Original photocopy of Aadhaar Card
• Original photocopy of PAN Card
• Salary slips for proof of income
• Your online Bank Account statements

Flexible & convenient Loan tenures

Repaying the Loan amount can seem intimidating. But if you choose a reliable lender, you enjoy flexible repayment tenures. For instance, some banks offer tenures ranging from 12 to 60 months, giving you ample time to repay the Loan and go debt-free.

Pre-approved offering

In some cases, banks offer a pre-approved facility. Under it, qualified individuals get the loan amount disbursed to their Bank Account instantly.

Competitive rates

In most cases, banks provide competitive rates to eligible applicants. This way, you do not have to endure a huge financial burden.

Loan repayment options

In most cases, you get Loan repayment options. You can choose and monitor the same online or through the app to repay the Instant Loan for self-employed individuals like yourself.

No collateral needed

Like any other form of Personal Loan, this type also does not mandate the submission of collateral. You only need to meet the eligibility requirements and follow the specified application process. The rest is taken care of by your lender.

Financial assistance

In times of financial emergencies, you usually have a host of expenses to tend to. There is no time for you to arrange funds and using your savings is not advisable. This is why it is wise to opt for a Personal Loan for self-employed individuals to avoid such occurrences.

Better Loan amount limits

Most banks offer Loans for self-employed individuals ranging from Rs. 25,000 to 5 lakh. Such availability gives you the liberty to choose according to your needs. However, it is best to check your eligibility before choosing an amount.