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Personal Loan

Things to Know about a Personal Loan Overdraft Facility

Lending wisely is vital at a moment when interest rates are going up. Most folks take personal loans for urgent cases. On the other hand, an overdraft account at a bank may assist in carrying over all short-term financial demands while averting the disposal of other assets and investments. A bank will let an account owner withdraw funds in excess of the amount allocated in his account. The bank sets the credit limit relying on the account holder’s balance. The interest rate is based on the sum of the overdraft as well as the time. [B-01] What Exactly is an Overdraft Facility? A personal overdraft is a service that allows users to withdraw cash as needed. Folks may use the facility up to a set limit on their current savings account & any pre-approved debt sum. Folks may make several withdrawals and refund the withdrawn cash whenever they choose. The most tempting aspect of an overdraft facility seems to be the interest. The interest is only paid on the sum used out of the full allowed limit. The overdraft limit is set by any lender or banking firm based on a user’s contact with the bank. Personal loan overdrafts are offered by both private and public lenders to meet a range of needs. It is a kind of short-term loan. Personal Loan Overdraft Facility Features 1. Rate of Interest Personal loan overdraft interest rates are paid solely on the sum taken, not the approved limit. Yet, the interest rate charged on the sum is often greater than the rate charged on term debts. Thus, personal loan overdrafts are most suited for folks who can return their debts in a short time, say 2-3 months. 2. Credit Limit Folks in debt may only borrow up to the approved limit. The credit rating, monthly salary, cash flow reports, and other factors set the overdraft limit. The borrower may withdraw from the approved credit limit an endless number of times and return it in whole or in instalments based on their cash flows. 3. Method Bankers often need 2-7 working days from the date of request to release the debt sum for personal debts. Personal loan overdraft facility payback time must be close to normal debts. Some banks also give pre-approved loans with faster payout to a small group of buyers. Such banks may also provide pre-approved overdraft facilities with quick payment to select users. 4. Term Personal loan overdraft facilities are often offered for terms of up to 5 years. However, some banks may provide overdraft facilities for shorter terms with the chance of renewal at the end of the initial term. 5. Repayment choices Folk may repay their debts as per their income. Certain banks ask folk to pay the interest monthly. 6. Prepayment Fees Unlike term personal loans, personal loan overdrafts do not have a payback plan. Folks may return the major part when funds become ready without paying any late payments. As per RBI rules, banks cannot impose prepayment fees on those who take out term loans at variable rates. They may, however, impose prepayment fees on fixed-rate personal loans. The Benefits of Using an Overdraft Facility Aside from meeting short-term needs, an overdraft loan may also offer buyers the following perks: Get Quick and Rapid Cash It enables users to get quick cash to suit their own needs. Folks may satisfy their urgent monetary needs with overdraft debt. The overdraft facility allows users to get a short-term debt against their savings account, fixed deposit, or salary account, as well as any pre-approved debt. Interest Rates That Are Fair Any bank or lender may give them reasonable interest rates on their overdraft sum if folks have a decent credit score and a solid prior transaction record. Flexibility Folks enjoy taking what they need and paying interest only for the cash taken. For instance, if their permitted overdraft level is Rs. 20000 & folks have only taken and used Rs. 10000 for the whole term, they would only be charged interest on the taken sum of Rs.10000. Users may also opt to repay at their leisure within the time frame given. Paperwork is minimal There is very little paperwork needed. Users already have a link with their lender so that they may go via a concise and minimum paperwork step. Aids in the Control of the Cash Flow If users are facing a short cash crisis, a personal loan overdraft facility may assist them in managing their cash flow in unexpected events. No EMIs are needed Users are not needed to return the sum in EMIs in this case. As a result, there is no risk of missing their EMIs or having a check bounce owing to a lack of funding in their account. Folks may return the interest whenever it is suitable for them. Papers Needed for a Loan For Salaried Folks PAN card, Aadhar card, and driving licence are valid forms of identity. Proof of signature Address proof Salary slips over the past three months Bank reports over the past six months Form 16/ITR Self-employed Folks ITR for the past 2 years, as well as the P&L statement, balance sheet, & income estimate for the past 2 years Company Validation Use Form 26 AS, TDS certificate (Form 16A) or Income Tax Challan for income tax declared Personal Overdraft Loan Eligibility Requirement Below are the qualifying rules for the overdraft facility: Applicant must be a resident of India. Folks must be either paid or self-employed. The minimum age must be 21. The maximum age must be 65. Candidates should already have contact with the lender. A high CIBIL or credit score will be a benefit. [B-02] Final Word The personal loan overdraft facility allows folks to borrow cash over what is present in their bank account. While applying for the personal overdraft loan facility, folks and the lending firm in concern agree on an allowed debt sum. The debtor may repay the debt at their ease. Due to this, the Overdraft Loan facility is among users’ most common loan choices to cover various finance needs without regard to credit. Piramal Finance has similar blogs for people to help them get a personal loan. Give the blogs a read and check out the other services they offer.
08-11-2023
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Personal Loan

Personal Loan in Mira Bhayander. Check Eligibility & Apply Online

Mira Bhayandar is a local city in Thane district. The town is close to Mumbai. This makes it one of Thane’s most popular areas. The town has changed very much over time. It has many colleges, a Fantasy Park, and advanced medical facilities. The place is now densely populated. People are moving here in search of a higher living standard. Money crises may strike at any time. You may need funds to pay school and college fees for your kids. There could also be a wedding at your home. There may also be a sudden medical emergency to cope with. If you are going through tough times, you must consider taking an urgent personal loan online as a backup. At Bhayandar, many bank branches give personal loans. Getting a personal loan at low-interest rates in Mira Bhayander may help you to meet your financial needs. [B-01] Benefits of Taking a Personal Loan in Mira Bhayander Some benefits of taking a personal loan in Mira Bhayander are: Fast Loan Approval A personal loan in Mira Bhayander is approved fast. If you match the eligibility criteria, the loan gets approved quickly. Less Associated Charges If you are planning to foreclose your loan, then you can do the same by paying a nominal fee. Unique Offerings You can avail of a customised plan, based on your needs if you take a personal loan in Mira Bhayandar. No Collateral Required You are not asked to submit any collateral while applying for a loan. Personal loans are collateral-free. What is the Highest Amount of Personal Loan a Person Can Get? Many aspects decide the maximum Personal Loan amount you can get in Bhayandar. It includes income level, job, and how lenders check your background. In general, lenders grant loans based on their calculations.The personal loan calculator provide an estimate about how much loan you are eligible for. As a result, the EMI is less than 50% of the person’s monthly income. When assessing the personal loan amount, lenders also check whether the person has any unpaid debts. Eligibility Criteria to Take a Personal Loan in Mira Bhayander Check the eligibility criteria to apply for a personal loan in Mira Bhayandar. Your age should be minimum of 21 years You should have a minimum of two years of work experience Your credit score must be above 600 Your monthly salary should be Rs. 15,000 Documents Required for Personal Loan If you are planning to apply for a personal loan in Bhayander, you must need the documents given below: Common for all: Proof of age Residence proof Identity proof Bank statement for the past six months For salaried persons: Income proof: Salary slips from the last three months. Proof of tax return Form 16 For self-employed persons: Tax return proof of the past three years The last three year’s calculated taxable income Approved audit sheet and profit & loss statement Factors that Affect Eligibility of Personal Loan Income: People with a higher income are more likely to get a bigger loan amount than those with a lower income. Credit score: It is an essential factor for eligibility. A credit rating of 700 or above is generally good for personal loans. The higher your credit score, the greater chances you have to get a loan. Work stability: Your work stability is important to get a personal loan. If you own a business, then you need to prove the continuity and profit to get a loan. Person’s age: You must be at least 21 years old to be eligible to apply for a loan. Banks use their criteria to assess the upper age limit. You should not be older than 65 years at the end of your repayment tenure. Loan amount: The person should apply for a loan amount that they can repay quickly. It improves the eligibility for a personal loan. It also boosts the chances of approval. Things to Consider Before Taking a Personal Loan in Bhayander You should carefully access all the loan offers, before finalising one. Ensure that you do not fall for fake offers. People sometimes get tricked when they try to find lucrative offers. Try and maintain a good credit score. It improves your chances of getting quick loan approval. This is an important eligibility criteria to get the loan amount approved. If you have an ongoing loan, try to finish that first, before applying for another loan. Do not get the personal loan approved just to fulfil your fancy. Ensure that you get a loan approved for a genuine need of yours. [B-02] Conclusion When it comes to getting a loan, you may find many attractive options. Home equity loans, credit cards, and other forms of funding are available. On the other hand, personal loans are often the ideal choice. Personal loans are usually cheaper than credit cards. They are funded faster than home equity loans. People usually exhaust their bank’s term loan limits. As a result, they need funds to meet their need. This is when a personal loan can come to help. You do not need a co-applicant for personal loan approval. You can get one if the loan amount is high. In such cases, income and other proof of co-applicants are also required. Pre-approved loans are also offered by banks to limited customers. This type of loan does not require a lot of documentation. Readers can visit the Piramal Finance website for more information on Personal Loans in Mira Bhayander. You can check their products and services. They have informative articles on various finance and other topics.
08-11-2023
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Personal Loan

Personal Loan in Rajahmundry - Check Eligibility & Apply Online

Personal loans are taken from banks without paying any security. It requires lesser documentation. You can use this amount to meet any of your emergency needs. It is like any other debt. You need to return it within the defined tenure. This could be from a couple of months to many years. Rajahmundry is growing rapidly and has a great demand in the finance sector. The population is increasing, and so is the living cost. Hence to meet the same, you may need personal loans. Many leading financial institutions are offering loans here. Eligible customers can easily avail of the personal loan in Rajahmundry. [B-01] Types of Personal Loans All personal loans are the same. The major difference is between the lender’s policy and loan plan. Here are some basic types of personal loans that you should know about: Unsecured Loans Many personal loans are not secured. You are not required to give any precious things as security to apply for a personal loan. Repay the loan through monthly instalments within the fixed tenure. Secure Loans To get secure loans, you are required to submit the collateral. It could be a house, car, or other asset types. The lender will seize your security if you cannot repay the loan. Specialized Lenders Many specialized firms provide personal loans to people. They do so to make you avail of their products and services with ease of payment. For example, if you buy a refrigerator from a store, they may help you to pay the amount in easy instalments. Why Take out a Personal Loan in Rajahmundry? Here are some reasons why you should take a personal loan in Rajahmundry: They are an easy and safe way for you to get immediate finances There is no need to provide any security Loan in Rajahmundry gets instant approval A personal loan does not need you to produce a co-signer or security No collateral is required You can get the personal loan approved within two days You can use this money to meet various important personal goals It has easy terms and conditions It is based on your credit score and payback skills. Documents Required for Personal Loan in Rajahmundry Check the list of the documents required to get a personal loan A personal loan registration form needs to be filled out and signed Passport size photograph A passport, driver’s license, voter ID card, government ID card PAN cards, or Aadhar cards, are all kinds of identification Statements of accounts: most recent pay slip with salary data Tax returns from the last 2 years Account bank data, most recent power bill, latest mobile bill Monetary statements or bank passbooks with data from the last six months Factors Affecting Personal Loans in Rajahmundry Inspection Is Essential It will help you if you consider whether the loan is important. How important is it? Will you be able to manage without getting it approved or not? EMI has to be taken into account You need to check the amount of EMI and then decide whether you will be able to pay it timely or not. You need to consider this factor before applying for a personal loan. Check the Interest Rates Offered by Various Providers You should check the interest rates offered by various institutions before applying. You should choose the lender offering a personal loan in Rajahmundry with the lowest interest rate. Extra Charges You should consider other costs related to personal loans while applying. This cost may be late penalties, processing fees, etc. CIBIL Rating You need to maintain a good CIBIL score to avail of a loan. It would be difficult for you to get a personal loan with a poor CIBIL score. Personal Loan Processing and Payment Costs in Rajahmundry Every NBFC and bank charges two types of fees given below: The processing fee is what the bank charges when processing your loan application. The processing fee of a Personal Loan in Rajahmundry is 1% of the approved loan amount. The second is pre-closure fees. It can be applied if you want to close your loan before the estimated time. Pre-closure charges differ from bank to bank. How Much is CIBIL Score Needed to Get a Personal Loan? The least CIBIL Score needed to take a Personal Loan in Rajahmundry is as follows. To approve your loan request, most firms demand a minimal credit rating of 750. Many firms consider your income and job security when giving a loan. These lenders consider the total credit score and complete record of past loans. This contains data about the types of loans as well as the amount of the loan. Any late payments on past loans may prevent you from getting a new loan. [B-02] Conclusion A personal loan in Rajahmundry is a sum of money from a bank or other financial firm. This loan has an already decided payback time. It also has fixed monthly instalments. Usually, personal loans are unsafe. This means the person is not forced to give security to get the funds. A personal loan has interest rates ranging from 3% to 36%. You get time up to 7 years to pay back the loan. Through various financing institutes, personal loans in Rajahmundry may be obtained with fewer documents and a simple process. If you need help with finances, you can always take the help of experts such as Piramal Finance to guide you through your financial woes. These blogs will help you understand the nuances of many finance-related topics.
08-11-2023
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Personal Loan

Personal Loan in Thane – Check Eligibility & Apply Online

Thane is an urban region in Maharashtra. It is the 15th most populous place in India. It lies in the northeastern part of Salsette Island. With its large network of rails and well-linked routes, Thane is a good place for working people and firms. No matter how well you are doing, monetary crises can strike at any time. A personal loan can be a good option for many reasons. You can pay for your higher studies, a medical emergency, or the desire to pay off existing debt. You can apply for a personal loan from a bank or an NBFC, based on their eligibility criteria. [B-01] Personal Loan in Thane Personal loans are not secured loans. It does not require you to submit security in any form. Financial firms and banks offer personal loans in Thane. To avail of the loan, you need to follow the eligibility criteria laid down by the institution. Personal Loan Process in Thane The amount you need is the first step to getting a personal loan. You can choose how much money you wish to spend to meet your needs. You can apply for a personal loan in Thane by visiting a bank or using the internet. If you are planning to get a personal loan online, then you have to follow the steps mentioned by them. You can apply for the loan in person at the bank also. After you apply, the bank will check your credit rating, and last credit record to confirm your eligibility for the loan. How Do People Get a Personal Loan with the Lowest Interest Rate in Thane? Before applying for a loan, you should check the interest rate and the other factors impacting it. Instead of expecting bank officials to check these factors, you should do this by yourself. If you are taking out a personal loan for the first time, then the items listed below are crucial for you to consider. It helps you to get the best interest rate. Down payment: When applying for a personal loan, do not ignore the effect a down payment has on the rate of interest. Ensure that you make the downpayment of at least 20% of the loan balance. It will reduce your interest rate. Credit history: Your credit score impacts the rate of interest on the loan given by the bank. A better credit score helps in getting a loan at a low-interest rate. A credit score of at least 750 is required to get a personal loan. Debt-to-income ratio: Before approving a loan application, banks and NBFCs look at the person’s debt-to-income ratio. A debt-to-income ratio should be less than 40%. A debt-to-income of more than 40% or 50% may lead to the rejection of your loan request. Seek the best loan offer: Instead of getting loan approval from the bank that holds your salary, check other financing options. You should look around to find the bank or NBFC that offers a loan meeting your financial need. Negotiate: It is essential to negotiate the rate of interest added to your loan amount. Most of us are not aware of the fact that we can do that. By doing so, you can get a better offer. Total work experience and the firm you are working in: Having good work experience and working with a renowned company, will help the bank to put their trust in you. These factors are important in deciding the interest rates as well. Salary Criteria for Thane Personal Loans Your income determines whether or not your loan will get approved. The salary requirement may differ from bank to bank. The type of loan and the duration selected by you is also a crucial factor. Below are the basic salary needs for applying for a loan: For salaried persons: Your monthly salary should be between Rs. 7,500 and Rs. 50,000 to get a personal loan approved. For self-employed persons: NBFCs and Banks assess the self-employed person’s income over the last two years. Generally, your profit for the year should be between Rs.1 lakh and Rs.2 lakh to get loan approval. Documents Required for Personal Loan in Thane For salaried persons: Employment proof Account statement of last 3 months Salary slips of last 3 months 6 months’ bank passbook Address proof (Voter id card, Passport, Aadhaar card, driving license) KYC Documents Identity proof (Aadhaar card, driving license, passport, voter id card) For non-salaried persons: KYC documents PAN Card Last 6 months’ bank statement Income Tax Returns and balance sheet with profit & loss account audited for last 2 years. Firm continuity proof Eligibility Criteria for a Personal Loan in Thane Different banks and lending firms have different criteria for granting personal loans. Here’s what the person should know before applying for a personal loan. You must be a resident Indian citizen. Your age should be between 21 to 58 years. Your monthly income should be at least Rs. 20,000. Your overall work history should be at least 12 months, with a minimum of six years with the present firm. Personal Loan Processing Fees in Thane For Loan applications, every bank and NBFC levy a processing fee. Processing costs range from 1% to 2.5% of the loan amount sanctioned. If you want to pay off your loan early, the company may charge you a small fee. [B-02] Conclusion If you want to take personal loans in Thane, you should consider the features and perks that are offered to you. Personal helps in meeting various expenses. Personal loans in Thane may be obtained with less paperwork and a simple process. To know more about the loan processes and other types of loans, do visit the official website of Piramal Finance.
08-11-2023
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Tax Savings

10 Tax Saving Personal Finance Ideas for 2022

As per income tax laws in India, all individuals with incomes exceeding the basic exemption limit must file their income tax returns (ITRs) annually. ITRs declare the annual incomes and tax liabilities of individuals. The Income Tax Act of 1961 offers various tax rebates and exemptions. Understanding these will enable you to manage your finances efficiently. Read on to find out how you can save on income tax in 2022. [B-01] How to Reduce Tax and Improve Personal Finances Here are ten ways to reduce your income tax and improve your personal finances: 1. Investment in tax-saving instruments Section 80C of the Income Tax Act of 1961 offers certain tax deductions on amounts spent on some instruments. This is to encourage savings. Some of the common investment instruments for tax planning are given below. Employees’ provident fund (EPF) Fixed deposits (term of 5 years or more) Public provident fund (PPF) ELSS mutual funds Life insurance policies National pension scheme (NPS) Other pension plans. Investing wisely in these instruments will help you plan your finances and save on taxes up to Rs 1.5 lakh per fiscal year. 2. Choose a suitable tax regime The government of India offers two tax systems. The new income tax system offers lower rates without any exemptions or deductions. You can choose one of the two options when filing your ITR. Choosing a suitable tax regime is key to improving tax savings. Choose the old tax regime if you wish to benefit from tax deductions under Section 80C of the Income Tax Act. Otherwise, opt for the new tax regime to reduce your income tax. The right choice will also help you manage your personal finances effectively. You can use an online income tax calculator to find out which option is best for you. 3. Choose suitable components from the salary structure If you are a salaried individual, assess your salary structure carefully. It is important to understand the key components of your salary. Your salary structure may include the following components: House rent allowance (HRA) Provident fund Retirement benefits Telephone and internet expenses Education allowance Medical reimbursement Food coupons. Choose components that can maximize your tax benefits. 4. Increase contributions to retirement funds Salaried individuals can contribute to the voluntary provident fund (VPF). Ensure that the asset limit is less than Rs. 1.5 lakh. This additional contribution is exempt from income tax, subject to certain conditions. The employer’s contribution to the NPS will also be deducted from your salary. This contribution can be up to 10% of your basic salary. Do keep in mind that your contribution to the EPF and VPF must not exceed Rs. 2.5 lakh in a fiscal year. Any amount exceeding this will be taxable. You can plan your personal finances based on these calculations. 5. Take advantage of home loan tax benefits Do you have an existing home loan or business loan? You can get tax exemption for a loan from a reputed bank or a non-banking financial firm. The loan amount will not be considered part of your taxable income. The maximum deduction allowed under this rule is Rs. 2 lakhs under section 24 of the Income Tax Act for home loan interest. Rs. 1.5 lakh is the maximum deduction allowed under the Income Tax Act for home loan principal. 6. Buy health insurance You can reduce your tax liability by buying health insurance for yourself and your family. As per Section 80D of the Income Tax Act, you may deduct up to Rs. 25,000 for health insurance premiums for yourself, your spouse, and your children. Senior citizens may also qualify for a tax deduction under this section of up to Rs. 50,000. If you are paying for your parent’s health insurance, you can save up to Rs. 50,000. 7. Make suitable deductions for tuition In some cases, you may get tax benefits for some expenses. This includes Rs. 5,000 for health checkups, even if you don’t make any additional investment. Section 80D includes the above health insurance premiums. It applies to the deduction for costs related to health checkups. 8. Make suitable deductions for health checkups Do you have children attending school? You can deduct up to Rs. 1.5 lakh from your taxes for tuition fees. Section 80C offers an exemption of up to a maximum of Rs 1.5 lakh for tuition fees. 9. File Income Tax Return on Time File your ITR by July 31st or by the date specified by the income tax unit. Failing to file an ITR by the due date may lead to costly fines. ITR documents are needed for various financial transactions. It includes housing loans, high-value payments, and applications for immigration documents. 10. Choose a suitable tax regime The government has put forward a new simplified income tax regime. It was launched in the fiscal year 2020-21. You can pay your taxes at lower slab rates that are effective without some of the exemptions offered by the old regime. This is subject to certain conditions. You can compare the taxes under the current and new tax regimes. Choose the regime that is more beneficial for you. Documents Needed No documents are needed for e-filing an ITR. However, it is important to keep a record of documents for investments. This includes PF account statements, copies of insurance policies, passbooks, bank statements, and pension plans. [B-02] Conclusion Tax exemptions aim to help people manage their personal finances well. Often, people rush to invest in tax-saving instruments at the end of the fiscal year to save money. However, this negates the main goal of such deductions. The ideal time to make tax-saving decisions is at the start of each calendar or fiscal year. You can save taxes and build wealth by investing regularly in many tax-saving avenues. However, it is essential to understand all the investment options to save tax. Invest in options that are suitable for you. You can visit the Piramal Finance website for more details about tax saving personal finance ideas. You can also explore their products and services to plan your finances.
08-11-2023
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Personal Loan

How Can a Personal Loan Help You Relocate to a New City?

Moving from one place to another can be just as stressful as it is costly. If someone is moving to a new city, they will need some extra money to pay for transportation, furniture for the new house, or even the security deposit. When moving to a new city, an instant personal loan can help people pay for these extra costs. This article will discuss how to apply for a personal loan and its pros and cons. The article will also discuss the alternatives to personal loans. With a personal loan, one can pay for all the transportation costs, hire people to help load and unload goods, and pay for a temporary place to live until the new home is ready. [B-01] Pros and Cons of an Instant Personal Loan As the name suggests, personal loans are used to pay for personal needs. But a person shouldn’t get a loan if he can’t pay back the monthly interest. If the person doesn’t pay his monthly bills, it will hurt his credit score. Let’s look at the pros and cons of instant personal loans. Pros of an Instant Personal Loan Quick and easy access to funds Some lenders put the money into a person’s bank account the same day or the next day after a loan is approved. It makes it easy to access money. Flexible loan terms The best thing about an instant personal loan is that a person has from 12 to 84 months to pay it back. Long-term loans mean the person has to pay more interest until the loan is paid off. No collateral is required A person doesn’t have to put up collateral when applying for an instant personal loan, and he can get the loan quickly. Fixed interest rates Fixed interest rates make instant personal loans even more popular and helpful. The same payment will have to be made until the loan is paid off. To pay for medical emergencies A personal loan can help a person with medical emergencies if he moves to a new place. Cons of Instant Personal Loans Long-term debts As mentioned above, the loan repayment duration ranges from 12 to 84 months, leaving clients in long-term debt. High rates of interest Interest rates can go up over time. How to Apply for a Personal Loan? Try to find a lender Use Google. One can find a lot of lenders online and should read their terms and conditions, minimum credit score requirements, and fees carefully. Contact several lenders Talk to different lenders to find the best terms and conditions. Also, ensure that the lender gives the person the lowest possible interest rate on the loan. Calculate the relocation budget When moving to a new city or place, a person doesn’t always need to take out a big loan. He should figure out what he needs and know what he wants. Personal Loan Alternative Some people want to avoid the high cost of instant personal loans, so they look for alternatives to fulfil their needs. So let’s look at alternatives to an instant personal loan. Family loans: They are considered the best way to avoid interest or pay little interest when overseeing expenses. Savings: Some people use their savings to cover expenses rather than applying for a personal loan. Payday alternative loans: if the credit score is low and the person is not eligible to get a suitable personal loan, he can consider payday loans. These loans are designed to help them avoid high-interest loans and last 12 months. Risks of Using a Personal Loan Loans always come with many risks. Some risks of taking a personal loan are given below: Not having enough money to pay your instalment The most significant risk of opting for a personal loan is that you won’t be able to pay back what you owe to your lender. You could face severe financial consequences if you can’t afford the monthly loan payment and the debt on your loan. Taking on excessive debt If you take out a personal loan and agree to make monthly payments, this debt may prevent you from achieving other goals you may have. This is because you will no longer be able to save, as you will be paying off your debt with your income. [B-02] Conclusion Getting an instant personal loan can make moving to a new city easier. But be careful before you take the loan. Keep in mind the extra costs and how you will pay the instalments. Moving to a new place is hard, but personal loans can make it easier. To know more, visit the Piramal Finance website and explore their products and services.
08-11-2023
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Personal Loan

Personal Loan: How It Makes Your Gifting Easy This Diwali

The festive season of the year has arrived and so has the gifting season. Diwali is a festival that honours prosperity as well as the triumph of virtue over evil. Many people use the festival as an excuse to buy furniture, electronics, or even a car they have been saving for. People mostly spend a lot of money on home décor, apparel, and jewellery, but the long-term effects could be difficult to manage. Taking a personal loan could make your Diwali expenses a lot easier than you could think. [B-01] How can a personal loan make your Diwali gifting easy? Instead of using all your money on festive expenses, you can get a quick personal loan to cover both major and minor expenses. Diwali might be called the biggest shopping day of the year. Apart from vacations and home decor, people invest a lot of money in clothing, gifts, and home furnishings. Such regular and large monthly spending can drain your savings at times. To deal with such a rise in expenses, you might need some more money. Getting a personal loan is a very easy and quick solution to huge festive expenses. Here are a few good reasons why and how to take a personal loan this Diwali season: 1. Personal loans do not need any security It is the holiday season and the last thing you need is to secure a loan by putting up collateral and passing through a bunch of hoops. You do not have to put up any collateral or property as security for these loans because they are not secured. Instead, all you have to do is fill out an application for the exact amount of money you need. Your application will be reviewed, solely based on your credit history. It makes it easier for people of all economic backgrounds to get loans to pay for their Diwali gifting. Now that you have a personal loan, you can shop until you drop without worry. 2. Personal loans serve a variety of needs Personal loans are very flexible in terms of use, i.e., they are not limited to a certain goal like a vehicle or home loan. Here, once you have the money in hand, you can use it any way you like. A personal loan can be used for everything from home improvements to the purchase of jewellery, appliances, and electronics. Huge expenses can put a strain on savings during festival seasons – and this loan can be of big help. 3. You can apply for a personal loan online Diwali isn’t a one-night festival but a whole week of festivities, one might say. Post-Diwali night, several festivities and rituals are held, and it can be difficult to get to the bank for the loan process. If you are thinking about how to take a personal loan during busy Diwali days, we have got you covered. Applying for a personal loan online helps you take care of the extra cash you need while sitting at home. Your application will be processed in a matter of minutes as it is done digitally. Instead of spending time rushing around trying to get your loan sanctioned, you can spend it with your family and enjoy the festivities. 4. Personal loans offer simple eligibility criteria Personal loans are readily available, thanks to digital India. Lenders expect the basic eligibility criteria to be met, making it far simpler to have instant access to funds. Most loan providers will check your age, annual income, credit history, and job status before they come to a final decision. 5. Nearly zero paperwork As an added perk, applying for a personal loan online needs no paperwork at all and allows you to enjoy the joyous festival of Diwali. Your loan application will be taken care of after the authorities get your Aadhaar card and PAN. The maximum sanction amount is determined based on your income and CIBIL score, as well as the lender’s qualifying criteria. There are online tools you can use to check how much of a personal loan you will be granted. 6. Quick loan approval Applying for a personal loan online assures that you may get the money quickly. So, the time it takes to have a loan approval ranges from one day to the next. 7. You can set flexible repayment terms A personal loan offers you flexible repayment time. You can pay back the personal loan without feeling burdened by the terms. You can get this loan with easy repayment tenures. The best part is the payback terms as per the choice of the loanee. In this way, you can plan for your Diwali gifting costs and enjoy flexible repayment. [B-02] The bottom line Personal loans are a great way to cover the costs of Diwali gifting because you can apply for them online, may be used for a variety of purposes, are approved and disbursed quickly, and do not need collateral. Getting a personal loan for Diwali can free you from worrying about money while you enjoy this time of the year with your loved ones. But, it is vital to pay back your loan on time. Piramal Finance is your one-stop shop for all your queries related to personal loans, credit cards, and even Diwali loans!
08-11-2023
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Personal Loan

Personal Loan vs Business Loan

A loan is one of the most important services provided by banks. Loans make it possible for you to pay for various necessities in life. When you apply for a loan, banks will authorise the loan following assessment and will charge an interest on the amount. You are required to pay the amount back in equal monthly instalments over a specified time. Loans are available in many forms. Business loans and personal loans are two of the most prevalent forms of loans taken by individuals. What is the difference between Business loans and personal loans? Let us investigate. [B-01] What Is a Personal Loan? A personal loan is an unsecured loan that can be used for anything. You will not have to provide any collateral to receive the loan. This is the best option for immediate financial assistance. A personal loan will help you cope with financial emergencies without the hassles of procuring a regular business loan. Perks of Personal Loans No End-use RestrictionsYou are free to use the loan in any way you see fit. You may utilise the borrowed cash to pay for a dream trip, upgrade the home to a smart home, or cover health costs. High Loan AmountYou can avail of a personal loan of up to Rs. 50 lakhs. Your unique credit profile will determine the upper limit for the loan. Easy PaperworkPeople will only need a few documents to apply for a personal loan. This includes an Aadhaar card, PAN card, proof of current residence, and proof of monthly income. Flexible Loan Payback TermsPeople may repay the loan balance over 12 to 60 months. However, the maximum loan payback time accessible to them will be known by their eligibility. What Is a Business Loan? A business loan is a secured loan that can be used only for business reasons. A business loan may be used for many purposes. This includes financing startups and paying salaries. Growing the current firm infrastructure and other objectives may also require finances. Applications for business loans go through high scrutiny. The process also involves a lot of paperwork and guarantees. Perks of Business Loans Usage Flexibility Banks and non-banking financial companies (NBFCs) have no say in how the firm is operated. Their only interest is in the credibility of the firm availing the loan. A business loan is an ideal choice for maintaining complete control over how the amount is spent. Low RatesMost lenders provide fair rates on business loans compared with other forms of loans. The reason is fierce rivalry among lenders for attracting users. Availability of Various Lending ChoicesMost lenders will provide a variety of business loans to cater to the varying demands of firms. Hence a wide variety of lending choices are available in the market for business loans. Simple and convenientGetting a business loan involves contacting a lender and discussing the chances of getting funding. It is an easier and faster option than looking for investors and convincing them. Key Differences: Personal Loans vs Business Loans ParticularsPersonal LoanBusiness LoanRules for EligibilityNeeds loan payment records, age, credit score, and monthly income.Needs details such as the age of the firm, future goals, and projected profits.PaperworkA personal loan does not require too much paperwork.Procuring a business loan requires lengthy paperwork.UseThis loan may be used for many purposes.Business loans are used for furthering business needs and growth.Need for AssetsNo security is needed.A valuable asset is required as security for a business loan.PaybackPersonal loans are intended to be paid back in a short time frame.Business loans may be paid back over an extended time frame.Rates of InterestPersonal loans are unsecured. This leads to a high rate of interest. Interest rates are lower than personal loans since business loans need asset filing.Payment Time Once a personal loan is approved, the loan amount is normally transferred to the account within three days.A huge amount of due diligence is needed before clearing a loan request. The allowed amount takes longer to reach the loan account. Which Loan is Easier to Obtain? Personal loans can be easily procured if you have a strong credit history and a regular source of income. People seeking a personal loan must have a good debt/income ratio. Personal loans may be obtained without the use of collateral. However, if your credit rating is low, loans with leverage are better options. Credit is the main factor for approval in business financing. Lenders may request personal and business credit ratings. Lenders may also need year-on-year income and years in the sector. Popularity of Personal & Business Loans in India India is regarded as one of the best hubs for new firms. It now ranks third in the world for start-ups. Indians are joining the start-up scene in large numbers, owing to their advanced skills. Indians are also investing in properties and vehicles. They are also looking for loans to meet their personal needs. This has led to the market being swamped with both business and personal lending options. [B-02] Conclusion Your needs define the choice between personal and business loans. Both have various pros and cons. The basic purpose of borrowing money is to meet your needs while avoiding losses. Do you wish to jump-start your business or cover the expenses of your firm? A business loan may work for you. Business loans have lower interest rates and offer tax perks. Do you need money immediately to cover your expenses? A personal loan may be the best option. Personal loans are easy to procure and are approved immediately. You can decide the type of loan that is suitable for you, based on your needs. The amount required, interest rates, and the time frame for repaying the loan are other important considerations. Piramal Finance can help you find the best options based on your needs. You can also check out the other services they offer.
08-11-2023
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Personal Loan
Personal Loan

Tips to Manage Your Personal Loan EMI Payments

Personal loans are more important today than ever before. You can easily avail a personal loan to satisfy your long-term or short-term fiscal demands. Personal loans will help you fulfill your dreams, such as vacations and destination weddings. Once you receive the loan, it is important to repay it as planned. This is important to meet your financial goals. [B-01] Tips to Manage Personal Loan EMI Here are a few tips to help you handle your personal loan equated monthly installment (EMI) payments smoothly. 1. Make a monthly plan Start by making lifestyle changes to ensure that your monthly income can cover your loan EMIs. If you are married, you can sit down with your partner and prepare a list of your monthly salaries and expenditures. You can decide which costs can be reduced. You can also explore options for additional revenues if required. After reducing your expenses, you can keep aside enough money to pay off your personal loan EMI. 2. Set up recurring payment alert You may inadvertently skip the EMIs owing to your busy schedule. To prevent this, you can create an alert and pay the EMI 2–3 days before the due date. An even better choice is to set up recurring personal loan EMI payments from your bank account. As a result, the funds will be regularly deducted from your bank account on the set date without any input from you. 3. Restructure or consolidate your loans Check the amount and terms of your loan when seeking one. If you find it hard to pay your EMIs, discuss it with your bank. You can ask for options to alter the terms of the loan or extend the duration of the loan. Another option is to merge your old debts into one personal loan. This will prevent you from having to recall various EMI deadlines. It will also prevent large debts. 4. Assess the following options for loan prepayment You don’t have to be burdened with EMIs until the end of the loan term. You can look at options for prepayment when possible. A gift or a raise at work may leave you with additional money that can be used for the prepayment of the loan. You can find out the fines for prepayment, if any. Another option is to talk to your bank about raising your monthly personal loan EMI. This will allow you to pay off your loans faster and lower the total interest rate. 5. Prepayment of the loan You may have picked the longest loan term based on your ability to repay. This will keep your EMIs low. You can also use personal loan EMI calculators online. After you have paid the EMI for 6 months, you may prepay the debt in whole or in part with no extra fees. Even a partial prepayment may greatly reduce your EMI. Any future income inflow, such as a bonus or pay rise, can be used to lower the loan amount. This will help you handle the debt wisely and stress-free. 6. Make a reserve fund As soon as you start earning, create a reserve fund to see you through a rainy day. It is important to be prepared for unplanned events and emergencies. As a rule, refrain from spending all your money. Whatever changes in your life, your personal loan EMI payments will stay. They will be due every month. As a result, it is important to save every month while you can. This reserve fund will see you through the bad times. 7. Keep a good credit record The importance of a high credit score cannot be overstated. Reneging or delaying EMIs has a negative impact on the credit record and reduces the chances of getting a loan when you need it. Hence, it is essential to handle your personal loans carefully and repay them regularly. You can calculate your personal loan EMIs using personal loan EMI calculators online. 8. Raise the EMI amount if possible Many NBFCs provide flexible payment terms that you can use when required. If you get a pay raise or additional money, you can use the extra money to pay off your loans rapidly. Ask your bank to increase your EMI so that you can pay off the loan faster and become debt-free. On the other hand, if you face any issues with your EMIs, you can ask the bank to increase the number of EMIs to make it easier for you to pay. 9. Pay off high-interest loans first Make a list of your debts based on their interest rates. A home or personal loan will likely offer lower interest rates and tax savings. In addition, the value of a home may rise with time. Credit card loans and personal loans often have slightly higher interest rates. It is a great idea to pay these first before going on to the easier ones. 10. Make a distinct fund for EMIs Set up a distinct fund for personal loan EMIs. This will enable prompt payments even during difficult times. You can create another savings account for this. This account should only be used to make EMI payments. Ensure that this account has enough money to handle your loan and payments easily and efficiently. [B-02] Final Word Unsecured private loans are a good choice to fill a short-term fiscal gap or deal with an unplanned need or situation. You must be more diligent and engaged in your monthly budget plan. You should also strive to close the debt as soon as possible. Ensure that your personal loan EMIs are paid on time. Late payments may result in late fees and, worse, can harm your credit score, making it harder to get a loan in the future. Visit Piramal Finance for more information about how you can pay your EMIs with ease. You can also learn how to get a personal line of credit. Learn how to manage your finances with Piramal Finance.
08-11-2023
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