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Personal Loan

Everything You Need to Know About Current Personal Loan Interest Rates

There are different sources for easy personal loans. These include banks or private lenders such as friends, lending platforms, and online markets lenders. The loan fund can be used for any purpose like paying off old debts, home renovation, or covering personal costs like a wedding. A personal loan is repaid in EMIs, much like a car loan or a mortgage. And, the loan term is usually 24 to 60 months or even longer. Most personal loans are unsecured, which means that they are not backed by any asset like property, car, or any other type of security. The approval and funding times of these loans are faster than those of an equity line of credit. This enables you to borrow the money as you need it rather than all at once. These factors make it an excellent choice if you need money immediately. Continue reading to find out how to get an easy personal loan with the lowest price. [B-01] Best Way to Get an Easy Personal Loan with the Lowest Interest Rates Here are some tips and tricks that will help you get an easy personal loan at the lowest possible interest rates. Boost Your Credit Rating Your credit score shows how credit-worthy you are. High credit score applicants receive the best deals on their debts in terms of the interest rate charged, loan fees, etc. So, before asking for a loan, you should always monitor your credit score. Prevent Skipping Repayments Your credit score may suffer if you don’t make a loan or credit card payment on time. Before deciding the interest rate for a loan, lenders typically consider your history of timely repayments. A lower interest rate will likely be offered to those who have a history of making timely EMI and credit card payments. Employer Many lenders base the rates on the employer account of the loan seeker. Salaried people pay lower rates than self-employed people because the income is more predictable. State and PSU workers receive lower rates than salaried people because of their higher job safety. The next group of users for loans is those who work for MNCs and other reputable firms. These groups are thought to have a higher chance of surviving recessions than other listed firms. Keep an Eye Out for Offers During festivals, banks and other lenders typically provide special borrowing costs. Make the best of this opportunity. While such a promotion is active, you might be given an easy personal loan with a lower interest rate. Compare Interest Rates for Personal Loans Try comparing the borrowing costs charged by different NBFCs and banks before requesting a personal loan from a specific bank. This will help you get an easy personal loan at a reasonable interest rate. Talk to a Lender About The Loan If you are an existing client/customer of the bank or have a positive relationship with the lender, you can bargain to get an easy personal loan with the lowest rate. It is advised to send the loan provider a formal, written request when doing this. Factors Influencing Personal Loan Rates Banks and NBFCs have developed guidelines for easy personal loans. They base their interest rate offers on those guidelines. The following factors influence personal loan rates: Loan Amount The most vital factor banks consider is the borrowers’ required loan amount. The loan value given to you is set by your income and the sector in which you work. The Period The duration of the line of credit directly affects the interest rate. The tried-to-offer rates would then reduce as the tenure lengthened. Borrower’s Earnings The loan interest is dictated by your income. If you have a great salary and a steady income stream, the lender will be assured that you can make timely loan payments. You will benefit from lower rates and an easy personal loan if you make this impression. Potential for Repayment The capacity of the person to repay the loan is key in predicting interest rates. Lenders believe that you will repay the loan on time if you have no other debt obligations. Rating of Credit Your credit score influences how you much can finance and the rate of interest. As a result, if you possess a credit score of least 750 and no defaults, interest rates can be much lower. Interest Rates of Banks on Personal Loans as of October 2022 Bank RatesRepayment TenureBank of India9.75% – 14.75%3 – 5 yearsBank of Baroda10.2% – 17.55%48 – 84 monthsCanara Bank13.15% – 15.2%Up – 84 monthsBank of Maharashtra10.20% – 14.7%Up – 84 monthsPunjab & Sind Bank10.55% – 12.15%Up – 72 monthsCentral Bank of India11.75 – 11.95%Up – 84 monthsPunjab National Bank10.8% – 15.85%Up – 72 monthsUCO Bank11.95% – 12.2%60 – 84 monthsState Bank of India10.3% – 13.6%6 – 72 monthsAxis Bank12% – 21%36 months and aboveFederal Bank10.49% – 17.99%Up – 48 monthsBandhan Bank10.25% – 18%12 – 60 monthsHDFC Bank11% – 21%12 – 60 monthsIDBI Bank12.65%12 – 60 monthsICICI Bank10.75% -19%12 – 72 monthsIDFC First Bank10.75% onwardsUp to 60 monthsKotak Mahindra Bank10.99% onwardsUp to 60 monthsKarur Vysya Bank9.6% – 12.6%Up to 60 monthsYes Bank10% – 24%Up to 60 months The current personal loan interest rate and data are latest as of October 15, 2022. [B-02] Conclusion A personal loan is among the best money products you can get. You can get an easy personal loan to meet your various financial needs. You can apply for an easy personal loan online or offline from one of the many banks in India. The secret to a good easy personal loan application is to select the lender with the lowest interest rates. Besides, the rate of interest will affect the amount of money you plan to take from the lender and vice versa. You must compare prices to find the best deal. Check out similar blogs on Piramal Finance and explore their products and services.

08-11-2023

Other

What is a Compound Interest Calculator and How does it Work?

Worried about where to invest your money? How does compounding work? Having trouble finding the principal amount of a deposit or loan? Want to make a good amount grow into a large sum? Want a tool to see how tiny savings can make one rich? Compound Interest Calculator will help one find the returns from investments. Get to know about compound interest, how it functions, the compound interest calculation process, formula of compound interest in detail. [B-01] What is Compound interest? The interest on a loan or deposit that is found using both the initial principle and the accrued interest from the last period is known as compound interest. “Interest on interest” is a good way to describe it because that is exactly what it is. Capital and interest will increase faster than they would under simple interest. Compound interest accrues interest at a rate proportional to the number of compounding periods; hence, a higher number of compounding periods results in a high compound interest rate. With an annual interest rate of 10%, for instance, a deposit of Rs 100 would yield Rs 10 after one year. In 2019, what will happen? This is when the power of compound interest comes into play. As compound interest increases over time, money keeps multiplying the longer they leave it alone. Don’t put off paying back a loan with compound interest because the interest will add up quickly. A person must make their loan installments more regular to get the benefits of compounding. With this approach, one can reduce interest payments below the minimum required by law. The term “snowball effect of compound interest” has been used to describe the high rise of a positive return on an initial principal investment due to the interest-on-interest impact. How Does Compound Interest Function? Compound interest is a good tool for long-term wealth, but only if one’s initial investment is good. But compound interest on their debt can put them in a tight spot if they haven’t planned for it. Let’s ease the process of compounding one’s investment so that one can know how compound interest works. When their investment begins to earn interest, compound interest begins its work. Interest is now charged to the principal. When interest is earned again, the amount will be found by adding the accumulated interest to the principal. This investment will continue to increase in size as interest is added to the principal. Without any new financial injections, this cycle will ensure the investment’s steady rise. This cycle can yield large returns on investment over time. Compound interest returns will be affected by the following three parts: Time is vital when it comes to investing; the more time they give their money to grow, the better off they will be. A greater interest rate, when compounded, will result in a larger investment balance. Investment priorities and goals can be determined after carefully considering the numerous possible outcomes and paths available to them. Compound Interest Calculation Procedures A way to gain interest on investments is through compound interest. Before calculating compound interest, one must know: The quantity of their initial investment Interest rate that their investor gives The rate at which interest is compounded annually How long does one want to retain their investment The Formula for Compound Interest This calculator uses the formula for compound interest to find out the sum of the principal and the interest. The same formula is used to figure out the principal, rate, or time when the other values are known. This formula can also be used to set up an Excel compound interest calculator. A = P(1 + r/n)nt Where, A = Interest and principal added together. P = Principal amount r = Interest rate expressed as a decimal per annum on a nominal basis. R = Rate of interest, nominal, expressed as a percentage per year. r = R/100 n = the number of additions per unit of time t = the amount of time in decimal years. For example, 6 months is equal to 0.5 years. Divide the number of months in your partial year by 12 to get the decimal years. I = Amount of interest ln= stands for natural logarithm, which is used in the formulas below. How to Calculate Compound Interest Compound interest can be found with an easy formula. To find the first compound interest payment, multiply the principal by 1, then add the annual interest rate multiplied by the number of compound periods minus 1. Next, the entire amount of one’s loan is removed from the total. Compound Interest = Future Value of the Principal + Future Interest minus Present Value of the Principal (or Present Value) Interest Accumulated Daily = P [(1 + I n – 1]. P represents the initial investment, I is the interest rate, and n is the number of compounding periods. At a compounded annual rate of return of 12% over five years, an INR 1,000,000 investment would yield INR 1,76,234. The following graph shows the rise of a one million rupee investment over five years. Earning interest on interest is what compound interest is all about. As a result, it already accounts for everything that came before. That sum also accrues interest. Example: An investment of ₹100,000 with interest (₹12,000) at maturity became ₹112,000. [B-02] Summing-up: The purpose of this article is to give an examination of the Compound Interest Calculator India. One should analyze while calculating one’s initial principle and the accrued interest. The Compound Interest Calculator will help them find their long-term wealth. If one can take advantage of the pros of compound interest, it can do wonders for their investment strategy and financial goals. Before considering it is also important to be aware of other sides too. Also visit Piramal Finance, which has more in-depth, educational, and financial articles.

08-11-2023

Personal Loan

Without Collateral: Getting a Personal Loan for Studies Abroad

Are you a student who wants to study abroad? Have you been waiting for years to get admission to your dream university but don’t have money? Are you tired of the enormous costs and don’t want to burden your family? Then a personal loan for students is the right one for you. It will help you study abroad and solve your education expense problems. Let us learn more about this topic. Please read this blog post to know more. Why apply for an Education Loan and personal loan for students? Choosing a nation is a major factor in finding the total cost of studying abroad. This includes tuition and living expenses. For example, the average cost of an MS degree in the United States is between Rs 65,000 and Rs 70,000. Therefore, a large percentage of Indian students apply for Personal Loan For Study Abroad. They are from middle-income families. Education abroad is a huge thing for them. These dreams become a reality with loans. [B-01] Types of Education Loans and Personal Loans for Students Before finding unsecured Personal Loans for students, discuss the two main types of Student Loan For Abroad Studies. Collateral Education Loan The borrower of a collateral personal loan for study abroad is expected to provide some form of security. This can be in the form of property, gold, insurance policies, land, fixed deposits, etc. Non-Collateral Education Loan A non-collateral personal loan for students doesn’t need collateral. Unsecured international student loans need enough income. Let us see the application process goes for a personal loan for students without collateral. Verify everything, including the interest rate on an Indian government personal loan for students. Also, check the repayment terms and the length of time you have to finish paying it back. Eligibility and Documents Required for Abroad Education Loan Without Collateral Loan You must first find out whether you are eligible for a personal loan for students. Any financial institution extending student loans will follow the standards laid out in this document. The candidate needs to be a legal resident of India. The applicant must be at least 18 years old, or else his or her parents will have to co-sign the loan. The candidate must have strong academic achievement. The applicant must have been accepted to study at a reputable overseas educational establishment. Types of Education Loans Based on Location Domestic Education Loan This form of loan is available to students who plan to study in India. If the borrower is accepted into an Indian university and fulfills all other criteria, the loan is disbursed. Overseas Education Loan These loans make it possible for students to study abroad at their chosen schools. Students who meet the requirements are eligible to apply for a loan to support the costs of studying abroad. Based on Course Undergraduate Loans Undergraduate students can receive this loan to help cover the costs of attending college. Earning a bachelor’s degree takes between three and four years and can be focused on in a variety of ways. Individuals are better able to find entry-level employment. Also, they begin contributing to financial stability if they have at least an undergraduate degree. Postgraduate Loans Various college seniors in India are considering enrolling in a postgraduate program. These last for two years. Earning a graduate-level degree is preferred to acquire in-depth expertise in the field. Career Development Loans After gaining a few years of experience in the corporate world, professionals decide to take a step back from their careers. This is to further their education and get skills. Loan Against Property, Deposits, and Securities You can secure the money by pledging movable assets. Like: real estate (farmland, houses, apartments, etc.), bank accounts (fixed deposit certificates, recurring deposits, gold deposits), debt instruments (bonds, debentures, equity shares), other financial instruments (equity shares) Ensure that your collateral is in order for the loan. Banks do a lot of hassle for the collateral. Keep all documents ready for your movable asset. Third-Party Guarantee A guarantee letter from a current or former employee of the bank can be a great asset. Features and Benefits Foreign students can borrow up to Rs. 1 crore, while Indian students can borrow up to Rs. 50 lakh. In some cases, you can get a loan for 100% of the cost. Disbursements made in a foreign currency may be eligible for preferential exchange rates. Upon course completion, borrowers are eligible for a payback period of up to 12 years. The student and his or her parents should co-sign on the loan. Process to apply for educational loan without collateral Now we’ll talk about how to go about getting a no-collateral student loan to pay for your studies abroad: Identify the best option for you. Among the many confidential, no-collateral student loans offered abroad. Verify everything from the interest rate on an Indian government education loan. To the length of time, you have to pay it back before you can start making payments. Start by going to the loan’s official website. Please complete the application form. To submit the necessary paperwork, please scan and upload scans. Wait for a decision What are some reasons for the rejection of a study abroad loan without collateral? Rejection can happen for a variety of reasons. Applying to an undergraduate institution (UG) is better. This is due to the shorter length of the PG program. When a co-monthly applicant’s payments are more than they can afford We look at their age and their FOIR Fixed obligation to income ratio. [B-02] Summing Up This article aimed to examine Personal Loans For Students to study abroad comprehensively. Whether an education loan is the best choice for you or not should be checked. Before investing, look for the best loan terms. It is possible to keep your Personal Loan for students always. Visit Piramal Finance for more information.

08-11-2023

Home Loan

Important Things to Know About Home Loan EMI Calculators in India

Buying a home is a dream come true for everyone. Though real estate prices are so high now that you will have to take out a home loan to pay for the purchase. It is crucial to note that the loan tenure for a home loan can go up to 30 years. Hence, you might have to pay the EMIs for up to 30 years. Hence, the interest cost could be very high, and it is not ideal to calculate it manually. You must use a home loan calculator for this purpose. It is a free tool available online on various websites and mobile apps. To use this tool, you must enter basic details like loan amount, tenure, and interest rate. This interest calculator will then give you all the details on your home loans, such as the EMI amount and interest cost. There is no need to share your contact details to use a home loan calculator. Read on to learn more about using an interest calculator in India and how it can help you. [B-01] How to Use a Home Loan Calculator You need to follow a very simple process to use a home loan calculator. Before you use this tool, you must have the following information ready: loan amount, loan tenure, and interest rate. Once you have these details ready, follow the steps given below to use the interest calculator: Visit any website you prefer that features this tool. You may also use a mobile app for this purpose. On the home page, click on the option for ‘Home Loans’. You need to click on the link for ‘Home Loan Calculator’. The tool will now be visible on your screen. Enter the details, like loan amount, loan tenure, and interest rate. You can enter these details manually or use the slider option. Verify the details and click on the calculate or submit button. You will now be able to see all key details on your screen. This includes the EMI amount, total interest paid, total principal paid, and total amount paid. Some apps also give the option to view a repayment schedule for the home loan based on the details entered. You must compare the details from various lenders to avail the best offer. The exact options might vary across different apps, but the results will remain the same. Benefits of a Home Loan Calculator An interest calculator is a very good tool to plan your finances. A home loan is usually taken for a large amount and a long tenure, so you should ensure that there is no room for errors. This is why manual calculations are not ideal for this purpose. To ensure no calculations are done incorrectly, you must use this tool to plan your home loan EMIs. Here are some of the main benefits of a home loan calculator: Simple and Accurate: It will allow you to make accurate calculations when taking a home loan. It is better to use this tool for the calculations as it will ensure that no final calculations are error-free. As you get the right results every time, you can compare many options to decide on the best home loan option. You do not need special skills to use this tool; only a phone or computer with internet access is needed. Plan Your Finances: Your home loan EMIs can go for up to 30 years, i.e., 360 EMIs paid during the peak of your career. Along with the home loan EMIs, you must also have other expenses. It is important to plan your finances strategically so that you can manage all your expenses efficiently. To avoid any mistakes, you must use a home loan calculator. This will help you know how much money you need to pay monthly for the EMI. Instant Results: If you use a manual method to plan your home loan, it will take hours, if not days. This increases the chances of errors or oversights. With the help of an interest calculator, you can finish this process in a matter of seconds. As you get instant results, you can make a decision easily. There is no need to recheck the calculations, as they will be accurate. Compare Offers: This tool can compare offers from many banks or NBFCs. This will give you a great chance to learn more about the cost of loans from various lenders. Many tools also offer you a repayment schedule. Hence, you can select the best option as per your needs without hassles. No Personal Details: The best part about using this tool is that there is no need to share your private information. Your privacy is safe, as you do not need to give any of your details. If any tool asks you for your details, then it is better not to use it and opt for any other tool. Loan Management: You might have spare funds and want to prepay the loan. But should you prepay the loan or keep paying the EMIs? This is where an interest calculator comes to your rescue. You can get insights into whether a pre-payment can help you or if you must make a pre-payment. With better loan management, you can better manage your finances. [B-02] Conclusion Buying a home is an important decision in your life, and you would not like to make an error. Using a home loan calculator is ideal for removing any element of doubt. But to get the best home loan offer, you must opt for a reliable lender. This is where Piramal Finance comes into the picture. You can visit their website to understand how to use the interest calculator. They have uploaded many informational blogs on various financial topics. Do not forget to check the different products and services they offer.

08-11-2023

Personal Loan

Loan eligibility calculator for home loan and personal loan

Want to buy your dream house? Worried about the EMI? Don’t know what the EMI will be? Fret not! Check the loan eligibility calculator to know more! Loans are the best medium to cover your financial needs at low-interest rates. The lender lends you money from a business, financial firm, or government. There are various types of loans: business loans, home loans, personal loans, etc. You can get a home loan to buy a new home, apartment, or piece of housing land. You can also use it for the renovation, expansion, or repair of your property. But the question is: “Is everyone who earns money eligible for taking a home loan or personal loan?” The answer is no. Use the personal and home loan prepayment calculator to check your eligibility for a loan. [B-01] What does loan eligibility mean? You must meet the borrower criteria to apply for a home loan and get your amount disbursed. Your repayment capacity also needs to be up to the mark. You are eligible for a loan when the lender analyses you on certain grounds. Failure to meet eligibility criteria can lower your credit scores. Along with low CIBIL scores, negative comments by lenders on the credit report can limit the chances of your loan approval. The house loan eligibility calculator by Piramal Finance can help you figure out your eligibility for a home loan. Factors that affect your loan eligibility Loan eligibility can be a concern when you do not meet metrics like salary, ownership of a property, etc. Other factors like Debt-to-income (DTI) ratio, secured-unsecured loan ratio, and improper tax paying can also lead to loan disapproval. Here are some common factors that influence your borrower eligibility: Age When filing for a house loan, your age is the first thing that a lender considers. Young candidates receive house loans with longer terms than those approaching retirement age. Credit Score You are more likely to get the loan if your CIBIL score is higher than 750. This is why you should maintain your credit score at all times. Employment type The employment type is divided into three categories: professional, self-employed, and salaried. Salaried employees should have worked with their current company for at least one year before applying. Income The take-home pay after taxes and other deductions is your net monthly income. You should have a reliable source of income. In general, lending money is less risky if the borrower works a job. Monthly obligations Monthly obligations apply to loans that do not mortgage. You must keep a window open for future loans or, if any, to pay off current loans. Unpaid loans may, however, affect your eligibility. Suppose your total salary is Rs 30,000, and you have two other loans that you are paying off by making loan bills of Rs 10,000 each. You will have Rs 10,000 left over for household expenses and other allowances. So, banks will not let you avail of another loan. Work experience The stats vary from bank to bank. They put conditions such as business continuation for more than 5 years or corporate experience of 2 years or more, etc. When it comes to qualifying for a house loan, your educational and professional backgrounds also count. How to use the loan eligibility calculator? Banks will only lend you as much money as you can afford to pay back. They focus on your ability to make EMI payments when determining your loan eligibility. The home loan prepayment calculator works on a formula. There is a fixed obligation to income ratio (FOIR) limit for banks. The idea is that a set proportion of your net income is never more than your fixed monthly commitments. Fixed Obligations / Net Income = FOIR FOIR can range from 40% to 50%. You can change the monthly net income. Also, the EMI need, interest rate, and duration on the home loan prepayment calculator. Improving your loan eligibility An improvement in loan eligibility means increased chances of loan approval. There are some ways by which you can increase it. If you’re a first-time home buyer, you’ll need to do some homework to check your eligibility for a mortgage. Upgrade your credit or CIBIL score. To get a loan, you need a credit score of 750. Your credit score will rise if you are punctual with your credit card payments and instalments (EMIs). Banks may reject your loan application if your credit score is less than 750. Get rid of debt obligations. Debts make sense because they increase your ability to obtain credit. Fixed obligation factor to income ratio is what lenders consider. Prefer joint housing loans. The benefits of co-borrowing are increased home loan eligibility, shared repayment responsibility, and tax advantages. Least requirements to get loans The stats may vary across banks and other non-banking financial institutions. Some top banks have a lower age limit of 18–21 years. The upper age restriction is 60–70 years. Almost all banks provide maximum tenure of 30 years. The home loan prepayment calculator finds the result using the entered information. You can speak with your lender and ask about their requirements for job experience. [B-02] Conclusion Before submitting a home loan or personal loan application, you should take enough time for a thorough study. Estimate your budget. Determine your earnings and income. Check your credit report for errors, and compare your loan options. Decide between fixed and floating interest rates. Select the interest rates with minimal extra fees. Eligibility criteria for a mortgage vary with the lender. While reviewing your home loan application, banks and lenders consider your current responsibilities. Income, assets, etc. Using a home loan prepayment calculator, you can reduce your load. Piramal Finance can provide you with help to ease your loan approval. Read more such blogs and increase your spectrum of finance knowledge.

08-11-2023

Personal Loan

Lending to People with Salaries Under 15,000: Low Salary Personal Loans

Money lending has always been a risky practice. Formal and informal money lenders look at a person’s ability to pay back the loan. This is why people with higher salaries receive loans more easily. The lenders believe in their ability to pay back the borrowed amount. But what if someone’s income is not very high? Does this mean they would never be eligible for loans? Contrary to popular belief, people with low salaries can secure personal loans. The loans are known as Low Salary Personal Loans. Let’s find out more about them. [B-01] What is a Low Salary Personal Loan? Personal loans are unsecured loans. You can get a loan without keeping collateral. They are easy to apply for and readily available. However, one needs to show a stable source of income as proof. Proof of income and the salary amount must meet the eligibility criteria set by the lender. However, if your income is quite low, you can still receive a personal loan. In such cases, lenders give low-salary personal loans. These are given to individuals whose monthly income is quite low or is less than INR 10,000. If an individual’s salary is less than the limit prescribed by the lender, then they can apply for low-income personal loans. Is there a minimum eligibility criteria for a personal loan? Yes. The criteria may be different for each lender. Those who wish to apply for a personal loan must read the eligibility criteria carefully. What is the basis for the minimum eligibility criteria? When applying for a personal loan, the minimum eligibility criteria include age (21–60 years), work experience of at least one to two years, and having worked at your current company for at least 6 months. In addition, your credit score and monthly salary slips must be shown. For people living in Mumbai and Delhi, the minimum salary must be INR 25,000 per month. For those living in other cities in India, a salary of INR 20,000 per month is good enough to get a personal loan. Those who are self-employed or freelancers are also required to submit an annual profit statement after tax. This varied across industries and professions. What are the eligibility criteria to get a low-salary personal loan? The eligibility criteria are not very demanding. The applicant must be at least 18 years old. There must be proof of a stable source of income. It doesn’t matter if your salary is less. You must be an Indian citizen. You must not be older than 58 years at the time of application. What are the documents required for a low-salary personal loan? Like all personal loan applications, low-salary personal loans also require document verification. To apply for a low-salary personal loan, you’ll need to present the listed documents. Proof of address Proof of identity Proof of income You may show your Aadhar card, voter ID card, PAN card, passport, utility bills, driver’s license, and last three months’ salary slips to the lender while applying for the loan. What can you do if you don’t have a salary slip? In such a situation, the applicant can produce bank account statements, Form 16, etc. It is also advised to apply for a personal loan with another individual who has a higher income. Some banks or lenders may also give you the option of an asset-backed loan where you pledge collateral. In case you fail to repay the loan amount, the asset, or collateral, can be used to recover the money. But keep in mind, the instances of loaning money to people without salary slips is low. If the lender decides to give you a loan based on other criteria, the interest rate will be quite high. How are interest rates applied to low-salary personal loans? An important thing to research is the interest charged by a lender. Many lenders have different interest rates. These are also determined by the person’s credit score and income. Other factors that determine the interest rate include the educational qualifications of the applicant, the personal loan amount, the nature of employment, and a list of fixed monthly obligations that would also include the loan amount. There is a thumb rule that states that if the risk is low, the interest rate will also be low. Therefore, when applying for a low-salary personal loan, ensure that your credit score is good or at least above 600. The ideal credit score is 750–900. You must also ensure that your income is enough to cover all of your fixed monthly obligations. Is it possible to apply for low-income personal loans online? Yes. Many lenders and banks disburse low-salary personal loans if the applicant meets the eligibility criteria. But before applying to any of them, study their requirements and terms and conditions carefully. [B-02] Conclusion Giving personal loans to people whose salary is less than the required monthly income amount can seem like a risk. However, if the applicant has a good credit score, a stable source of income, and proof that they won’t default on repayments, the chances of securing low-salary personal loans are high. Interest rates can vary from lender to lender. Finally, fill out the application forms carefully. If the application is rejected, the chances of your credit score being negatively impacted are high. It may seem daunting, but with the right guidance, securing a low-income personal loan is easy. To learn more about personal loans, visit the Piramal Finance website.

08-11-2023

Personal Loan

Debt Consolidation Loan – Consolidate the Debt with Personal Loan

High-rate debt may be pretty distressing. It may hurt the money and even the immediate and long-term financial goals. If one has a lot of high-cost debt, rising EMIs and rates may force one to dive into savings and drain them. However, other options might help. Obtaining a low-cost personal loan as a debt consolidation loan can be a good choice. There are many reasons why a personal loan may be a good option for debt consolidation. But before that, let’s discuss debt consolidation loans. [B-01] What is a debt consolidation loan? The debt consolidation loan combines many smaller loans into a single loan. After consolidating debt, the person must make one monthly payment instead of many. It may help to manage the finances and get better loan conditions, such as a cheaper rate or EMI sum. Why take out a personal loan to consolidate debt? Debt has a nasty way of compounding itself. Personal loans for debt consolidation combine many balances or debts into a single monthly payment. Here are a few points why one might think of taking out a personal loan to consolidate debts: Get a hefty sanction without putting up any asset A personal loan allows one to combine the debt without worrying about finding an asset and its status. One may be sure of receiving the cash one wants without worrying about pawning anything of value since lenders provide larger ticket amounts. Some give consolidation loans up to Rs. 25 lakhs. Pay off the new loan at a low rate Unpaid debt often results in increased fees and rates. Combined, this drives up the year-on-year cost of the loans as one persists in paying interest. If paying off the present debt is complex, the added fees would worsen that case. Using a personal loan to consolidate the debt may reduce late fees and high debt rates. One only has to make one more affordable loan payback. Put all of the money on a single EMI each month One can combine the many debt payments into a single EMI when one consolidates debt with a personal loan. They may manage their money with ease. They can also set up budgets so that the income is directed toward paying off one EMI once a month since there are fewer payment dates and EMIs for one to remember. Helps with a lengthy tenure to lower EMIs One saves money by paying only EMIs and may also ease the monthly money stress by selecting a lengthy tenure. With tenures varying from 12 to 60 months, lenders can be aggressive with payback or ease the urgent burden on the budget. The shortest tenure one can afford is often the best choice since it reduces interest payments. Pay in parts with a little more cost Make paybacks to lower the total cost of the loan when the financial situation improves and one has more money available. When one prepays, they reduce a part of the principal ahead of the scheduled due date. Factors to keep in mind when getting a debt consolidation loan Taking out a personal loan as a debt consolidation loan is a great option. This is especially true if many paybacks are becoming a problem. Here are a few things to keep in mind before taking out a personal loan for consolidation of loan: Current Debt Term Check the time of the existing debts before taking out a personal loan to combine them. Suppose one can return all the bills within a few weeks to a year. In that case, one should avoid taking out a personal loan for express debt consolidation. Credit Score One key part affecting the rate a lender charges is the credit score. A person will be charged a low rate if they have a decent credit score. One might incur a high rate if they have a poor credit score. Getting a personal loan for loan consolidation is a smart choice if the rate is low. Given this, before applying for a personal loan, be sure to check your credit score. Go ahead with the form only if one is sure they have a strong credit score. Lender Eligibility Criterion One must fulfil the lender’s criteria to get a loan. As a result, checking the lender terms is best when applying for a loan. Lenders might have needs regarding monthly income, working experience, age, etc. Before applying for the loan, be sure to fulfil these needs. Check Rates & Other Fees Personal loan rates may be as low as 10.99% per year to as high as 24% per annum, if not higher. As a result, it is strongly advised to check the rates many lenders offer before picking which bank or financial firm to apply to. Pay Back Time People may choose a loan payback time from one to five years. One will be merging the debts and repaying the loan amount throughout this time. They should check the repayment ability and choose an appropriate loan payback tenure. Will the consolidation of loans with a personal loan impact the CIBIL score? Checking the EMI payments might be complex if one has many obligations. One may be penalised if one fails to pay even one of the EMIs by the due date given by the lender. Furthermore, skipping the EMI payment may impact the CIBIL score, making it harder to get finances in the future. To prevent such problems, try taking out a personal loan and combining the obligations with the loan amount. This will ease the paybacks since one will only need to pay one EMI constantly. It will lower the likelihood of skipping EMI payments. Paying the monthly EMI on time, as required by the lender, can assist one in maintaining a decent CIBIL score. [B-02] Conclusion Loans are no longer limited to big expenses such as property purchases or supporting children’s education. Many clients take out loans to cover their living costs and pay for small-ticket items such as consumer durables. Increased credit availability also attracts individuals, particularly those with low credit, to take out many loans at higher rates. Due to the increased EMI load, they have little left for emergency money or other financial goals. In such a scenario, the easiest way out is to combine the many debts by taking out a personal loan with a lower rate and, ideally, a long term. Furthermore, the consolidation of loans into a single loan would save the burden of keeping track of many EMIs, due dates, etc. Check out Piramal Finance for more related blogs on debt consolidation loans and explore their products and services.

08-11-2023

Personal Loan

Personal Loan For Doctors In India – Loan Up to Rs. 50 Lakh

Is one thinking of expanding the clinic for some time? Then the wait is over! They may turn the clinic into a “big name” with all patient services. Fulfill all of their dreams without the block known as a “money crisis” holding them back! Many lenders have noticed this urgent need for health doctors and have developed personal loans for doctors. Because of these loans, doctors may not have to worry about money and may be able to freely move up in their careers. This article will explain what a personal loan for a doctor entails. This piece will also educate folks on how to get an instant loan for doctors geared toward aspiring health doctors. [B-01] What Exactly is a Personal Loan for Doctors? Instant loans for doctors, or “doctor loans,” as they are more generally known, are loans made available to health students. A loan of this kind is intended to assist doctors in realizing their aspirations, such as building clinics. Get an instant loan for doctors if they need to build up a new X-ray lab, buy costly tools, or start a repair to the current clinic. Features of Personal Loans for Doctors Competitive rates No security is needed Paperwork is limited Loans of up to Rs. 50 lakh are available, based on repayment capabilities Loan terms range from one to eight years It can be used for any reason, including meeting emergency money needs Many lenders provide rapid approvals Perks of Personal Loans for Doctors A doctor’s loan provides a lot of perks. A few of the notable ones are listed below: Specialised offer Doctor loans differ from other loans because they are tailored to health aspirants’ needs and wants. Low rates of interest Doctor loans typically have low rates ranging from 14 to 16% annually. By using this option, doctors may increase the scope of their firm and upgrade the facilities system. Increased loan amounts A doctor’s loan considers the fact that practicing medicine is a costly endeavor in any country. The study background is one of the first items lenders consider when they ask for a doctor’s loan. If they complete the MBBS, a standard sum is granted. Yet, if they possess specialized expertise and have years of experience in the sector, a larger loan sum will be accepted for them. Less Paper needed Medicine is a complex field to work in. Doctors have very little to no free time for other jobs. To process and approve a doctor’s loan, they simply need to provide the minimum amount of paperwork. So, they could quickly ask for the loan and get it approved as soon as possible. No use limits An instant loan for doctors enables people to achieve all these goals, whether they wish to buy a house, buy some land, remodel a house or premises, or lease a retail property. As the money isn’t used for unlawful acts, there are no terms on how it may be spent. Eligibility is also not determined by the loan’s purpose. Lender-approval is not based on the loan’s intended use. It is up to them whether they want to use some money for home repairs and save the balance for a sudden expense or trip. No collateral is needed The house or other asset they buy is pledged as security when they take out a mortgage loan. Personal loans for doctors do not need this. One of the loan’s huge perks is that it is unsecured. Why is that relevant? The loan cannot be obtained without providing any security. As a result, they may get a loan without taking on debt from the house or other capital tools, such as savings bonds, stocks, or other deposits. Since a banking firm will look at the CIBIL score while checking the form, it is the only data they need. So, before applying, check the credit score. Rapid approvals Time management is crucial when they want to grow their practice as doctors. That is why doctors’ loans have among the industry’s shortest turnaround times. The loan request will often be granted in five days or fewer. The money will be sent directly into the account after all the paperwork is completed. Eligibility of a Personal Loan for Doctors Applicant Profile Indian identity Job Working at a public or private clinic or hospital as advisors, doctors, or other experts Age People must be between the ages of 21 and 70. Credit score needs Doctors with credit ratings of 750 or higher have more chances of being approved for a personal loan for doctors. Income The required minimum net annual salary is Rs. 5 lakh. Exercise Vintage Minimum two years of work after gaining skills. The candidate must live at their current address for at least two years without moving. Papers Needed for a Personal Loan for Professionals Properly completed form and two passport-size photos Identity paperwork includes a passport, voter ID, PAN card, etc. (Ration card, utility bills, rental agreement, passport, bank statement, or passbook) as proof of residence. Age Verification (PAN Card, Passport, or other proof from an authority). Evidence of income. Form 26 AS, ITR, or Form 16 for self-employed experts In the case of a salaried doctor, pay stubs Bank passbook and proof. Evidence of employment Proof of most recent degree and proof of health registration. Evidence of signature. How to Get a Personal Loan for a Doctor? To register for a personal loan for doctors, go to the bank’s branch or its official website. Offline Loan Form for Doctor Loan Request a loan form from the local bank office. Fill out the form with your personal and professional data. Submit the form with all required paperwork and passport-size pictures. Doctor Loan Online Application Process Log in to the account on the official bank website. Choose “Doctor Loan” from the loan type and press the “Apply” button. Fill out the online form and submit the needed paperwork. After that, click “submit.” [B-02] Conclusion When people see a doctor, they receive the finest care possible. The best tools, gear, support staff, etc., would be needed for the doctor to do the same, and all of these things need vital funding. He might get a personal or business loan to pay for new tools or systems, but doctors can use an ideal money tool. This is the doctor’s loan. Health doctors may get this customized, no-asset loan from banks at a competitive rate. The loan may be used for firm and personal reasons since its final purpose is not specified. Personal loans for professionals have become a vital resource for health experts with firm aspirations. When compared to health coverage plans, they are far better choices. Several rules are involved when processing health insurance claims, vitally slowing the money’s release. Yet, as doctor loans are just personal loans, money may be acquired quickly and without fuss. Piramal Finance has many blogs for folks to help them get the best loan. Give the blogs a read and check out the other services they offer.

08-11-2023

Education

10 Rules of Thumb for Financial Planning and Well-being

Regarding financial planning and investment, various areas require attention and financial allocation. It could be having enough money to retire comfortably, owning the home of your dreams, or touring the country on a luxury motorcycle. Wouldn’t it be beneficial if someone provided you with the best financial planning advice? Or can someone help you make the best financial choices at the right time? Here are the small steps you would need to take to lead a life of economic prosperity. [B-01] 10 rules to follow for financial planning and well-being At each stage of the financial and investment planning process, take care to lay out the goals, expenses, and income based on risk tolerance. Here is a list of ten general financial rules of thumb to help you make the best financial decisions at the appropriate time: Ensure that your EMIs don’t exceed 40% of your take-home pay. Ensure that the total amount of EMI you pay monthly is at most 40% of your net earnings. They are commonly referred to as “debt-to-income ratios.” Once you request a loan, lenders will ask you about your current debts. It will determine whether approving a new loan fulfils the debt-to-income ratio. It would ensure that only 40% of your income is used to pay off debt. And you will be able to retain enough money to cover your expenses. Limit your education loan debt to no more than your anticipated first-year salary. It may seem out of the ordinary for many of us to pursue our preferred course at a reputable institution. However, they might be worthwhile because they provide a wealth of information and exposure. Given the numerous education loan programmes that banks offer, it is not uncommon to see a student take out a loan for their education. To keep things simple, only borrow money that won’t be more than your anticipated salary in the first year of employment. If you already work and want to take a break to go to college, keep your loan amount at the same level as your annual salary. Ensure your desired home price falls within 1-2 times your annual income. Many of us share the common dream of owning a home, and eventually, that dream will come true. However, when the time comes, be careful not to take on more debt than you can manage. A smart investment is the one you need. Make sure the value of the home you purchase with a mortgage is at least two to three times your family’s annual income. While at it, consider the different real estate prices and home loan regulations. It might be possible to request a much higher loan amount. Before you proceed with the loan request, consider any unfavourable events that could burden your family severely. Keep your retirement savings at least 20 times your annual gross income. Planning for retirement and accumulating funds for your post-retirement lifestyle must be among your financial objectives. Even though retirement may seem far off, it is advisable to start planning early. It is so that the corpus has sufficient time to develop. A great investment strategy is needed for this. Additionally, to account for inflation, build a corpus that is at least 20 times your gross annual income when you plan to retire. Learn how to use the “Rule of 72.” The “Rule of 72” states how to calculate the number of years an investment product will take to double its profit. For this, you must divide 72 by the yearly return on the investment. Try it out for yourself. Make sure your return is strong enough to offset inflation as well. The greater the return you earn, the less chance there is for your investment to double. With this in mind, we also want to caution you against investing in products you do not fully comprehend. If unsure of the investment product, research it or seek professional assistance. Have adequate life insurance coverage. Are you and your family’s primary source of income? If so, you have a great deal of responsibility. It would help if you carried term life insurance equal to approximately 10–15 times your annual income and liabilities to meet these obligations. Making a compromise now could cost you a lot of money later. Understand the importance of savings. Set aside some for savings from a portion of your monthly income. You can start with 5% and work up to a higher percentage, perhaps even 25% or 30% of your income. Your savings must rise as your goals become more important as you age. Remember that it doesn’t just mean keeping money in a bank account when we talk about redemption. It also means investing in high-yielding financial products. Emergency Funds Ensure that you have sufficient emergency funds before you begin investing. As a rule, keep a minimum of six months’ worth of expenses in a combination of short-term or liquid funds and savings accounts. It will assist in surviving financial crises like loss of employment or a medical issue that requires immediate cash. On-road costs for a car should not exceed half of the annual income. If you’re considering getting a car loan, it’s ideal if the car’s on-road cost is at most 50% of your annual income. Follow the 20-4-10 rule, which states that 20% of the purchase price should go toward the down payment, that the chosen car loan term should not exceed four years, and that the EMI should not exceed 10% of your annual gross income. Put off buying a car if you still need to get the 20% down payment required for a loan. Investing each month to reach retirement objectives. You can achieve a simple lifestyle and retirement at 60. It can be a reality by simply setting aside 10% of your income. If you want to retire early, save 20% of your income. You can also opt for an online investment to achieve the goal. [B-02] Conclusion The thumb rules above should be considered when making financial plans. They can provide a strong foundation for long-term wealth accumulation. Your financial advisor can help you hone your strategy. If you still need to plan, think about the financial goals that working with an advisor can help you achieve. Remember to do extensive research before making any investment. Look at similar blogs on investments on Piramal Finance’s website. You can also look at the various products and services they offer.

08-11-2023