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Personal Loan

Which Factors Affect your Personal Loan Interest Rate?

Personal loans are becoming increasingly popular because the needs of the average Indian consumer are growing, and this growth is getting faster. People frequently require quick personal loans to cover urgent or unforeseen expenses. Personal loans are a great way to get the money you need for things like weddings, vacations, paying for college, planning events, remodeling projects, unexpected medical bills, etc. Many people like personal loan status because it is easy to get online and show the current status. The interest rate on most personal loans is fixed, so your monthly payments will stay the same. Also, most personal loans were unsecured, which means that no collateral was put up for them. If you can’t get approved for an unsecured personal loan, you might need collateral like a savings account or certificate of deposit. You can also ask a friend or family member to co-sign to improve your chances of getting a personal loan. [B-01] What is Personal Loan Status? Many people might want to get a personal loan status. It will help if you consider a few things before getting a personal loan. Even if you’ve thought about all the possible reasons you need a personal loan and found that you have a good chance of paying it back, interest rates still greatly affect your ability to make payments. The interest rate on home and auto loans is almost the same for everyone. Depending on the lender’s qualifications, personal loan interest rates may change. Knowing all the important details that could affect your personal loan status is usually a good idea. A few of the key factors that could affect your personal loan status are: Income Your income is the main thing that affects the interest rates on your loans. It is well known that responsible people who make more money can pay back loans better than those who make less money. In the lending business, it’s common for borrowers to get loans with lower interest rates when they have a stable income and a lot of cash to spend. But this could be different for lenders who make less money. The ratio of debt to income Let’s say you work for a good company and make a good wage, but a big chunk of your money goes to paying off debt. Your past debts will affect your ability to get a personal loan status. Your debt-to-income ratio is the amount of money you spend on all your debts compared to how much you make. Higher debt-to-income ratios show that the borrower has a bigger financial burden, so the lender may charge a higher interest rate. Personal loan status for companies Personal loan status has become generally unsecured. Lenders also look for different factors to ensure the individual’s credit rating. One of these things to think about is your job. This is because lenders often have much more flexible lending standards for those working with certain organizations. This is because they see these people as more financially stable and responsible for making regular payments. Credit score A credit score is a big part of whether or not a loan is approved. A credit score is even more important when applying for personal loan status. A person’s credit score is usually a good indicator of their overall financial health based on their income, the amount of debt they have, how often they borrow money, and how well they have paid back loans in the past. A better credit score gives the lender more confidence in the borrower’s ability to handle money. It might even make it possible for them to get loans with lower interest rates than others. Most of the time, a good CIBIL score is above 750. Background of defaults Instead of looking at your credit score, if a lender finds mistakes in your credit history, they may charge you a very high-interest rate or even turn down your loan request. Most lenders prefer customers with no defaults in the last 12 months. Relations with the lender Lenders often charge lower interest rates when lending money to someone they know they can trust. They help and depend on each other because they have been working together for a long time. This trust grows over time, and it takes time and the right actions from loyal bank customers to build it. The same may be true of peer-to-peer lending. When an individual or institutional lender sees how committed you are to them, they are much more likely to give you a better rate than what a new client would get. Repayment term Most lenders will let you decide how much you want to pay back. For example, you could choose between a three or five-year payback period. If you choose a loan with a shorter payback period instead of a longer one, the lender will probably give you a loan with a lower interest rate. This is also why interest rates go up when you borrow more money. Giving you a loan for a longer period of time is riskier for the lender than giving you a loan for a shorter period of time.That makes sense since the longer it takes to pay off your loan in full, the more time there is for something to go wrong and affect your ability to make payments. [B-02] Conclusion Personal loans are one of the most flexible ways to get money because there are no rules. Personal loans can be used for almost anything, from paying for a trip to putting money down on a house. But before applying for a personal loan, you should ensure that the cost fits your budget. So, you figure out how much interest you have to pay based on the rates for personal loans. You can visit Piramal Finance for more personal loan interest rate blogs. Take a look at the products and services they offer as well.

08-11-2023

Personal Loan

All You Need To Know About Best Personal Loan Interest Rate In India

Personal loans are unsecured loans based on your credit history and capacity to repay them from your wages. They are also known as consumer loans. You may use a multi-purpose debt to address your current fiscal needs. Do you want to remodel your home? Or do you need money to repair your vehicle, for a vacation, or for your ceremony? Then, a personal loan could be a solid source of funds. Personal loan interest rates in India are higher than those on house or auto loans. This is because they are unsecured. As a result, before you pick one, you should be aware of your financial situation. [B-01] Interest Rates on Personal Loans Personal loan interest rates in India are among the highest of any loan type. Personal loans are now given at a rate of roughly 10—15% each year. The interest rates differ from bank to bank. It also depends on your income level, credit history, current EMIs & loans, loan duration, and other factors. Along with the interest rate on a private loan, there will be extra processing fees and other expenses to check. The following are various personal loan interest rates provided by various lending institutions: Loan ProvidersPersonal Loan Interest Rates In IndiaAxis Bank Limited15.50—24.00%Tata Capital11.99—19.50%State Bank of India12.50—16.60%Bajaj Finserv11.99—15.50%ICICI Bank11.59—18.49%HDFC Bank11.49—19.8%UCO Bank11.20—11.45%Punjab National Bank10.95—14.70%Andhra Bank13.05—14.30% Which Bank Offers the Best Personal Loan Interest Rates in India? When it comes to getting a personal loan, you must be curious about which bank is the best for personal loans. Yet, to keep you out of this problem, the above table will inform you about the top banks offering the best personal loan deal. All you have to do is read the section above, assess the lenders, and then select the one that is giving you the best price. However, if you are still having issues selecting which bank has the lowest interest rate on a personal loan, don’t stress. Try to pick a lender after evaluating many options. This should not only be based on interest rates but also on other criteria. In addition to personal loan interest rates in India, consider duration, fee, taxes, loan sum, EMI, and so on. This will help you get the best offer. Which Personal Loans Interest Rates in India Should You Choose? Banks give personal loans with fixed or falling balance interest rates. In the flat rate, interest is levied on the principal sum despite how much you pay in EMIs. With a decreasing debt, the interest rate will be applied to various sums depending on the EMIs you pay. Banks frequently offer two types of lower balance rates: annual and monthly. The yearly declining balance method applies the interest rate to the principal due at the end of each year. In a monthly lowering balance system, the interest rate is applied to the remaining debt after every EMI payment. If you wish to lower your interest pledges, the declining balance strategy is fairer than the flat rate. If you have a choice, choose a monthly balance that goes down if you want to save more interest. Factors that Influence Personal Loan Rates Banks and non-financial bank companies have specific criteria for personal loans that they use to determine interest rates.Here are the elements that affect personal loan interest rates in India. Loan Sum The most vital factor that banks examine is your needed loan amount. The loan sum is computed based on your salary and the firm you work for. As a result, the greater your salary, the larger the loan amount available. Personal loan interest rates in India typically drop as the loan sum rises. Tenure The interest rate is directly proportional to the loan’s term. The lower the proposed rates will be, the longer the tenure. Borrower’s Earnings Your wage will have a significant impact on the personal loan rates you receive. A solid salary with a steady flow of money would persuade the bank that you can pay the debt EMI on time. This will result in cheaper interest rates for you. Capacity for Repayment Your repayment ability is a key factor in setting interest rates. Lenders regard your loan repayment as satisfactory if you have no extra financial demands. This is because you can quickly repay the loan without future defaults. Credit Rating Your credit score does more than influence the loan amount. It also impacts the interest rate. So, the personal loan rate might be much lower if you have a credit score of at least 750 with no defaults. Type of Firm You Work For The status of your work also has a big impact on the interest rate you will get. The lender may consider lowering your interest rate if you work for a reputable firm. Working in these firms provides a consistent source of income. This is vital for the timely repayment of debt obligations. [B-02] Conclusion When getting a personal loan, it’s usually a good idea to know how much it will cost. When computing the total cost of a personal loan, you must consider the annual percentage rate (APR). The APR denotes the yearly cost of loan payback based on the interest rate and process costs. The APR and loan length may help you calculate how much interest you will pay throughout the loan’s tenure. Many banks provide unique plans and the highest personal loan interest rates in India to government personnel and retirees. This is due to the fact that government workers get a stable and secure paycheck. Their work is, likewise, solid. Therefore, there is no danger in giving money to them. However, if you are still confused, you can visit Piramal Finance for more blogs on personal loan interest rates in India. You may also take a look at the products and services they offer.

08-11-2023

Personal Loan

How to Apply for a Personal Loan in Easy Steps?

In the Indian market, the most common type of loan is a personal loan. A personal loan is a financial blessing when you need funds. A personal loan will not only help on your big day but also in your emergencies. By reading this article, you will know a few easy steps to apply for a personal loan. What exactly is a Personal Loan? A personal loan is an amount that you borrow from a bank or any other financial institution. A personal loan, in general, does not require you to submit security or collateral. A personal loan will have a repayment period, and you must pay interest on the principal amount. The money you get from a personal loan can be used for almost any occasion. [B-01] How Do I Apply for a Personal Loan? Personal Loan Kaise le? Nowadays, applying for a personal loan is as easy as eating chocolate. With digitization, it is even easier. You can apply for a personal loan by following the simple steps we provide here. Offline Process Step 1: Determine the exact amount that you need. Step 2: Visit a leading financial institution like Piramal Finance. Check your eligibility. Step 3: Submit all the documents without fail. This will help with quick approval. It is good to visit an institution that requires minimal documentation. This will help you save time. Step 5: Get your loan approved with zero foreclosure and pre-payment. What are the eligibilities to avail a personal loan? Current Indian Resident: You must be an Indian citizen who currently resides in India. Earning Criteria: You must be a salaried or self-employed employee. Work experience will also be taken into account. Age Limit: Check your minimum and maximum age limits. In most cases, the age range is between 21 and 60 years. This is because of the calculation of your working period. Minimum age; maximum chance of availing of a personal loan. Credit (CIBIL) Score: Your credit score indicates your creditworthiness. It is the ability of an individual to pay the amount back. It is better to check your CIBIL score before approaching a lender. It is always advised to have a CIBIL score of a minimum of 700. If you have a low CIBIL score, you can always increase it. The eligibility criteria change from banks to banks and other Non-Banking Financial Companies (NBFCs). Online Process This method is the easiest that you can ever imagine. You’ll get your loan with a click! Step 1: Determine the exact amount that you need. Step 2: Check your eligibility. Step 3: Search for a leading financial institution like Piramal Finance. Step 4: Fill in the boxes. In advance, have this information (name, mobile number, e-mail address, state, city, and loan amount). That’s it! Step 5: If you are eligible, you will be informed. What are the features and benefits of a Personal Loan? Minimum Documentation: When compared to other lenders, we’ll ask you for fewer documents. This will help you to save precious time. We ask you for some basic documents as proof of your identity, address, and income. To avoid the eleventh-hour rush, you can even check this in advance. Principal Amount: We’ll provide you with a principal amount starting at Rs. 1 lakh. Quick Sanction: We not only sanction your loan as quickly as possible but also make quick disbursals. Use As You Wish: This is one of the best benefits you can reap from a personal loan. Unlike other loans, you do not have to limit your usage. You can use the principal loan amount to finance almost any occasion. It may be your dream wedding, a world tour, a medical emergency, or buying a vehicle. Low EMI: We will never charge high EMI to drain your pocket. It will be fixed according to your ability and creditworthiness. This will make cash management easier. Flexible Repayment Period: You can choose any method (fixed type, floating type, or hybrid type) to pay back your interests. You can also pre-close your personal loan or make pre-payments. It can begin as early as 12 months and last as long as 60 months. Zero Pre-payment and Foreclosure Charges: If you have a large amount before the time period, you can pay off the loan. You can even pre-close your personal loan. We’ll never charge extra for preclosing. Besides, we will not ask for any pre-payment charges. [B-02] The bottom line We hope that we’ve answered your question “Personal Loan Kaise le?“. The most important thing to consider while applying for a personal loan is choosing the best lender. If you want an easy and quick personal loan with zero foreclosure and pre-payment charges, visit Piramal Finance. Piramal Finance is a one-stop solution for all your urgent financial needs. We have an expert team who will guide you through the entire process. I wish you quick approval and the fulfillment of all your dreams! Leave your burden on us and have some breathing space.

08-11-2023

Personal Loan

Step by Step Guide on How to Boost Your Chance of Instant Personal Loan Approval

People usually apply for an instant personal loan online because it is an unsecured loan and is quickly approved. Lending institutions are also eager to give this kind of loan because it can be paid back quickly. However, it has also been observed that many borrowers face rejection of their applications because a few basic details are not clear. Denial of a loan application may be due to many reasons, but a poor understanding of the process should not be one of them. Let’s look at how you can increase your chances of getting a personal loan online. [B-01] 6 Steps to Improve Your Chances of Getting a Personal Loan Online Apply Online One of the quickest and most convenient ways to get a personal loan is to apply online. Once you login to the lender’s website, all you need to do is fill in the required information and upload the documents. The lender typically takes a few days to review your documents and information before approving or rejecting your personal loan application. One significant advantage of applying online is that you can check your loan application status by just checking your email or messages. After submitting the necessary paperwork, the loan approval process may take a week. The disbursement may take an additional one or two days, but it is faster than getting secured loans. Most financial institutions today pre-approve and pre-qualify you for a personal loan based on your banking history and credit score. Online pre-approval offers can speed up the process of getting a unique loan. Sometimes, the money can be in your account just minutes after you apply. Check your credit score Even if you’ve never missed a loan payment and have a good credit history, you should check your credit score before applying for a personal loan online. Sometimes an error on the backend might reflect your credit score erroneously, which might impact your chances of getting approval. Checking your credit score is essential because different lenders have varying standards for the minimum credit score they’ll accept. If your loan application is denied, it can hurt your credit score. Because of this, it is a good idea to examine your credit score to see whether or not it is equivalent to the minimum credit score required by the lender. Have a good bank balance Lenders consider how well you keep your Monthly Average Balance (MAB) when assessing your ability to repay. Your MAB is determined by summing up your ending balances for the entire month and dividing by 30. If you keep an overall good balance, banks and non-bank financial companies will consider lending to you because it demonstrates that you have a good repayment capacity. Banks provide quick, pre-approved, and pre-qualified personal loans if you keep a high savings account balance. Apply only to one lender Those in immediate need of cash often apply for an instant personal loan online at several institutions. This may increase your odds of getting quick approval. However, several loan applications may result in many rejections, negatively affecting your credit score. It is essential to keep the process simple and steady. Give accurate and complete information Providing accurate personal and financial information will improve your chances of loan approval and streamline the procedure. For instance, if you have multiple income sources, disclose them all at once in case the lender needs additional income-related documentation. In addition, if you are staying in a rental place, keep a copy of your rental agreement handy to rule out any confusion over addresses. Make sure that all of the documents are ready Gather the necessary paperwork before applying for a personal loan online. A personal loan is an unsecured loan that is usually approved with minimum documentation. However, you should contact your lender and ensure that you have all the necessary information ready for verification, as this speeds up the disbursal process. Documents such as your passport, Aadhar, PAN card, salary slips, IT returns, and bank statements are usually demanded. [B-02] Conclusion Getting an instant personal loan online may seem complicated at first. However, if you have your personal information and verification documents ready, applying for a personal loan online is a breeze. Moreover, facilities such as pre-approval for existing bank customers also allow for same-day disbursal of the loan amount. In addition, personal loan repayment can be efficiently planned and managed through EMIs. However, like all other loans, a personal loan means more debt. Therefore, you must take stock of the situation and do enough research before getting a personal loan. Apply to the lender who meets most of your requirements and gives you the best rates. Also, read all the terms and understand the costs involved, such as processing fees, prepayment fees, and foreclosure fees, ahead of time so you don’t get any unpleasant surprises later. Interested in knowing more? Head over to Piramal Finance for more interesting blogs and to explore their product offerings.

08-11-2023

Personal Loan

What is a Personal Loan and what are its Types?

The meaning of a personal loan is the amount of money that banks will lend to you, so that you can meet your expenses. It is also called a consumer loan that you can use to meet your pressing financial needs. You can take a personal loan to repay a debt or celebrate your daughter’s wedding. Alternatively, you could use it for home renovations. Apart from banks, online lenders and financial institutions also offer personal loans. You must repay the loan amount within the timeframe set by the lender plus interest. [B-01] You can take such a loan in the following situations: § Moving house expenses § Medical bills § Holiday expenses § Emergencies, among many others Key Features of a Personal Loan The features of a personal loan are as follows: § It is an unsecured loan, so it does not require collateral. § The loan is based on your income level, credit history, employment track record, repayment ability, and profession. § The bank can process the loan quickly. § You can obtain a loan from your bank or any non-banking financial institution. § Your loan amount will be with you within 48 hours of application. § You can get a personal loan at an attractive interest rate. If you are an existing customer with a good CIBIL score, the bank will also add some benefits to your loan. § The loan tenure ranges from 1 year to 5 years, with easy options to repay in EMIs. Types of Personal Loans You can have many reasons to apply for a personal loan. The meaning of a personal loan is quite simple: You could be planning to renovate your home, host a wedding or reconcile a debt. This type of loan helps you when you don’t have immediate liquidity. Personal loans are of the following types: Education loan Students can obtain secured education loans or unsecured personal loans to fund their tuition, hostel fees, and other academic expenses.In the context of a student’s life, this is the meaning of a personal loan. Generally, a personal loan of Rs. 20 lakhs is given, which the student must repay in 5 or 6 years. Wedding loan If it’s wedding time in your family and you’re short of funds, you will surely understand thesignificance or meaning of a personal loan. Every parent wants to host a lavish wedding for their son or daughter. To make this possible, parents take out large personal loans. These loans have a maximum loan amount of Rs. 25 lakhs and must be repaid within 3 months to 6 years. If your need is smaller, go in for a Rs 10 lakh personal loan EMI. Festival loan Everyone wants to be a part of grand festival celebrations, whether it be Holi, Dussehra, Diwali, Eid, or Christmas. Perhaps, your savings aren’t enough to fuel your expenses at this time. Don’t worry. With banks and other lenders ready to give you a festival loan not exceeding Rs. 50,000, you can have a grand celebration. Medical emergency loan The most unexpected emergencies are those that relate to your health. They appear out of nowhere and catch you completely off guard. The severity of your condition plus the cost of medical treatment in hospitals can drain your coffers very soon. Now is the time to truly comprehend the meaning of a personal loan. This can take the form of a medical emergency loan. If you meet the eligibility standards of the bank and have a good CIBIL score, you can get a personal loan for up to Rs. 25 lakhs to repay within 6 years. Debt consolidation loan If you’re trying to repay a loan but cannot meet the lender’s expectations, it might be a good idea to take a personal loan to finish paying your debt. Once you fully understand the meaning of a personal loan, you can take one. Usually, you can get a personal loan whose interest rates hover between 10% and 15% p.a. So, you can pay it comfortably within the stipulated period. Travel loan A holiday for the entire family abroad does sound like an expensive proposition. But if you’ve promised them this holiday, you’ll have to live up to it. Sure, it’s an expensive holiday, but you can plan your trip with a personal loan. Often, if you avail yourself of a travel loan, your lender will throw in complimentary travel insurance. The maximum loan amount a bank will give you is Rs. 40 lakhs, which you must repay in 6 years. Home renovation loan What if you need money urgently for home repairs? Speak to your bank for a home renovation loan. This personal loan will help you tide over your home repair expenses. You can expect no more than Rs. 40 lakhs for it. Your tenure for repayment cannot exceed 3 years. [B-02] Conclusion We hope you found this article on understanding the meaning of a personal loan helpful and informative. Whether you want to consolidate debt, make a large purchase, or be prepared for an unexpected expense, you’ll always find a personal loan to suit your needs. However, remember to compare offers from several lenders to get the best interest rates and terms for your loan. For expert advice in personal finance, consider getting in touch with Piramal Finance. You’ll get the best advice on personal loans, and you can also see their range of products.

08-11-2023

Personal Loan

Complete Guide on How to Manage Your Personal Loan EMI

Unexpected expenses often occur, such as when paying for a wedding, buying a car, or dealing with a medical emergency. You can benefit from a personal loan to cover these sudden costs. Getting a personal top-up loan is easy and may have many perks. But sometimes, more money is needed than may be obtained via a personal loan. You may rely on a top-up loan of this kind to provide you with more funds when you are a pre-approved client who has already received a personal loan. The EMI payments on personal loans may hamper your money planning and budget. Take into account the following advice for managing personal loan EMI payments to prevent this: [B-01] Strategies for Managing Personal Loan EMI Payments Find out whether you need a loan by doing some research Research might be helpful. It will inform you of all the calculated rates before selecting the bank or lending firm from which you will borrow money. And also, rather than taking an excessively large sum, you should only borrow the amount you will earn. Additional loans will increase your EMI burden, straining your duty. Analyse your plan and skills When you are in dire need of cash, you often take out loans. Before deciding the amount you’ll ask for a personal loan, this must be a troubling aspect. Almost all major banks and lending firms provide a personal loan EMI calculator that allows you to calculate the rates and the total amount needed. Increased loan sum needs to be increased in EMI payments. Also, It would help if you were assured that you could repay the borrowed money and plan clever methods. Before applying for a personal loan, use an EMI calculator Using a personal loan EMI calculator to know your EMI is a very smart move. This will help you later by clearly explaining how much the clients will have to pay the banks or lenders each month. If the predicted EMI amount proves too much, you may use the personal loan EMI calculator to lower the loan amount and avoid taking out a bigger loan. Check your ability to repay Knowing your loan repayment ability is the first step to EMI payments. Ensure you fully know the personal loan’s rate and the flexible payback options the loan firm offers. For the duration of the loan term, this information could help with EMI calculation and budget management. There are numerous EMI calculators for personal loans accessible online. These online calculators make it easy to know the EMIs that clients will be responsible for paying on their loans. Making wiser money choices for debt payback may be aided by this. These online tools mean assessing their capacity to make EMI payments during the loan. Choose a longer loan term The relationship between your personal loan EMI and loan term payment is inverse. When the loan duration is longer, the EMI is lower, and vice versa. If you want to prevent your EMIs from becoming a money hardship in the future, you might pick a longer loan term when applying for your loan. Doing this may greatly reduce your EMI payment and manage your monthly budget more effectively. Paying your personal loan EMI on time is essential. A missing EMI payment might lower the person’s credit score. The lender may find it more challenging to get future loans. The lender may also be forced to return certain late fees or penalties based on the terms of the contract with the private loan provider. As a lender, it is advised that you keep an eye on the tips above to manage your personal loan EMI better. Put your EMI payments first Prioritise paying the EMI on the scheduled day and time. Make sure you fulfil the dates for making these EMI instalments. Delaying the payment may harm your credit payment history and cost you more in fees and fines. And also, missing the payback and the EMI may incur higher fees and harm your credit and mortgage score. Be mindful of dates and create reminders to save you from jeopardising your history of on-time payments and saving you from unwanted cases. Strive to keep a good credit score Credit scores range from 300 to 900. However, most banks and lenders favour approving loans for clients with scores of at least 700—750. High credit increases your chance of accepting your loan form and allows you to bargain for cheaper rates. It may be good since it encourages honesty and respect for you. For example, a menu remodification and EMI date extension may be possible if you are still experiencing money troubles, thanks to your history, credit score, and skilful bargaining with your bank or lender. Emphasise conserving money Your EMI payments were rigid and necessary for several reasons. You must thus put aside a fair amount for savings. You would be surprised at how handy this money is. For example, this amount you have saved can be helpful if you need to increase your cash reserves for your EMI payment. This amount from your savings may be used to pay for urgent medical care or treatment for a family member without placing you under stress or pushing you into deeper debt. [B-02] Conclusion Personal loan EMI tracking is easier than you would think. Being extra careful with this payback responsibility could be useful. Additionally, it is urged that until the payback process is complete, the debtors cut down on any possible unnecessary or questionably extravagant expenditure. Your credit score and image would likely be permanently harmed by any tolerance and delay on your part, which might result in many more future money assistance requests being turned down. For the latest news on personal loans, daily blogs, and articles, follow Piramal Finance.

08-11-2023

Personal Loan

Top 5 Perks of a Pre-Approved Personal Loan

A personal loan is a basic, short-term loan that may be used for any purpose. Because it is an unsecured loan, no security will be needed. People may apply for a personal loan to pay urgent personal costs, such as a medical crisis or a sudden job loss, or to support a wedding or higher education. A pre-approved personal loan has many perks, including fairly easy paperwork, the absence of collateral, and no limits on how the money is used. However, it comes with a high rate, so it is best to have a decent credit rating before applying. [B-01] What is a Pre-Approved Personal Loan? Banks usually offer pre-approved personal loans to people with a good record of repaying their debts. It is given at cheaper rates. Some lenders may pre-approve a loan for a consumer who has no credit records based on factors such as income and savings records. It is often a limited-time promotion. The pre-approved personal loan has many perks. These loans get sanctioned in a few days. You can check with your lender to see if you are eligible for a pre-approved loan offer, or you can go into your net banking account to see if you are. Keep in mind that your ultimate approval relies on your credit record and your lender’s lending standards. Features of a Pre-approved Personal Loan Quick loan payments If you are already a bank client, the pre-approved debt will be sent to your account in a few days. Minimum paperwork needed Instant loans are simple to obtain; the process is termed simple because loan approval does not necessitate extensive papers. There is no need for assets Users with pre-approved personal loans need to provide security or assets to obtain instant loans. Variable loan amounts Each person’s pre-approved loan amount is unique. The loan amount is determined by factors such as the user’s credit history and repayment record. Fees Lenders charge users fees before and after the disbursement of pre-approved loans, such as service charges, secure fees, outstation collection charges, EMI bounce charges, penal interest, foreclosure charges, and so on. The conditions and terms of the relevant fees vary depending on the lender. Perks of a Pre-Approved Personal Loan Bear in mind that pre-approval is only a sign of your loan eligibility. Despite being “pre-approved,” the loan request may be denied if you do not fulfill all eligibility rules during the verification process. A pre-approved personal loan has several perks, such as: Quick or instant funds Being eligible for pre-approved loans provides a safety net when you require instant funding to fulfill your debt duty. If the verification process is successful, the loan will be approved and disbursed in just a few minutes on the same day. You may apply for the loan for any personal reason. Minimum paperwork required The existing user qualified for pre-approved loans does not need to provide papers because the bank already has your KYC, lender, and other income details in the system. Certain money firms also provide new users with loans. In such cases, bank details, the last three months’ salary slips, a PAN card, and proof of residency (Aadhaar card, driving license, passport, etc.) are required. Flexible loan terms You can select loan payment terms that work best for you. It is usually between 12 and 60 months. To avoid loan default, consider your perks when selecting the loan tenure. Improved money planning When you look for a personal loan by yourself, you may need to know your loan eligibility, and if you are not eligible, your application could be rejected. But a pre-approved personal loan allows you to better plan your finances because you know exactly how much funding you are eligible for. Negotiating power With pre-approved debts, the bank comes to you with its product instead of you going to the bank and asking for something. This gives you more power to negotiate with your banker to reduce the rate or boost the tenure at your leisure. This advantage is lost if you apply for a loan online because there is no human factor. Should You Take Out the Pre-Approval Loan? Accept such offers only if you realize how and where to put the money. Giving credit for borrowing is not a good idea. You must repay the amount plus interest. A pre-approved personal loan could be low-hanging fruit if you’ve planned ahead of time and are already looking for a loan. Before accepting the loan request, it is vital to check if the loan amount offered is adequate for your needs. Check the borrowing terms, rate, and other applicable fees. A pre-approved personal loan is only available for a limited time. As a result, make your choice as soon as possible. Accept the pre-approved credit offer with low rates and other perks if you need the funds and can smoothly repay it. Before knowing the pre-approved loan, choose the most suitable repayment term and ensure users get the same deal as you were shown. [B-02] Conclusion A pre-approved personal loan is a short-term loan for a select group of users. No assets or security are required, and no paperwork is required. To be eligible for an instant loan, you must have a good credit score and a track record of repayment. Although the rewards of pre-approved loans are numerous, taking a line of credit if you do not need it is pointless. Only go into debt if you truly need the money. Besides, there may be better choices than a pre-approved personal loan for your situation. You could choose a credit line instead, where you’ll get final approval and not pay any interest until you use the money from your allowed limits. If you must borrow money, make sure you only borrow what you need, not what the lender is willing to give you. To apply for a personal loan, check out Piramal Finance and explore the products and services.

08-11-2023

Personal Loan

How Can Customer Care Employees Avail of Personal Loans?

When you have a big expense, whether it was planned or not, a personal loan can feel like a blessing. In reality, they are unsecured loans that borrowers get from lenders. People get personal loans to pay for things like unexpected medical bills, vacations, home repairs, and paying off debt. Everyone can get a personal loan rate of interest, and they have a lot of choices. Anyone can apply for a personal loan, which requires little paperwork. People who work for themselves or own businesses can also get personal loans. Most of the time, these loans are paid off in 12 to 60 months or 1 to 5 years. The loan’s terms change based on the borrower’s background and needs. [B-01] Features of a Personal Loan Rate of Interest Salaried applicants can get an instant personal loan rate of interest as low as 11%. Personal loan rates of interest for salaried borrowers are not based on how the money will be used. The service fee usually ranges from 2% to 4%. The loan can range from 12 months to 60 months, and the maximum loan amount is Rs 30 lakh. Advantages of a Personal Loan Rate of Interest No Collateral No collateral or mortgage is required if you apply for a personal loan because it is an interest-free loan. It is one of the major advantages of a personal loan rate of interest. Simple Criteria for Eligibility Banks and NBFCs prefer salaried clients. Personal loans are easy to get for Indian people who work for private or public companies. Easy EMIs For salaried borrowers, paying back a personal loan takes between 12 and 60 months. You can change the terms of your loan. EMI Calculator One of the many benefits of personal loans is that you can figure out your EMI by using an online EMI calculator. You can change the settings and check your EMI as frequently as you want. How Does Customer Care Apply for the Personal Loan Rate of Interest? Let’s start by reviewing the requirements for personal loan customer care. Lenders have different requirements, but most are basic and standard. Age At the time of loan application, the borrower must be at least 22 years old, and even at loan maturity, they may be at most 58 years old. Income The borrower must earn at least Rs. 20,000 per month. Nationality The borrower’s citizenship should be Indian. Credit Rating For the borrower to be able to get good interest rates and terms, their CIBIL score should be high, usually above 750. How to Apply? You can get a personal loan in one of three basic ways, which are: Commercial Banks Since almost everyone has a bank account, most people know how to apply for a personal loan, which is the most common way. Most of these institutions follow a set process for giving out loans, which includes a strict way to pay back the money, paperwork, and regular contracts. Co-operative Banks Even though they have a much smaller customer base than commercial banks, rural people like these institutions more. Since they aren’t trying to make money, these banks have lower interest rates and more flexible ways to repay loans. Qualification Criteria for Personal Loans Before you apply for a personal loan online, you should know the different things that affect your eligibility. These have the following parts: Credit history Your credit history and credit score are the two most important things that determine whether or not you can get a personal loan. This will determine the length of the loan, the interest rate, and how much you can borrow in total. Geographical area Your neighborhood has a big impact on whether or not you can get a personal loan. Existing credit If you pay off other loans, it could hurt your chances of getting a new one. Housing scenario If you own your home, you have a better chance of getting the loan you want. This is because renting limits what you can do with your money, which makes it harder to get a personal loan. Income The amount of money a person can borrow is proportional to their income. So, your income affects whether or not you can get a personal loan. Organisation Whether or not you can get a personal loan will also depend on the business you work for. If you work for a reputable company with a good name in the market, you can be sure that your job will be safe. They should pay down their current debt, use credit cards and loans as little as possible, pay their monthly payments on time and correctly, and make themselves more available for personal loans. Things to Keep in Mind Personal loans are a great way to pay for important costs when used carefully. Before asking for a loan, you should always consider how you will pay it back. Getting a loan is a big decision that needs to be well thought out. If you pay back your loans on time and in full, your credit score will go up. This will make you a great candidate for getting another loan. If you don’t, your credit score will decrease, and lenders will think less of you. This will make it harder for you to get loans in the future. So, you consider all of your options before you apply for a personal loan. [B-02] Conclusion You can easily meet a range of financial needs with the help of a personal loan. Unexpectedly large expenses may deplete your funds. Choosing a personal loan might be very beneficial in these circumstances. Applying for a personal loan is frequently done for various reasons, such as paying for a special event, building a home, fixing a car, etc. A personal loan rate of interest can also help you cover any gap encountered when buying a car or property, in circumstances of unforeseen medical expenses, or for your children’s higher education, among other things. The quickest and easiest approach to getting the money you need to fulfill all of your future ambitions is to apply for a personal loan. You can visit Piramal Finance for more blogs related to how customer care employees avail of personal loans. Take a look at the products and services they offer as well.

08-11-2023

Mutual Funds

How does a Mutual Fund Returns Calculator Work On a Current Investment Plan?

A mutual fund pools small amounts of money from several investors. The funds are invested in various asset classes, such as equities and bonds. On behalf of the investors, an asset management company (AMC) makes these investments. Mutual funds are seen as a risk-free investment that gives investors a chance to expand. Anyone wishing to diversify their portfolios may find mutual funds to be a beneficial investment. Find out if investing in mutual funds is the correct choice for you. [B-01] Mutual Fund Categories The five different types of mutual funds are: Stock Funds Stock funds primarily invest in stocks or equities. Depending on the size of the companies they invest in, equity funds can be small, mid, or large-cap. Their investment strategy identifies other types of stocks, such as value, income-focused, or aggressive growth. Another way to assess equity funds is by checking if they invest in private or foreign stocks. Money Market Funds The money market’s short-term debt instruments, like treasury bills, are safe and risk-free. While the investment is guaranteed, investors do not make a large profit. The return on money-market funds is slightly higher than the earnings in a standard checking or savings account. However, it is lower than a formal certificate of deposit (CD). Bond Funds A type of investment business (mutual fund, ETF, closed-end fund, or unit investment trust (UIT)) that invests primarily in bonds or other debt instruments is referred to as a “bond fund” or an “income fund.” Government bonds, corporate bonds, and other debt instruments fall under this umbrella. You can buy or sell shares of a bond fund every day. Bond funds also allow you to invest more money at any time and automatically reinvest income dividends. Most bond funds provide consistent monthly income, though the amount may change depending on the state of the market. You can buy or sell shares of a bond fund every day. Bond funds also give you the flexibility to invest more money at any time and automatically reinvest income dividends. Most bond funds provide consistent monthly income, though the amount may change depending on the state of the market. Index Funds Index funds invest in stocks that track a primary market index, such as the Standard & Poor’s 500 or the Dow Jones Industrial Average (DJIA). These funds are frequently designed with budget-conscious investors in mind. This method requires less research from analysts and advisors, resulting in lower costs being passed on to shareholders. Target Date Funds Target-date funds aim to increase investor returns by a set date. The funds are common ground to make a profit in the initial periods by focusing on risky shares. Then, as the goal date comes closer, one starts to move toward safer choices to hold onto their profits. Liquid Funds: Regarded as the most secure variety of mutual funds, liquid funds invest in liquid instruments with brief maturities, usually less than 91 days. They offer nearly no risk and 1% to 2% better earnings than savings accounts. Mutual Fund Fee A mutual fund may charge its shareholders yearly operational costs. The expense ratio means the annual proportion of yearly fund operating fees, typically from 1% to 3% of the funds under administration. The transaction cost of an investment fund is estimated by adding the consulting or management charge and subtracting expenses. A Mutual Fund Return calculator is a useful monetary tool that helps investors calculate the profits from mutual fund investments. You can invest in mutual funds either once or twice a month. You can choose the frequency during or after starting the investment. How does a Mutual Fund Return Calculator work? A Mutual Fund Return calculator is a useful financial tool that helps investors calculate the profits from mutual fund investments. A SIP, or systematic investment plan, is one way to invest in mutual funds. A person makes a small monthly investment in set targets in a SIP. Keep in mind that these funds’ net asset values (NAV) fluctuate monthly. A similar sum of money can be used to purchase different units in other months. Pros of Investing in Mutual Funds Here are the benefits of investing in mutual funds: Convenience: One prospect for mutual funds is diversity. A good mix of investments and assets within a portfolio reduces risk. Simple Access: Mutual funds are highly liquid investments due to the ease with which they can be traded and purchased when trying to trade on major stock exchanges. Mutual funds are the most workable – and occasionally the only – way for independent investors to invest in different asset classes, such as global stock markets or exotic commodity markets. Varieties: A mutual fund is a collection of funds from several individuals used for buying stocks, bonds, or other securities. Diversification of investments is possible with mutual funds. A mutual fund doesn’t only buy one stock or bond; it invests in various asset classes. Although there are numerous mutual fund varieties, most fall into one of four broad groups: stock funds, money market funds, bond funds, and target-date funds. Skilled Management: An experienced investment manager expertly conducts research before trading. A small investor can hire a full-time manager to initiate and manage investments for a low cost. Investors can benefit from professional help at a low cost. Since mutual funds have a low start budget, anyone can invest. [B-02] The bottom line A collection of stocks, bonds, or other securities constitutes a mutual fund. Small-scale or small investors have access to these different assets. Generally, they are managed by mutual funds. There are various categories of mutual funds. These describe the types of securities, investing goals, and return types they invest in. Employer-sponsored retirement investing programs typically use mutual funds. Using the Mutual Fund Return Calculator makes the process easier. It helps in knowledge and removes the chance of human error.

08-11-2023