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Personal Loan

How To Get An Instant Personal Loan Online In India

The way you bank these days is quickly changing. The process is becoming less paper-intensive and more timely. With the ever-increasing need for instant cash for medical crises, acquiring a vital asset, wedding or trip expenditures, automobile or house repair bills, or any unforeseen incident, the demand for rapid online loans is also expanding. Due to the fast application process and rapid processing period, an online instant personal loan is becoming more popular. [B-01] What is an Instant Personal Loan? Instant personal loans are unsecured loans made available by many banks and NBFCs with rapid approval, payout, and little to no paperwork. These loans are granted quickly without any collateral. Many lenders provide instant personal loans online in current times. Depending on your credit history, lenders often provide pre-approved loans to a specific group of current clients. As these loans are pre-approved, many lenders may provide them without additional paperwork. Features of an Online Instant Personal Loan Here are the features of an online instant personal loan: No Collateral Required These personal loans are unsecured. Thus, if you apply for an instant loan, you won’t need to provide any security. Quick Payment Applying for an instant loan is advised if you want money faster. Once your form is accepted, the cash will be sent to your account within no time. Quick Process Instant loans process far faster than traditional loans by a considerable margin. Flexible Loan Terms You are often given a flexible loan term when you apply for an instant loan. So long as you stay within the maximum loan payback time set by the lender, you may pick a payback period that suits your needs. Papers Needed for an Instant Personal Loan Online Application The papers required to apply for an instant personal loan online are listed below. Identity Proof: You must provide an Aadhar card, PAN card, driving license, or passport as proof. Address Proof: This includes utility bills such as energy, water, phone, or your passport. Photo Proof: A passport-size photo of you. Salary Slips: The most recent pay stubs from your workplace are necessary. Bank Statements: You must produce salary credited bank statements. Eligibility Requirements For an Online Instant Personal Loan You must fulfil the lender’s eligibility needs to get your loan form accepted. The following are the standard qualifying rules for applying for an instant loan: Credit Rating: To be eligible for an instant loan with a low rate, you must have a decent credit score. A credit rating of at least 750 is needed. Age All borrowers must fulfil the lender’s age limits. The age restrictions may differ depending on whether you are a paid employee or a self-employed person. Check the age criteria of banks/money firms that provide instant loans. Occupation Summary Most lenders provide instant personal loans to both salaried and self-employed people. How to Apply For An Instant Personal Loan Online Determine your eligibility and choose a personal loan plan Fill out a few simple pieces of data to see whether you qualify for fast loans and a credit line. A credit line is the maximum amount of money you may borrow from a lender. You may pick the loan amount after you have received your credit line to pick your loan plan and choose the optimal combination of loan lengths and EMIs. Upload your KYC papers You must attach a few papers to complete your KYC and have your loan approved. You must also sign the loan agreement and a NACH form to activate the EMI auto deduction. NACH, which stands for National Automated Clearing House, is a centralized web-based payment system for bulk money deals controlled and monitored by the Reserve Bank of India (RBI). The NACH form guarantees that you stay caught up on your EMI payments. The best part is that the whole thing is paperless. After uploading all the needed papers, you will get approval within two hours. Complete the process After the loan is confirmed and the application process is completed, the funds will be sent instantly to your bank account. Tips Before Taking An Instant Personal Loan Online Before you apply for an instant personal loan online, you should compare the loans provided by many lenders. When analyzing instant loans, you should keep an eye on the following factors: Processing Fee Most money firms and banks often charge users a one-time service fee. You will have to pay extra for your loan if you are charged a hefty processing fee. Default Penalty The lender may impose a default penalty if you do not pay your EMIs on time. As a result, it is vital to compare the default costs imposed by many lenders. Rate of Interest The interest rate imposed by a lender might impact the total cost of the loan. As a result, before going to a specific lender, check the rate at which the loan is given. Pay Back Flexibility Choosing an instant loan allows you to make or before or part payments towards your loan balance. This is particularly if you want to pay it off before the end of the loan’s term. Loan Amount When comparing instant loan offers from many lenders, analyze the amount given. For example, if you want an instant personal loan online for Rs. 15 lakhs, you should only look at lenders that enable users to borrow up to Rs. 15 lakh. [B-02] Conclusion The banking industry has seen many developments in recent years. This includes an instant loan. This loan represents a vital change. Since the beginning of banking, applying for a personal loan has been a laborious process filled with worry, strain, and time waste. For these reasons, it was critical to establish a new kind of loan tool that would be simpler for people to obtain.
08-11-2023
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Personal Loan

How to Calculate Personal Loan EMI in Excel

More and more individuals are turning to personal loans as a primary source of credit. People get these types of loans to cover unexpected expenses. They can be either short-term or medium-term. Personal loans are available without requiring collateral, but this will depend on your creditworthiness, earnings, age, and other variables. Personal loans offer attractive interest rates to borrowers. Plus, you can complete the paperwork procedure online for speedy loan disbursement. So, without further ado, let’s jump right into it! [B-01] How to Calculate Loan EMI Using Excel Once you are familiar with the formula, determining your EMI payments in Excel is quite simple. In addition, you can use free tools like EMI calculators present on the websites of most lending banks. In these, you can enter essential details like the loan balance, the rate of interest, and the time to repay the loan and immediately get the EMI amount you need to pay. Calculating your personal loan EMI using Microsoft Excel is very simple. For this, Excel offers a handy formula: PMT (rate, nper, pv, [fv], [type]). PMT is short for “payment,” and the value it generates is the monthly instalment payment on a loan. This function requires the following parameters: rate – The loan’s annual percentage rate of interest nper – The number of loan payments pv = current loan balance or outstanding loan amount fv – The money you hope to have on hand once you complete the final payment or its future worth. Its default value is the loan amount that remains unpaid after you’ve repaid all the loans. For this function to work, rate and nper must be of the same units. For example, to calculate monthly EMI, use the monthly interest rate rather than the yearly one. Take a look to see what we mean: Think about you’re taking out a loan of 20 lakh rupees at an interest rate of 12 percent per year for 25 years. If paid back in three equal quarterly payments: Rate = 12%/4 per quarter Npr = 25X4 EMI calculation in excel will be: = PMT(12%/4, 25*4, 20,00,000) How to Calculate Personal Loan EMI Using Mathematical Formula? No worries if you don’t have Microsoft Excel. You can still determine the EMI using a calculator or basic arithmetic skills. The formula often used to determine the EMI amount is: EMI = [P x R x (1+R)^N] /[(1+R)^N-1] In this equation, P is the debt principle R is the rate of interest each year N represents the number of payments during the life of the loan. For the EMI formula to work as expected, the rate units and EMI period must be identical, as they are in the PMT formula. So, suppose the interest rate payable is 10% per year, and you need to figure out your EMI. In that case, you would put [10/(12X100)] into the calculation for R. The PMT function derives its output from the same underlying computation as the EMI. Hence, the two are interchangeable. Remember that these figures assume a fixed interest rate throughout the loan’s term. Also, the results don’t account for any costs other than the principal amount and interest. How to Calculate Personal Loan EMI Using Online Calculators? Most financial institutions and banking organizations calculate personal loan EMI using a formula. You can also use a Personal Loan EMI Calculator to estimate your EMI. Your EMI will depend on the total amount you borrow, length of time, and interest rate. 3 Facts You Should Know About Personal Loan EMI Calculation 1. Your EMI payment factors in interest accrued on that principal. You’re doing two things when you pay your EMI: repaying the principal and the interest. You repay the loan over the loan’s term by making equal monthly payments, or EMIs. Suppose you first begin making EMI repayments. Then, the amount you send toward interest is more than the amount you give toward the principal. In contrast, your EMIs will go more toward repaying the loan’s principle than interest. 2. Make sure the monthly EMI payment doesn’t exceed 40% of your take-home pay. Suppose you’re considering taking out a loan. Whether a car loan or a home loan, your monthly EMI payments shouldn’t exceed 40% of your gross monthly income. That’s because most individuals only have a certain amount of money to pay bills. Whether you’re an entrepreneur or an employee, your money is always subject to market risk. Thus, it is advisable to play it safe and ensure that your EMI expenses are at most 40% of your earnings. 3. Your interest rate will fluctuate based on several variables. The interest rate charged on your personal loan is a major component in determining your EMI. Income, credit score, loan amount, and age, all play a role in determining the interest rate. But, variables like your credit history influence the sum. Loan and credit card payments, both old and new, impact your credit score. Lenders see customers with a history of making timely payments on loans and bills as low risk. Hence, they offer such customers more favourable terms on personal loans. [B-02] Conclusion Be clever when figuring out your personal loan EMI. You can do this by considering how this will affect your spending plans. Consistent expenses will significantly impact your ability to repay your loan. Did you love this article? Follow our blog for more investing, personal finance, and banking tips!
08-11-2023
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Other

Beginners Guide To Generate New ATM Pin

Account holders can easily get a new ATM PIN from most banks today. All you need to do is to go to the bank’s ATM. Then, you can easily get your pin using a registered cellphone number. You can also do it through the net banking portal or mobile banking services. This process is useful for every account holder to create an ATM PIN and change it when necessary. When a person opens an account, they might acquire a debit card and an ATM PIN. [B-01] About ATM PIN An ATM PIN is just a 4-digit number necessary to make transactions at an ATM. Banks initially give this PIN to ATM card users, but they should change it and keep it secret. You can alter and make a new PIN for your ATM card whenever and as often as you want. PIN stands for “Personal Identification Number.” Each ATM card has its PIN. This new ATM PIN code makes sure that the transactions are being done by the card owners and are, therefore, real. Various uses of ATM PIN Most of us think we only need a new ATM PIN to do financial things like get cash, swipe a card, etc. But your PIN can also be used to prove who you are. The PIN can be used in many ways, whether you are accessing an ATM or the internet. For instance, you could use the PIN to stop a check from being paid or block an account. You can also change your address, phone number, or email address, or order a new chequebook. You can use your PIN to prove who you are in all of these situations. The PIN is an additional layer of security to verify your identity. Your card could be in the hands of anyone, but only you must recognise the PIN that goes with it. Making a new ATM PIN for an ATM Card When a bank gives someone a new ATM card, they give them an ATM PIN that they can use to log in. They tell the owner of the cards to make a new ATM PIN that only they know. This ensures that the ATM card used to get cash or do other online transactions is safe. One can get an ATM PIN in several ways, such as via SMS, online banking, or ATM. In general, there are two ways to get an ATM PIN. One way is to get a paper mailer, and the other is to get a Green PIN. Green PIN lets you set up your ATM through SMS and online banking. How to create a new ATM PIN at a Bank’s ATM? Go to the closest ATM of the bank where the person has an account. Enter the ATM card into the ATM and choose “Change PIN” or “Generate ATM PIN.” There are three ways to verify an account holder’s identity, depending on the bank: Account holders might be asked to input the temporary ATM PIN. The bank provided them with this PIN when they created an account or sent it later. Account holders also can confirm using OTP authentication. The OTP goes to the registered phone number. Input the OTP just at the ATM to modify the PIN or make a new one. Account holders may need to input their mobile number and account details to generate a PIN. Once the account holder’s request is confirmed, he or she can set the new ATM PIN as needed. How to produce a new ATM PIN through Net Banking? Account holders can use the net banking platform to create the Green PIN. For this service to be offered, the debit card’s account holder must have internet banking. Obey these steps to create the new ATM PIN by using the net banking portal: Use the password and username given to get into the online banking website. Select the account that the account holder wants the ATM PIN to be made for. Then click the “ATM Card Services” option. Click “Generate New ATM”. Type in the preferred ATM PIN. After that, an OTP will be texted to the registered phone number for verification. Once a request is verified, the account owner can use their new ATM PIN. Account holders can also use mobile banking to create an ATM PIN. Other ways to create a new ATM PIN There are other ways that every account holder can get a new ATM PIN: Call the customer service number of a bank where an account holder has an account. You can acquire the ATM PIN by texting the specified code (for SMS Banking). Account holders can also go to the nearest bank to ask for an ATM PIN. What’s the utility of an ATM PIN? ATM PINs are 4-digit codes unique to each cardholder’s ATM or debit card. It ensures that all cash withdrawals, POS, and online transactions are safe. The transaction is finished only after the cardholder inputs the correct PIN. This makes it less likely that a fraudulent transaction will happen. [B-02] Conclusion After the bank offers you an ATM card or interim PIN, make a new ATM PIN. This makes it safer because you are the only one who knows your new PIN. You must update your PIN periodically for security, so if someone discovers it, they can’t use your ATM card. You can only get cash out of an ATM or buy something online if you input the right PIN. If multiple wrong attempts exist, the card could be stopped for 24 hours to stop fraud. Even if the card is misplaced, no one can use the ATM without the PIN. But if you lose the card, you should block it right away. Piramal Finance is a great financing option for everyone. Visit their website to learn more about the products and services they offer.
08-11-2023
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Personal Loan

Flexi loan vs Term Loan: Which One Should You Take For Travel

Your ability to predict travel costs will determine whether you choose a Flexi loan vs a term loan. Ganesh and his family are looking forward to their yearly trip to Kerala at the end of the year. They are eager to enjoy a festive Christmas and a prosperous New Year in God’s Own Country. The duration of the trip, the schedule, the activities, etc., have all been decided. The only decision would be whether to use a fintech flexi loan vs a term loan from a bank to pay for the holiday. It’s a problem that several individuals experience. [B-01] Describe a Term Loan. The period and EMI of a term loan are both fixed. Your bank account receives a lump sum disbursement of the total loan amount. Regardless of how the loan is used, interest is accrued on the total amount. Both the capital and the interest are included in the EMI. Understanding Secured Loans As you can see, this loan is described as secure. The word “secured” is of English origin. The term “secured loan” refers to a loan that is safe because the word “secured” signifies “secure.” But for whom is it safe? Such a loan is secure for those offering loans being banks or NBFCs. A loan is when a bank or NBFC is promised a piece of property worth the loan amount before granting it. When a secured loan customer cannot pay back the loan for any reason, the lending bank or NBFC business recovers the loaned funds by transferring the mortgaged real estate secured to it. The unique feature of secured loans is that they have a longer term. Thus, you will pay the secured amount over a longer period. A secured loan is typically a mortgage, auto, jewellery, or other loan secured by real estate. A mortgage does not secure a secured loan. This kind of loan is a great choice for small and medium-sized business owners. Thus, no property is mortgaged to obtain such a loan. Only the activity of a bank account or Form 16 of the ITR of a financial year file is used to get loans without pledging. Business loans or personal loans make up the majority of unsecured loans. Small business owners can benefit from a business loan without mortgaging anything because they do not have enough property to boost their operations. A person can use a business loan to develop their business as needed without having to put anything up as collateral. What is a Flexi Loan? In a flexi loan, a bank, NBFC, or fintech imposes a predetermined cap (say Rs 1 lakh). The sanctioned limit functions similarly to an overdraft or credit line. Flexi loans are also called overdrafts. The Flexi loan is a financial facility offered based on the customer’s bank account history. The borrower may utilise any amount from an authorised credit line (loan account). The amount taken or used is subject to a monthly interest fee for the borrower. Let’s say Ganesh obtains a flexi loan from a fintech company for Rs 1 lakh with a 1-year term and an 11% annual interest rate. The interest-only EMI for the loan comes to Rs 917 per month when he withdraws the full amount. Please know that you will not include the major component in the EMI. After the loan term, typically one year, he will be required to pay back the remaining principal. Based on the quantity of money available, he may also choose to make a partial prepayment or a complete payback of the outstanding principal at any time during the year. Flexi loan vs term loan comparison In the last part, we discussed the characteristics of a Flexi loan vs a term loan. Let’s now evaluate both of them. Obtaining a term loan on the road You will get a lump sum payment of a specified amount from a term loan into your bank account. The length of the loan and the EMI are set. Since the loan institution will reveal the payback schedule, you could plan your EMI repayment. Prepayment charges are possible. Travelling while using a flexi loan A Flexi loan will give you access to a credit line with a predetermined sanctioned maximum. You may withdraw as much as you want from the authorised sum anytime and as often as you like. Only the amount and duration used will be subject to interest payments. There are no fees associated with partial or full principal prepayments. Choose a term loan over a flexible loan. The term loan has a set repayment period, and the EMI is fixed during that time. Therefore, you can opt for a term loan if you know the trip’s precise cost and would rather pay a fixed EMI each month. With a flexi loan, you can deduct any amount from the sanctioned limit as often as possible. Only the amount that is withdrawn will be subject to interest. Payment terms are also adaptable. Therefore, choosing a flexible loan makes more sense when you don’t know the cost of your holiday and if you wish to return the loan amount whenever you have extra cash. Which Loan—Flexi loan vs term loan—is Preferable? Flexi loan vs term loan is covered in detail in this article. As per their different terms, both loans are better. Flexi loans are a better choice for people who deal with money frequently. A secured term loan is preferable for people who need to purchase a home or a vehicle. [B-02] Conclusion You can pick a Flexi loan vs a term loan depending on how well you know the exact cost of your trip. Your decision will also depend on whether you wish to pay back the loan in lump sums or as and when you have extra cash. After deciding on the loan kind, it’s time to appreciate your trip fully. Make sure you bring back lifetime-lasting, joyful experiences. If you want more detailed information regarding Flexi loan vs term loan, you must visit Piramal Finance now.
08-11-2023
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Personal Loan

Tips To Reduce Personal Loan Interest Rate Effectively

You may often wonder how to minimise a personal loan interest rate as a borrower. A low-rate personal loan is the most efficient way to meet your current money needs. The loan may help you meet your money needs for your child’s wedding or a well-deserved trip. The borrowed money has no usage limits as long as it was borrowed for a reasonable and legal reason. But repaying these loans may be difficult for your budget if the rates are excessive. Some tactics may reduce the personal loan interest rate and the amount of money you must return. [B-01] What exactly are Personal Loans? A personal loan is borrowed at a fixed rate and repaid over a certain time. These loans are unsecured. Thus, no security or assets are required. Use the loan proceeds to meet your urgent money needs, whatever these may be. Yet, obtaining a loan is a fantastic solution to all your money needs. A personal loan is likely one of the most vital duties. You must alter your budget to repay it on time, even without paying a lump sum. Yet, if you want a loan, make an effort to get one with the lowest personal loan interest rate available. Simple strategies for Reducing Personal Loan Interest Rates Here are the tips to reduce a personal loan’s interest rate: High CIBIL Score The CIBIL score evaluates a buyer’s trust and is vital in reducing a personal loan interest rate. A high score indicates your ability to pay back the loan on time and the low chance of default. Lenders often reduce rates when buyers show a strong CIBIL score. A good score is 750 or above. This shows responsible credit behaviour and your ability to manage money. Making Timely Debt Repayments Pay your monthly obligations, including your credit card balance, in full. The other debts you have should likewise be repaid promptly. Then, you might get better terms on loans in the future. You will have a better chance of negotiating reduced personal loan interest rates and conditions with the lender if you have a solid EMI repayment history. Employee Reputation As was already indicated, lending firms prefer to provide loans to users who work for the state or federal government or PSUs. Better terms may also be negotiable for reputable firms, MNCs, and similar entities’ staff members. Lenders anticipate that you will have a reliable source of income, respectable employment, and a plan to guarantee that you will pay back the loan when due. Good Debt/Equity Ratio The capacity of a debtor to repay the debt relative to the total gross earnings is known as the debt-to-income ratio. You may get the ratio by dividing your total EMIs by your salary. A low rate may be obtained by showing the lender you have control over the finances by having a favourable ratio. Loan Amount Reducing the loan rates may be achieved by taking out a loan for a lower sum. As the sum is modest, the lender is certain that the loan will be returned on time, which lowers the likelihood of default. Relations with the Lender You can get a loan with a cheap personal loan interest rate and better service conditions if you have a good relationship with the lender. Your positive credit behaviour, too, allows the lender to believe that you offer less of a risk than if you were a new client. Check the Interest Calculation Process Despite the lender providing you with a lower personal loan interest rate, you can pay more interest throughout the loan. This is so that different lenders may calculate rates differently. The rate that is offered on a loan may be fixed or fluctuating. A floating rate is subject to monthly adjustment, but a fixed rate means a set lending rate for the time of your loan. Typically, the rate is 1 to 2 percentage points higher than the variable rate. While a fixed rate does not change throughout repayment, the variable rate does base here on benchmark rates set by NBFC. A Shorter Term While you can choose a longer loan term, going with a short loan term might help you pay less interest overall. As a result, the effective rate on the principal amount will be lower. Also, in a global lending market, lenders may be eager to grant loans with low rates since they know that short-term loans have a lower default rate. Interest Rate Comparison Not all lenders will provide loans with high rates. Check several banking firms’ personal loan interest rates before requesting a loan. Do your research and ask them for different offers. This will help you decide which lender would provide you with the best personal loan interest rate. Good Loan Repayment History You may get a low-interest loan by making prompt paybacks and paying your EMIs on time with no defaults. A solid payback record gives the lender trust and might help lower rates. Choose Offers or Better Deals Try to connect with top lenders on the market as you compare them. This can help determine any unique offers lenders may be willing to provide. Also, most lenders advertise special deals and discounts during the holiday season. Enrol for these emails or SMSs and keep an eye out for them. [B-02] Conclusion A loan is one of the most crucial choices a person takes in life since it is fraught with danger. As a result, it is advised that a person do good research before deciding on a lender. You can assess and choose an affordable personal loan interest rate with the variables above. Unsecured loans, such as personal loans, often have higher rates than secured loans. These tips will help you receive the best rates when applying for a loan. Even though a one percentage point reduction in rates seems small, it may result in savings in the long term. If you want to learn more about loans, visit the Piramal Finance website for more related blogs. You can also explore the products and services.
08-11-2023
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Personal Loan

What is FOIR and How is It Calculated On a Personal Loan?

A personal loan is one of the most common loans applied by people. It is an unsecured loan with quick disbursal. The documentation needs are quite basic. The eligibility for a personal loan is simple. It is based on your age, income, and credit score. But there is one thing known as FOIR, which is also considered. Understanding FOIR and the right way to calculate it is important. This guide will share with you complete insights on the same. [B-01] Understanding FOIR FOIR is a fixed obligation-to-income ratio. It is a parameter which is used to check loan eligibility. It determines the creditworthiness of the applicant. In simple terms, it is the debt-to-income ratio. This ratio is always represented in percentages. This display the percentage of the debt you have against your income. It is a true reflection of your credit health and repayment eligibility. It shows your actual repayment capacity at the income you are earning. Mathematically, it is: FOIR = (Sum of all monthly debts/ Net income per month) * 100 For simple understanding, here are the details of each term: Debts are the total of EMIs and other credit bills you must pay. It includes EMI for personal loans, home loans, business loans, education loans, and others. Net income is the total amount you earn from all sources. You can also have multiple sources of income. You just need to back up them with evidence. Every lender has their own accepted FOIR range. But in general, it should be between 40% to 55%. To understand the FOIR calculator, let us take an example: Example of FOIR calculation Suppose you earn a monthly salary of INR 90,000. The following are the EMIs he needs to pay: Home loan = INR 25,000 PM Auto loan = INR 15,000 PM Mortgage loan = INR 20,000 PM Credit card instalment = INR 8,000 PM The total amount you need to pay per month is INR 68,000. Now, the FOIR is = (68,000/90,000)*100 = 75.56%. The ratio can be explained as follows: 75.56% of your income goes into debt. Your surplus is only 24.44% to pay any new debt. Now, this is out of range which will reject the loan application. Significance of Low and High FOIR A low FOIR signifies: You have fewer liabilities. Your disposable income is high. The chances of repaying the debt are high. The chances of loan approval are high. A high FOIR signifies: You have more debts. You do not have a high disposable income. There are chances of delayed payment or non-repayment of debt. The chances of loan rejection are high. Tips to improve your FOIR Improving FOIR is the best way to get approval for your loans. These tips can help you: Go for a joint loan If you have a high need for a loan, try a joint loan. The co-applicant be your spouse or a blood relative. This will reduce the burden of EMI on you. Also, this will improve your FOIR and improve your chances of loan approval. Repay your debts You need to repay your debts on time for a healthy credit score. It will help to improve your credit score and FOIR. As you repay debt, the amount for EMI will reduce over time. Also, this will allow you to get a new loan if needed. Improve credit utilisation ratio It is the ratio of the credit used against the credit available. It is suggested to keep it well below 30%. If your credit utilisation ratio is above 30%, consider paying off some debts. This will increase your disposable income with you. Also, it will improve your FOIR. Avoid multiple loans You should avoid multiple loans. Lenders prefer borrowers who can manage their finances well. Too many loans in your profile can lead to the rejection of your application. Avoid frequent job switches Frequent job switches are also a cause of high FOIR and so can lead to application rejection. You will not have a consistent income due to gaps in between. This will further worsen your disposable income. Increase in loan tenure You can increase the loan tenure for existing loans. In that case, it will reduce your EMIs and increase your disposable income. This will give you a chance to get your loan application approved. Include additional income, if any You should disclose all the sources of income you have. Ensure you have proof of income to support. Additional income will raise your total income and reduce FOIR. Why is FOIR so important for a personal loan? A personal loan is an unsecured loan. There is no collateral associated with it. When you apply, the lender needs to ensure you have a sufficient amount to pay off the debt. Calculating FOIR will ensure the lender that you have enough surplus to pay off the EMI. This is a sign that your application will be approved. A FOIR is important for both the lender and the borrower. It gives a lender an idea of the credit health of the borrower. On the contrary, it offers the borrower an idea of his monthly expenses. A high FOIR can increase the interest rate, while a low FOIR might attract a lower interest rate. The lender might assess your assets and prefer a secured loan against a personal loan. This will ensure them of the repayment. Reason to consider a personal loan You can use a personal loan for multiple purposes. The application for a personal loan is simple. It is unsecured. The eligibility criteria are straightforward. The documentation needs are quite straightforward. You can apply a personal loan for online. You can visit the lender’s website. Fill in the form and apply. There is no need for any collateral. The processing fees and interest rates are better. [B-02] Conclusion Multiple factors impact a personal loan. Analysing each factor ensures the lender of your credibility. FOIR is one of them. It allows a lender to check the surplus income you have. This will define your actual debt against your total income. A low FOIR is a sign of better credit management. This will increase the chances of approval of your loan. But if you have a high FOIR, your application might be rejected. You must follow the right financial management to reduce your FOIR. You might have some fixed obligations, but you can manage FOIR by managing your credit utilisation ratio. You can visit Piramal Finance to apply for a personal loan and get information about FOIR. The process of application is quite simple and online. Also, you can easily meet all your financial needs with the amount.
08-11-2023
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Personal Loan

How to Get a Personal Loan on Aadhar Card & PAN Card?

Personal loans require least of the documentation, but there are documents which can solely get your loan passed. Yes, Aadhar Card & PAN Card are 2 of the documents on which you can get a personal loan hassle-free. The only condition that applies here for these documents to be eligible for the personal loan is if your documents i.e. Aadhar Card and PAN Card, are linked to your bank account or not. You can get an Aadhar Card loan or PAN card loan if these are directly linked to your bank account. Banks or financial institutions giving you loans first check your eligibility criteria through your bank regarding your financial condition and repayment capability. We discuss in this blog the process of getting a personal loan on an Aadhar Card only or PAN Card. [B-01] How to get a loan on Aadhar Card only? The Indian government introduced the Aadhaar card as an all-encompassing identity system in April 2010. It enables every Indian national to apply for and get their own unique 12-digit alphanumerical code. It serves as a personal identity and addresses evidence recognised by all Indian institutions. Each user’s information is stored by Aadhaar, confirming users’ identities and helping prevent fraud. The government of India has been requesting more and more that institutions complete KYC procedures before engaging in transactions to save them from further fraud. The Aadhaar card also fulfils the need for completing the KYC procedures. Whether in person or online KYC, for the proof of every citizen’s identity, address and citizenship. Having an Aadhar Card improves your chances of getting approved for a personal loan on an Aadhar card only, immediately. Process of getting a personal loan on Aadhar Card only: If your Aadhaar card is linked to your bank account, all you need to do to apply for a personal loan is present it. It only requires that you include your Aadhaar number in the web application. You don’t need to upload extra papers if your PAN and bank account are connected to your Aadhaar card. All you need to do is allow the bank to do background checks using your Aadhaar card, along with verifiable verification of your address and income. Suppose you are verified and are eligible by the lender. You will receive the money from your loan in your bank account in the next couple of days or even sooner. Note: Please be aware that an Aadhaar card cannot be used as proof of address for banking statements like deposits or loans as a result of a recent RBI circular. So, when qualifying for a personal loan, you will still need to present valid address proof, such as electricity bills, a rental agreement, a passport, a driver’s licence, etc. How to get a loan on a PAN card? Every Indian is also given a 10-digit alphanumeric number called a PAN or Permanent Account Number. It serves as an identification number which is incredibly beneficial and necessary when engaging in any financial or banking transaction and submitting your tax returns. To approve any instant personal loan and even to conduct most other transactions above certain thresholds. The majority of banks and & other sources need your PAN number. There are some difficulties when both of these documents are not available. And carrying out even basic transactions will become more difficult if you don’t have a PAN or an Aadhaar card. You should sign up for the government’s simple and widely accessible Aadhaar registration programme. Process of getting a personal loan on a PAN Card It will be simple for you to apply for and get authorised for a personal loan if you have a bank account connected to your Aadhaar number and a PAN card. Meanwhile, applying for a personal loan online may be time-consuming if you still need an Aadhaar card connected to your PAN/bank account because you’ll need to upload several papers. The lender’s verification process length will add to the required time. The convenience of applying for a personal loan online allows you to do it from the convenience of your home or workplace, where you have more space and comfort to conduct your analysis or research. It is highly advised to utilise the personal loan eligibility calculator to know the loan amount you are qualified for by putting your earnings and monthly responsibilities and then adjusting the duration and borrowing costs. Similarly, you may use a personal loan EMI calculator to estimate the EMI you could pay by changing the interest rate and loan term. Using this personal loan calculator, you may experiment with different combinations to get the best and most affordable choice. Why should you take a personal loan? A personal loan is quite beneficial due to some unique features, a few of which are mentioned below: You are not required to pledge your assets as collateral because it is an unsecured loan. Once authorised, a personal loan is immediately sent into your bank account, where you may prudently use the money as needed. Thanks to its flexible terms and repayment alternatives, you may choose the personal loan that best fits your repayment plan. Personal loans are available with affordable EMI payment plans and reasonable interest rates. Final Words We can grasp why personal loans have been increasingly popular and in demand in recent years as we consider their many advantages. On their end, banks and other financial institutions have streamlined and accelerated the application. And documentation procedures for personal loans. Visit Piramal Finance (www.piramalfinance.com), which is an Indian financial services company that is making its foray into retail lending, to learn more about personal loans, business loans, housing loans, and other consumer-focused finance products. [B-02] FAQs Can I borrow money with my PAN card? Generally, you may apply for an instant personal loan with little to no paperwork, but a PAN card is a crucial piece of identification. This document provides the lender with information about your financial condition and ability to repay. For whom are personal loans available? You must be an Indian citizen with a current address. You must be between the ages of 21 and 67 and work for a private, public limited business or a multinational corporation. A minimal level CIBIL score of 750 is required.
08-11-2023
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Personal Loan

Emergency Loans: 6 Easy Ways to Get A Quick Loan

The worst thing that can happen is feeling helpless when you need help. An emergency can happen at any time, and having the help of friends and family can make it easier to handle. But sometimes you need money to help you deal with such situations. Everyone has different needs and wants, and individuals can only support you to a limited level. In these situations, an instant personal loan can be your best friend. Loans for emergencies can help you get through a bad financial situation. They give you money when you need it most. When unexpected expenses arise, it’s better to use an online emergency lending service. The problem is that most people don’t know how to get instant personal loans online. Here are some tips that help you secure an instant personal loan for an emergency. Check out these: [B-01] 6 Tips to Get an Instant Personal Loan Online During Emergency Know Your Actual Need A good thing about an instant personal loan is that your lender won’t ask how you plan to spend the money. The person who gets a personal loan uses the money for a medical emergency or wants to consolidate debt or pay off credit card bills. Use online instant personal loan calculators to determine your actual needs. So you don’t have to waste time deciding how much to borrow. Apply Online You can save time and effort by online applying for an instant personal loan. You can get an instant personal loan from different lensings apps. These apps help in the application process. You apply without any trouble. It will let you know where you are in the process of being checked and approved. Also, many apps for instant personal loans help you keep track of your loan by sending you timely reminders and alerts for EMI. Choose Wisely Don’t go to too many banks and credit unions for an instant personal loan. If you send out too many applications, you might look suspicious and get turned down. Do your research and choose the right lender. You can compare the pros and cons of instant personal loans from different lenders on many websites. If you already have a relationship with a lender, you can get this loan online to get better rates. Anticipate Documentation Needs Try to guess what other paperwork your lender will need from you. For example, your lender may want to see your last three bank statements and pay stubs as proof of income. You need to think about these needs ahead of time and get ready for them. This step will save you time that you might otherwise waste on unwanted follow-ups. Save digital copies of important documents before applying for an instant personal loan, even if you don’t need the money immediately. Avoid Mistakes An instant personal loan application for an emergency is easy. But you must pay close attention to every detail. Stay on task, and don’t make any mistakes when filling out the application form. Read the Frequently Asked Questions (FAQs) about instant personal loans to learn about the most common mistakes that can slow down the approval process. Keep track of your credit score and keep it up to date. If a score is wrong or from the past, it may require more documentation and verification steps, which will delay the approval process. Get Pre-Approved Deals. If you need an instant personal loan quickly, look for pre-approved offers. This will speed up the verification process and ensure you get the loan in a day. Check to see if the bank you already work with can give you a personal loan for an already-approved emergency. These offers cut the processing time by a lot. You must wait until the application is approved and the money is put in your account. Where an instant Personal Loan helps you? Medical emergencies An instant personal loan can save your life when you need money for a medical emergency. If you or someone in your family has a medical emergency that needs surgery or hospitalisation right away, you can get an instant personal loan to pay for the bills or buy medicine. Debt consolidation Sometimes you have to pay back a loan or pay off a bill in just 24 or 48 hours. This can bring you a lot of stress and trouble. So, if you are having trouble with your finances because you owe a lot of money and have to pay it back at different times, you can get an instant personal loan to help. It can also help you pay off what you owe on your credit card. Wedding expenses We all know that Indians spend a lot of money on weddings. But their love of big weddings can cost them a lot of money if the budget gets out of hand. In these situations, instant personal loans can help them pay their bills and save the day. Home Renovation Cracked ceilings, walls, downpipes, paint, etc., are all things that need to be fixed or fixed right away in your home. So, if any of these things are wrong with your house, an instant personal loan might be the best way to fix it. Higher education costs If either you or your child is going to college, you may need more money to pay for travel, food, and other living costs. If you don’t have enough money, you can get an instant personal loan to pay for college. Points to be Note Down Are the above ways the only ways to get a personal loan in an emergency? Nope. Here are some additional rapid approval tips. Behind-on-pay To get an instant personal loan for an emergency, you need to pay off your missed EMIs. This will increase your credit score and make it easier to get a loan. Earnings Financial institutions look at your monthly income. Based on this, they decide whether to give you a loan and how much interest to charge you. Show the lender how much you earn. Tell your lender if you get money from rent, investments, or other sources. Maintain Account Balance and credit score It’s not smart to spend all your money to deal with a financial emergency. Check your bank balance before you apply for an instant personal loan. Your application could be turned down if your account statement shows a lot of payments out and not much money coming in each month. Conversely, You need a good credit score for a seamless process and quick approval. Alternative Options of Instant Personal Loans During Emergency Cash Advances on your Credit Card Popular Types of Emergency Loans in India Payday Loans Loans against your Insurance Policies Home Equity Loans Bank Overdraft Facility Bridge Loans Short-term loans against your bank FDs [B-02] Final Words Life is full of surprises. It’s important to have money saved up. There are people in our lives who support us no matter what. If we ever get into trouble, we can be sure that they will be there to help us. But you can’t rely on them when you need help because you can’t expect them to always be there for you. In these situations, you should get a short-term instant personal loan. If you want more information about instant personal loans, visit Piramal Finance.
08-11-2023
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Personal Loan

Digital Personal Loan: Get Instant Loan in 2 Clicks at Home

An urgent need for money might arise at any moment. You might need money for a medical emergency or a credit card bill. There are many reasons why you need a loan right away. You can quickly get the money you need with a digital personal loan. Mobile apps and digital platforms offer instant personal loans online. These instant loans are the best way to pay for unplanned expenses. Personal loans are an easy way to borrow small or large funds. Evaluate interest rates and term lengths before you take an online personal loan. [B-01] Step-by-step Process To Get A Digital Personal Loan Step 1: Open the mobile loan app or the online lending platform’s loan section. Fill out the application. Step 2: Read through the information on the form. Before sending the form, you can look at the saved information and change it if necessary. Step 3: After reviewing the information, click “Submit”. The loan will be credited to your bank account instantly or, at the most, within twenty minutes. In most instances, the borrower must have already registered on the accessible online platform. Since there is KYC information of the borrower, the digital personal loan may be approved immediately. Features Of Immediate Digital Personal Loan Getting a digital personal loan is easier than buying a house or car. The following are its features: This two-click digital personal loan might save you time on loan approval. This process for getting a loan doesn’t need any paperwork or documents. No need to wait for the lender’s verification of the loan Benefits Of Getting a Personal Loan Online And Without Paperwork You can take care of urgent needs With the help of an immediate personal loan, it’s easier to pay for unexpected costs. This loan will help ensure your savings don’t change in any way. Debt consolidation Credit card bills have much higher interest rates. When it comes to personal loans, the interest rates are more reasonable. You may combine high-interest credit and repay easily. With these quick personal loans, you won’t have to worry about disciplinary charges. Get ready for a trip or an event Weddings or vacations don’t come with a fixed expenditure. So it is always handy to keep the amount ready. You can face any situation easily with an instant personal loan. This digital personal loan won’t disrupt your trip or event. How To Streamline The Personal Loan Approval Process? Keep your credit score high If your credit score is 750 or higher, you have good credit. As a result, the lender may be willing to give you a lower interest rate or a larger loan amount. Even if loans don’t require any paperwork or verification, it’s still a good idea to have a good credit score in case something goes wrong. Keep enough money in your bank account A successful financial portfolio needs a strong account balance and a track record. Lenders will have more faith that the borrower can meet their financial obligations on time. If you have a good account history, it may be easier to get a loan, even if the lender doesn’t check it out. Though there is no lender verification for an instant online personal loan, a decent account history helps in hassle-free loan approval. Find out all the sources of your money In addition to your regular pay, you must show proof of any other sources of income you have. Lenders trust an applicant with a higher income, making it more likely that they will give the applicant a loan. Make an account on the online lending platform When financing online, it is important to choose the best platform. If you join the group and become a member, you can get loans from several places. Pre-registration allows you quick access to loans. Compare offers to find the best personal loan Comparing the terms of personal loan offers can help you choose the lowest interest rate and the best payment terms for your situation. You’ll only have to answer a few questions for a comparison tool to find the best deals for you. This comparison won’t cost anything, won’t put you at risk, and won’t change your credit score. Factors Influencing Personal Loans Standard APR The flexibility of loan amounts and the terms No fees or penalties for taking money out early Simplified application process Customer service Fund transfer Autopay savings Limits on the amounts that creditors can lend Sizes of the loans After looking at the above features, choose the best digital personal loan platform for your finances, instant funding, lower interest rates, and flexible conditions. Since banks don’t need security for personal loans, they don’t have to check the information on the loan application. There is also no need to make sure the assets are legal for a digital personal loan. RBI’s Rules for Digital Lending Applications Service outsourcing contracts between a bank or NBFC and a loan app must follow the rules for service outsourcing. All loan payments must go through the borrower’s registered entities and bank accounts. The lending service provider can keep no more pass-through or pool accounts. During credit intermediation, it is up to the registered entities to pay the fees owed to lending service providers. The person who borrowed the money does not have to pay these bills. This is because the lending service provider works closely with the registered entities. [B-02] The Bottom Line In this day and age, when almost all services are accessible online, getting loans online is just as effortless. Before you apply for a personal loan, take the time to learn as much as you can about the terms and conditions. For more information on instant digital personal loans, check Piramal Finance.
08-11-2023
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