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Personal Loan

Features Of Personal Loans Offered To Salaried Employees

NBFCs and Banks usually prefer to lend personal loans to salaried employees. This is because they have a fixed source of income. So they are less likely to falter on loan repayments. Government-salaried employees are preferred even more because of their higher job security. Government employees are followed by private sector employees working at MNCs and top corporations. In addition, many lenders even offer preferential interest rates to those working with PSUs/government and MNCs/top corporations. Now, if you are a salaried employee, you must be curious to know more about personal loans. Thus, here’s an article discussing some of the features of Personal Loans for salaried employees. [B-01] 7 Features of Loan offered to Salaried Employees While offering loans to salaried employees, lenders consider several other factors. These are monthly income, age, job profile, credit score, employer’s profile, etc. Some lenders even provide pre-approved instant personal loans, with the provision of quick loan disbursal to chosen candidates. However, before opting for a personal loan, make sure to know some of the best features of personal loans offered to salaried employees by various banks and NBFCs – No security/collateral required Personal loans are mainly unsecured loans. This means that while opting for a personal loan, you need to provide any security/collateral to the lender in the form of assets such as your car or house. The loan is approved per your creditworthiness. This in turn depends on your monthly income, credit score, employer reputation, repayment history, etc. Thus, your assets remain safe even if you fail to repay the loan within the specified period. However, personal loans are unsecured loans and thus riskier for lenders. Therefore the interest rates on personal loans are generally higher to mitigate the risk. Flexibility of Use A personal loan is highly flexible. This means that you can use a personal loan to meet your different financial requirements. You can use a home loan or a car loan for specific purposes only. But you can use a personal loan for almost any financial necessity without limitations. You can use a personal loan to meet emergency medical expenses, for a house renovation, for debt consolidation, for wedding purposes, etc. Thus, personal loans are an easy way to get anyone out of an immediate cash crunch. Quick disbursal Personal loans are known for their quick disbursal feature. The time for disbursal generally varies from one bank/lender to another. But personal loans are usually disbursed within 24 hours. In some rare cases, the disbursal period might be 72 hours. A loan is disbursed as soon as your loan application is approved. Turnaround times can even be as small as a few minutes if you can avail of a pre-approved loan offer. A home loan is usually disbursed within 3-4 weeks. But a personal loan barely requires a day. As a result, a personal loan is the best financial instrument to meet your immediate financial obligations. Involves minimal paperwork You can quickly disburse personal loans. One of the reasons for this is that the personal loan approval process involves minimal paperwork. You can apply for a personal loan offline or online with minimal documentation. Key documents that the lender asks the applicant to provide involve merely an address proof, an identity proof, and an income proof. Many banks and money-lending organisations offer doorstep documentation services. Here a representative will meet you at a convenient, predetermined time and place to help you with the documentation process. Also, while applying for a personal loan, if you have any queries or face any issues, you can easily call the customer care centre of the lender. A representative will respond to your questions and assist you in completing the loan application procedure. Helps build a credit score Another important feature of personal loans is that it helps you to build or improve your credit score. If you are new to credit or have a poor credit score, then availing of affordable personal loans and repaying them within the agreed-upon period can be a great way to build your credit score. Your credit score will increase as you keep paying your EMIs at the pre-decided interest rate and on time. However, it would be best if you avail of a loan amount well within your repayment ability. This is because it can be detrimental to your credit score if you fail to make the EMI payments on time. Attractive interest rates Another significant feature of a personal loan is that these loans usually come with affordable and attractive interest rates. This makes personal loans widely affordable loan options. Moreover, you can qualify for even better interest rates if you have a good credit history. A loan option having a high-interest rate defeats the purpose of borrowing the money. This is because such a loan worsens your financial condition. Tax benefits Personal loans usually do not offer tax benefits. However, exceptions are there. If you use your loan amount for home renovation, construction, or making a downpayment for your house, you can claim tax deductions of up to Rs. 2 lakhs as per Section 24 B of the Income Tax Act, 1961. However, this tax benefit is subject to specific terms and conditions; thus, only some are eligible for it. [B-02] Conclusion One can thus easily conclude that both salaried and non-salaried people can opt for personal loans. But the loan application of a salaried individual usually gets an upper edge of approval. Today, several banks and NBFCs are more than willing to offer people personal loans for salaried employees. Piramal Finance is one such well-known registered finance company that offers quick, hassle-free, and easy personal loans for salaried employees with zero prepayment and foreclosure charges. They guarantee quick sanction and instant loan disbursal, pocket-friendly monthly EMIs, flexible repayment tenure starting from 12 months to 60 months, and minimum documentation. They offer personal loans with interest rates starting from just 12.99% per annum. Their team of expert financial advisors would also help you through the entire loan application process and would be more than happy to respond to your queries. For further details, visit their official website now!

08-11-2023

Personal Loan

5 Reasons Why Personal Loans are Ideal for Self-Employed Individuals

Personal loans are offered to both working and self-employed borrowers. Banks and other financial institutions provide unsecured personal loans that a person might get for a wide range of private purposes. If a person is employed or self-employed and meets all eligibility requirements—which differ depending on which category they fall under—banks will provide the personal loan. The client may obtain a personal loan with little paperwork and a simple application procedure for home improvement, travel, medical emergency, wedding preparation, etc. Depending on your line of work, you could also be required to provide additional evidence to prove that you have a consistent source of income or that your business is active (balance sheet, etc.). Personal Loan for Self Employed borrowers may have to meet stricter needs than salaried lenders when applying for personal loans. [B-01] Personal Loan for Self Employed If you are an entrepreneur, small business owner, practising doctor, lawyer, or chartered accountant, you may apply for a personal loan under the self-employed category. You can often need money as a freelancer to expand your business, make purchases, travel for work, or take holidays. To satisfy your immediate financial needs at this time, you may get personal loans from a variety of lenders. Although banks prefer salaried employees because of their regular monthly income, it is not too difficult for self-employed individuals to get this loan if they can show that they have the means to repay it by presenting proof of their income and the company’s growth. Let’s examine some of the features, perks, and other needs for receiving this loan as a self-employed individual in more detail. Reasons Why Personal Loans are Ideal for Self-Employed Individuals Smooth application Process Its best feature is the convenience of online personal loan requests for contract workers. Owners of small and medium-sized businesses are drawn to personal loans due to their simplicity. The Personal Loan for Self Employed application process is quick and easy, from filling out the online Form on your lender’s website to receiving the funds in your bank account. This makes it quick and easy to get as well. Increased Loan Amount If you’re a freelancer, the instability and unpredictability of your income are the first things that come to mind. You don’t have the same year-round financial safety that comes with a monthly salary as your friends who have jobs. So some months will be ok, some months will be great, and others will be a real challenge. In cases like these, a self-employed emergency personal loan may assist you in covering unforeseen bills. Depends upon your lender. Borrowing limits range from 50,000 to 40 lakhs. Depending on the kind of business and the industry it serves, the same might be said about business owners. Very little documentation Even for self-employed people, the days of bringing a stack of paperwork to the bank are long gone. You no longer need to stand in line for a loan officer to check your paperwork. All you need are the following: Papers that prove your identity (PAN or Aadhaar). Your address (Voter ID, Passport, or Driving license). Your income (Salary Slip). Your lender will determine if you qualify for a personal loan for self-employed when you submit the scanned copies of these papers. Variable Repayment Period It would help if you always chose a payback term that works for you when applying for a personal loan, no of whether you are a paid or self-employed borrower. Choose by analysing your debt-to-income ratio. The normal term of a personal loan for self-employed borrowers is between 12 and 60 months. Quick Loan Payment As soon as your lender confirms your request for a personal loan for self-employed borrowers, the funds will be sent into your bank account. Depending on your lender, you can get your money in as little as 10 minutes or as much as 2 hours. In any case, if your papers are in order, you may often get the loan amount the same day you apply. Personal Loan Eligibility for Self Employed Personal Loan for Self Employed Banks have different minimum ages. Some lenders provide personal loans for salary workers with lower min and max ages. Tax reports, profit and loss statements, six-month bank statements, and IT records are required to prove your income. Proof of a job, such as a registered firm or company. Distinct basic wage requirements for every bank. Your business should have been around for a specific amount of time. The criteria for eligibility vary amongst lenders. While some want a minimum of two years, others could ask for a year or six months. How Can You Get A Personal Loan If You’re Self-employed? A self-employed individual may follow the following procedures to get a personal loan. Verify your credit score to see whether it is good. You’re more likely to get approved for a personal loan if you have excellent credit. Assemble the necessary paperwork and data. A bank statement, your most recent Form C, a 1099-misc form, our Form SE, and statements of profit and loss are required of you. A canvas for lenders of personal loans. So that you won’t be pressured for time to return your loan, find out which ones provide the lowest interest rates and the longest payback periods. Apply in person or online. You may either visit the loan company’s office or apply online, depending on which one you choose. During the application process, you may also need to phone them. Await their endorsement. You must be patient, as the firm may need some time to check your paperwork. Wait for your account to be credited with the money. It may take a day or as little as a few seconds. If you obtain approval over the weekend, you may have to wait until the next business day to retrieve your money. [B-02] Conclusion The five points outlined above show the benefits of applying for a Personal Loan for Self Employed persons. To pick the ideal lender for you in terms of the loan amount offered and the interest rate charged, be sure to do enough research before applying. We advise you to consider your demands and familiarise yourself with the rules and legislation before applying for a loan. For more blogs on Personal Loan for Self Employed, check out Piramal Finance and explore their products and services.

08-11-2023

Personal Loan

Taking Out A Personal Loan This Christmas Will Make Gift-Giving Easier

Christmas is just around the corner! The season of festivities and gifting is fast approaching. But are you facing a year-end financial crunch? You’re not alone if the thought of holiday spending makes you feel more anxious than joyful. Why ruin the holiday spirit when a personal loan is so simple to obtain for all your gift-giving requirements? Certainly, a personal loan can help you with your initial financial stress. However, it can also enable you to purchase the most anticipated gifts without burning a hole in your wallet. If you’re planning on going on a gift-giving binge for Christmas, consider getting a personal loan. [B-01] What exactly are holiday loans? When researching your holiday options, you may come across lenders offering “Christmas loans.” In reality, they’re offering a personal loan to those who need a little extra cash during the Christmas or other winter holiday season. A holiday loan or Christmas loan may be secured or unsecured, much like other personal loans. Your credit score and income are just two of the many variables that affect your terms and eligibility and differ depending on the lender. You must have good credit to be eligible for the most enticing terms and the lowest interest rates. What are the benefits of getting a loan for Christmas? Access to Instant Funds Eligible candidates may be offered personal loans up to Rs. 25 lakh at reasonable interest rates with flexible 12- to 60-month payback terms. As a result, you may select an amount for a personal loan for Christmas that meets your financial requirements. To prevent rejection, you should make sure that your current EMIs include credit card debt. You should not be spending more than 50–60% of your monthly salary. This method of budgeting is critical because it accurately assesses your ability to repay the loan and allows for quick loan approval. How to Responsibly Avoid Lending More Than You Should Utilizing Christmas loans is a cost-effective approach to satisfying your urgent financial wants. Personal loans also do not require you to present any collateral to borrow money. This also ensures that you can pay off your loan in 12 to 60 months by keeping your monthly instalment amounts well within your means of payment. Take Advantage of the Finest Offers, Coupons, and Promos December is the time of year when a variety of digital sites and offline retail establishments offer amazing discounts and bargains. You may shop till you drop without having to pay full price for the same things. Therefore, to complete your Christmas shopping at a lower cost, it can be a wise decision to take out a personal loan. If you’re worried about monthly payments, you can use our personal loan EMI calculator to find out exactly how much you have to pay back. Downsides of personal loans for Christmas Most types of credit carry risks for both the lender and the borrower. Here are a few drawbacks to consider before applying. Fees: A prepayment penalty or an origination fee may be assessed by some lenders. These extra costs might pile up. Affects credit ratings: Defaulting on a loan or making late payments can hurt your credit ratings. Pay close attention to the expected payment amount to make sure you can afford the payments. Your financial situation could get worse: If you can’t pay back your Christmas loan because of high interest rates or short repayment terms, you could make things worse. Always make sure to check the costs, rate of interest ranges, loan balances, monthly bills, and borrower criteria for various lenders while searching for a Christmas loan or holiday loan. You can uncover the best loan alternatives for you by comparing loan providers and loan types. What should you take care of when looking for a personal loan on Christmas? Here are a few things to think about if you continue to believe that a Christmas loan is your best choice. Prequalification: You can prequalify with some lenders by obtaining a soft credit check, which will not affect your credit scores. By submitting any prequalification applications. You can reduce the number of lenders on your list and compare offers. Instalments and repayment terms: Christmas loans are instalment loans with predetermined repayment terms and monthly payments. This implies that they will be required to make monthly payments over a set period. Make sure you can afford the payments and factor them into your budget. Rates of interest: Depending on the terms of the loan and the state of your credit, personal loans often offer lower interest rates than credit card interest rates. Look closely at the terms and numbers to see if a personal loan will save you more money than a credit card. If accepted, the cash is available immediately: When you choose an online lender. The application and funding processes are frequently quick and easy. You may even receive your loan the same business day if you are accepted, giving you extra time to get ready for the holidays. Final Words The holiday season is the perfect time to unwind and celebrate. However, this pervasive perspective on the holiday suggests excessive spending on gifts, lights, celebrations, and other things. It could potentially cost a lot of money. Lack of financial preparation before this month of festivities may result in many sleepless nights and anxiety. For effective financial planning and budgeting, visit Piramal Finance (www.piramalfinance.com). It is an Indian financial services company that is making its foray into retail lending, which includes personal loans, business loans, housing loans, and other consumer-focused finance products. [B-02] FAQs Why do you need a personal loan for Christmas? A personal loan requires no security. In light of this, choosing a personal loan for Christmas shopping and other seasonal needs may be beneficial in many ways. What are the criteria for a personal loan? Instant loans are often not subject to a credit check. You must, however, give personal details, be at least 18 years old with proof of identity, provide evidence of income (e.g., a pay slip), and have a bank account.

08-11-2023

Personal Loan

Which App Gives Personal Loan Without A Salary Slip?

What are your options when you have a financial emergency and need money immediately? Your best course of action is to apply for a personal loan. Personal loans are virtually always available from banks and other financial organizations, although the application procedure might be lengthy. The documentation process could be difficult. Additionally, you need a spotless credit history. Due to its inherent benefits, such as the finest apps in India for personal loans without a salary slip, it should be an appropriate substitute in these instances, such as: Swift approvals and payments Flexible qualifying requirements and high levels of flexibility No need for collateral Practical documentation Convenient features [B-01] Apps that provide personal loans without requiring pay slips A personal loan is like emergency money that someone can use when they don’t have enough money. There are no limits on how these loans can be used, so the money can be used for anything, like weddings, trips, or medical bills. It’s like the most comfortable financial cushion for people who want to borrow money. Personal loans are easier to get and get paid off now that technology has improved. Not only do banking institutions and non-bank financial companies (NBFCs) offer loans these days, but so do several mobile apps. Therefore, the next time you’re short on cash, consider using one of the instant personal loan application options available on your smartphone app store. In the rest of this article, we’ll give you a long list of the best personal loan applications in India, as well as important facts and features you need to know before applying for any of them. PaySense Loan PaySense works with well-known banks and other financial institutions to offer personal loans online right away. You can use these personal loans, which range from Rs 5,000 to Rs 5 lakh, for almost any emergency. But the most interesting thing about it is that it lets people get personal loans even if they have no credit history. The application procedure, supporting materials, confirmation, and disbursement are all completed quickly. The rates of interest range from 16% to 36% per year. There is a maximum of 60 months to pay back the loan. PaySense lets people who work for a company or themselves get personal loans. PaySense and LazyPay are now one company. Kissht Kissht is an app you can get from the Google Play Store and the Apple App Store. It’s a good choice for people who don’t get paid, like students, freelancers, and small business owners. Kissht has a 5-minute credit line based on QR codes. Kissht only needs your Aadhar card to figure out if you’re eligible for a loan, approve it, and put the money in your bank account. Interest rates range from 14% to 30% per year on loans of up to Rs 2 lakh. 100% digital makes it appealing. MoneyTapLoan First, get MoneyTap from either the Google Play Store or the Apple App Store. Next, enter your age, city, PAN, and income to find out if you are eligible for a MoneyTap Credit Line. After KYC is done, you can start using the money. MoneyTap provides personal loans of up to Rs 5 lakh at a monthly interest rate of 1.08–2.3%. Payback terms for borrowers are 36 months. The best thing about MoneyTap is that you can get approved in 4 to 5 minutes. It is India’s best app for an instant personal loan without salary slip because its API and design are safe. 4. Nira Nira is one of the best fast loan applications in India for a personal loan without salary slips because it gives loans right away and is easy to sign up for. Nira looks at what’s on the internet to figure out your credit score. Personal loans from Nira range from 3,000 to 5 lakhs at a rate of 1.5–2.5% per month. If you need to, this software can extend your credit period. The app lets you set up automatic withdrawals and deposits. mPokket The mPokket app is a fast, short-term personal loan service for students and people with steady jobs. For loans between Rs 500 and Rs 30,000, interest rates start at 3.5% per month. Applicants who get paid have to show pay stubs, but students can apply online with an ID. Loans can be approved online and paid out within 24 hours. People who want to borrow money don’t need a bank account because they can use digital wallets like Paytm. Dhani Card Dhani Card is a great app for students, people with jobs, and people who work for themselves and need a quick personal loan. Loans of up to Rs 5 lakhs are available at 1-3.17% per month, depending on who is eligible, how much they want to borrow, and how long they want to pay it back. The Dhani Card lets you borrow up to Rs 5 lakh with no interest. For a small monthly fee, you can see any doctor you want. This loan has three payments that don’t have any interest. Home Credit Home Credit is one of the best apps for personal loans without salary slips because it lets people borrow up to Rs 2 lakh with just a PAN card and another form of ID/address verification. Loan amounts are based on credit scores. This software lets people with bad credit get personal loans. The interest rate on this 26-month loan is between 2.4% and 3.3% per month. It’s one of the easiest ways for people aged 19 to 65 to get a personal loan without salary slips online. CASHe CASHe is easy to work with. Before setting credit limits, the user must upload documents and go through a verification process. This software could let many loans go through at once. Personal loans from CASHe start at 1.75% and can go up to 5 lakhs. This app lets you make a deposit right away. Auto-debit from a bank account can be set up to make payments quickly and on time. With its Buy Now, Pay Later options, CASHe works with Amazon, Big Basket, Flipkart, and other companies. Final words Personal loans have grown in popularity because they may be obtained quickly and with little paperwork. Additionally, this option enables customers to use the loan in any way they see fit to address their immediate financial needs. Also, these quick loan applications are popular right away because they don’t require collateral and have flexible terms for paying back the loan. Piramal Finance (www.piramalfinance.com), is an Indian financial services company that is making its foray into retail lending, which includes personal loans, business loans, housing loans, and other consumer-focused finance products. [B-02] FAQs What happens if the insurance runs out or is used during the time it takes to pay back the loan? If the insurance runs out or a claim is made during the time the debt is being paid back, the interest amount must be paid until the maturity date. What is the procedure for getting an instant loan? If you are approved, the lender will usually respond within minutes and put funds into your bank account. However, even if you are authorized, it may take a business day or two, or even longer, to get the funds. What are the criteria for a personal loan? Instant loans are often not subject to a credit check. You must, however, give personal details, be at least 18 years old with proof Of identity, provide evidence of income (e.g., a pay slip), and have a bank account.

08-11-2023

Personal Loan

How Long It Will Take To Process Personal Loan In India

A multipurpose loan like a Personal Loan is very useful when you have legitimate financial needs, such as paying for education, healthcare, a wedding, funding a vacation, consolidating debt, etc. In comparison to a home loan or any other type of loan, the application process for a personal loan is much simpler because there is no need for collateral and there is little paperwork to be submitted. Personal loans are also called instant personal loans in India because they are instantly processed and received by the borrower. Whereas the period can vary depending from person to person. Keeping in mind the factors affecting the amount and duration of it getting approved. We have discussed further, the time it takes and the factors affecting personal loans in India. [B-01] What is a personal loan? A personal loan, which is sometimes referred to as an instant loan or an instant personal loan, is a loan you can get from a financial platform or financial institution, such as a bank, at a set rate of interest to cover personal financial demands like a wedding, education, or any other emergency. Because borrowers are not required to offer any security or collateral in exchange for the money borrowed, personal loans are frequently referred to as unsecured loans. The borrower consents to pay a fixed rate of interest over a set period through EMIs. Steps involved in the application for a personal loan Step 1: Establish what you need. Decide why you require a personal loan and how much you require. Step 2 is to confirm loan eligibility. Step 3: Determine the monthly payments. Step 4: Go up to the bank. Step 5. Submit your documents. How long does it take to process a personal loan in India? Lender factors may affect whether a personal loan is approved. It’s now incredibly simple to apply for a loan thanks to digitization and the passing of the years. You can learn your eligibility in a matter of minutes, and the entire application procedure can be finished in under an hour. It may take 1 to 7 days after your application and supporting documents are received for your loan to be approved, and another few days for the funds to be disbursed. This period could change based on the type of lender you choose. Banks may take a few days to a few weeks to process your loan, whereas online direct lenders can do so much faster. Factors affecting the time of the personal loan in India Your request is evaluated based on the evidence of your income, age, credit score, and other factors; if your credit score is 700 or higher, you may be eligible for a loan sooner. When lenders request more details, the loan approval process occasionally takes longer. Verification takes a lot of time as well. Due to the absence of any form of collateral, a thorough verification procedure is necessary to determine whether the applicant is credit-worthy or not. As part of the documentation, you must submit information about your income, bank accounts, employment history, and address. If any of these documents don’t meet the requirements for approval, your loan may be delayed. Following are the few factors that affect the time and amount of personal loans in India: Base Credit score: Candidates with scores of 750 or above are thought to be more financially responsible and hence less likely to fail. As a result, banks and NBFCs favour providing personal loans to these individuals. For candidates for personal loans with better credit ratings, many lenders also charge reduced interest rates. However, some lenders also provide personal loans at higher interest rates to applicants with poorer credit ratings. As a result, candidates should regularly check their credit ratings and take the required actions to keep them as near 900 as feasible. Income: When you have a high income, it indicates that you are most likely to repay in the eyes of the bank/ financial institution. When it comes to salaried professionals the minimum salary requirement is between 15,000 to 25000 by lenders. When you are self-employed your annual income should be more than 2 lakh per annum to acquire a loan. Age: A personal loan is typically available to borrowers between the ages of 18 and 65 through most banks and NBFCs. According to retirees’ pension income, some public sector banks also provide personal loans to them. Employer Reputation: Creditors give personal loans to salaried applicants at cheaper interest rates because of their greater income stability as compared in comparison with self-employed candidates. The other factor that is commonly taken into consideration is the Repayment capacity of the borrower. Applicants for personal loans are often approved by banks and NBFCs if their EMI/NMI ratio is between 50% and 55%, however, this might vary among lenders Final words Taking on a personal loan can be very helpful in times of emergency. Though it is pretty easy and simple to apply for a personal loan in India, having all the information in hand before applying for help. Make sure you visit Piramal Finance to know more and get help with personal loans, business loans, housing loans, and other financial products for you with a very simple process. Visit our website today for a simple and seamless instant personal loan process. [B-02] FAQs How does the personal loan procedure work? All you need to apply for a personal loan in India is proof of identification, proof of address, and proof of income. You can select the duration based on your needs and the flexible payment terms. Is getting a personal loan a wise idea? If you have a reliable source of income and a high credit score, applying for a personal loan in India is a fantastic choice because you will be given a loan with a reasonable interest rate.

08-11-2023

Personal Loan

Benefits of applying for a personal loan this Christmas festival at Piramal Finance

Christmas is the time for celebrations with your loved ones. Money should not be the reason to deny joy to yourself, your friends, and your family. Instead, festivals are the best opportunity to get more for less. There are discounts everywhere. Yet, the purchases may be over your budget. If so, consider applying for a personal loan for Christmas at Piramal Finance. Has it been a long time since your last vacation? Is your home in need of renovation? Is the way to make this Christmas special unaffordable? Your dreams are possible. You can do what you desire this festive season. [B-01] What is a personal loan? A personal loan is a form of borrowing. It is easy to get and friendly to your needs. It is unsecured. The need for documentation is less. The processing is fast. There are various benefits to getting one. Let’s assess why you might want a personal loan for Christmas. The process is not difficult. The loans are not expensive. The system of repayment is flexible. Further, there is no need to furnish security, only documentation. Even more, you can begin your financial planning with a personal loan for Christmas. You can also build your necessary credit score. Getting a personal loan for Christmas is easy The documentation required is not excessive. So it would not take much time out of your day to get the required proof ready. All you need is your PAN Card along with proof of your address and income. You can also club your income with your spouse for the eligibility of getting larger loans. Your co-applicant needs the same documentation as well. You can get a personal loan for Christmas. Either alone or together with your spouse. It would be easy to do so either way. Personal loans are affordable There are no pre-payments. There is no foreclosure charge either. The interest rates start at an annual 12.99%. Other expenses in the process are as per norms under the law of India. Thus, applying for a personal loan for Christmas can be easy on your wallet in the long term. You can make this festival special in ways it has never been before. A personal loan does not mean getting less Personal loans don’t have to always be small amounts. Even if they can be. There is a comfortable range of finance you can access. It begins at INR 1,00,000 (Rupees One Lakh) and can go up to INR 1,000,000 (Rupees Ten Lakh). A personal loan for Christmas can ensure you can cover anything from shopping expenses to trips abroad. You do not need to disclose what the loan is for Festivals are expensive in unexpected ways. There is no need to justify. We understand that you may have many smaller expenses. Or you may have fewer larger expenses. Either way, there is freedom for you to do what you want to do. A personal loan for Christmas has no strings attached to your happiness. The process of applying is speedy As a result of the ease of this process, sanctioning of loans is quite fast. After the sanction, there is an immediate disbursal of the amount. This way, you can get a personal loan for Christmas with short notice for those last-minute expenses. You could get the amount beforehand to prepare yourself for the extra expenses. There is no hurry to pay the loan back Getting a personal loan for Christmas does not mean paying it back during the festive season. Similar to the range of amounts, there is a range for the repayment as well. It extends from twelve (12) months to sixty (60) months. The repayment process will not unnecessarily burden you. No need to set your property as collateral Personal loans do not need you to submit objects of value as security. You can rest assured that you won’t have to let go of anything you own for this money. Ensure that you can keep paying the loan back at your own pace. Unlike most other forms of debt, a personal loan for Christmas is different. You can relax without any fear hanging over your head. It would help with building your credit history These days credit is inescapable. Often, people such as you may be off guard. If you can pay the loan off in the time prescribed, it makes the process easier for your future loans. This could be the beginning of your journey with credit. Why not start with a celebration? A personal loan for Christmas is perfect to begin this journey. You should begin your financial planning today Finance seems hard. It is not though. Yet, the process of building up your financial system is long-term. You can begin with a personal loan for Christmas. With this, you will get your well-deserved celebration. It will also help you set up your future. The ease of a personal loan is unlike any other. It could be a stepping stone on your journey to understand finances. The repayment process is out of your own needs. You have the flexibility to take your time and understand what is going on. All this while building up a better understanding of the credit system. [B-02] Final thoughts A personal loan for Christmas may seem difficult. We have explained why that is far from the truth. Not only are the loans easy to get, but also not expensive. The process does not need you to go out of your way. Instead, you can feel comfortable with the process and build your credit score in the process. Your loved ones will be happy. I f you need any more help with your financial decisions, we are here only to help. We have other posts describing financial situations as well. You can seek more information on or apply for a personal loan for Christmas.

08-11-2023

Do FDs Give Compound Interest?

Fixed deposits are still popular because they are the safest investment option and provide a monthly flow of funds into your bank account. Below, we will explain why and how FDs are still a popular investment vehicle, as well as the advantages of making FD investments. [B-01] What is a fixed deposit? A fixed deposit is a straightforward investment that just needs a single deposit. You may put money in the bank’s core account for a predetermined amount of time (tenure). During this time, interest will accrue on the deposit. You will receive your money back along with interest. How can we receive interest on our fixed deposit each month? A fixed deposit is a sum of money that you put in a bank for a certain period in exchange for a predetermined interest rate. The method of interest payment is entirely up to you. There are two types of interest-receiving mechanisms. The cumulative option, in which interest is accumulated quarterly and paid upon FD or auto-renewed maturity, is one alternative. A non-cumulative option that pays interest on a monthly, quarterly, or maturity basis is another choice. Why are monthly interest-bearing fixed deposits so popular? Investors seeking steady monthly income in the form of FD interest have done well with FDs that pay interest monthly. It is popular among retirees and those who invest in it with the expectation of earning a constant pension. Even though the cumulative options have a slightly higher rate of interest, the main difference between monthly interest FDs and other FDs is that the investor may continue to get some interest on the FD corpus they have deposited every month. This gives them access to their money. With the help of an FD interest calculator, you can better understand the interest rates on both monthly interest FDs and other FDs so you can make an informed decision. Benefits of Monthly Interest and Fixed Deposits 1. Available for extended periods Many years are needed to get interest income; hence, some banks provide monthly interest FDs for terms of up to 10 years. 2. Credit scores With a monthly interest payment entering your account, you can have doubts regarding the FD’s quality. But for you to make an informed choice, these FDs have ratings from reputable credit rating companies. 3. Untimely withdrawals If you fulfil the conditions, you may be able to prematurely withdraw some of these deposits. You must remember that breaking your FD early might result in a fine. facility for overdrafts Does FD give compound interest? Yes. The interest that FD offers compounds. Simple interest and compound interest are the two formulas used to determine the interest on a fixed deposit. Depending on the deposit size and duration, banks may employ either option. What makes the two different from one another? Simple interest just refers to the interest on the principal sum. In the case of compound interest, interest is accrued on both the principle and the interest. When a fixed deposit matures, the principal and interest are often received together. Interest on FD is typically compounded. But the interest doesn’t get added to itself if the account holder chooses to get it every month or quarter and have it sent to their savings account. What exactly is an FD calculator? Using a fixed deposit calculator, an investor can get an idea of how much money they should expect to get back at the end of a certain period for a certain deposit amount at the right rate of interest. One can use an FD calculator to figure out how much interest one would get on a fixed deposit. The maturity amount is computed using the deposit amount, the FD interest rate, and the FD tenure. After the FD term, one receives the maturity amount. It is made up of all of the interest on the principle (deposit amount). The benefits of using the FD calculator Buying an FD is like making any other financial decision: you need to think about your budget and how it fits with your financial goals. The main goals of fixed deposits are assured profits and risk minimization. There is still a sizable risk if you invest inside the market (like in equity mutual funds). To a certain extent, your FD investments can assist in absorbing losses. You should be aware of how much to deposit into your FD account for this. And the Paisabazaar.com FD Calculator makes it simple to estimate this. Calculators for fixed deposits may also be used to compare the many FD plans that banks and other financial institutions have to offer. The optimal investment programme may be understood by looking at the tenure desired. Final words Keep in mind that there are different interest rates for different FD tenures when investing. It does not guarantee that you will receive the greatest interest rate if you select the longest tenure option. Using the compound interest calculation, you can look at the interest rate table, which is usually on the bank’s website, to find out which term will give you the highest interest rate. An extremely safe and profitable investment is an FD. Making your money work for you by making wise investments will pay you. Piramal Finance (www.piramalfinance.com) is an Indian financial services company that is making its foray into retail lending, which includes personal loans, business loans, housing loans, and other consumer-focused finance products. [B-02] FAQs FD interest compounds, right? The interest on a cumulative fixed deposit is accumulated either every quarter or every year, and it is accumulated until maturity. After the term, the principal amount and the interest are paid together. Each year’s interest is added to the principal amount. SBI offers compound interest on FDs, right? The FD has a ten-year contract. The appropriate interest rate is 5.4% annually as well. Additionally, the interest on the fixed deposit is compounded every three months. The FD formula may be used to determine the interest rate and maturity value for SBI FDs.

08-11-2023

Personal Loan

Things You Need To Know About Personal Loan Calculator

It is not an easy task to plan and manage your expenses. While keeping track of your daily income and expenses is easy, it takes a lot more effort to manage liabilities. A debt element requires careful planning in your finances. Each month, you need to repay a certain section of the debt. The headache of calculating your liability every month can be overwhelming. An easy way to manage your monthly expenses and liabilities is to use a personal loan calculator. Nowadays, you can find several calculators for personal loans online. To make use of one such tool, you will need to provide some basic details. Some of them are as follows: The amount of money that you want to borrow The time for which you need the loan The rate of interest that the lender will charge from you After filling in these details, the calculator will display various figures. These include the total interest paid, the total amount paid and the monthly repayment amount. [B-01] For this reason, using a personal loan calculator may seem to be the easiest solution. It will eliminate the need to perform extensive financial planning. Let us take a look at the top 10 things that you need to know about such calculators. What Do You Need To Know About Personal Loan Calculators? Did you know that a personal loan calculator is an extremely popular tool that helps you in your loan journey? Here are some of the most relevant facts about these tools which make them very important. Personal loan calculators are among the most accurate tools. They help you calculate the amount of EMI that you need to pay every month. By giving input on some values, you can estimate exactly what you will need to pay back on your loan every month. Interestingly, you can use these tools without much guidance. They are very easy to use and require very little knowledge. Even if you are a novice in the financial field, you can use this calculator to your benefit and get an estimate of the EMI. These calculators make use of elementary calculations. The formula to calculate EMI is as follows. EMI = [Principal x Rate of Interest x (1 + Rate of Interest)^ Loan Duration in Months] / [{(1+Rate of Interest)^Loan Duration in Months} – 1] A personal loan calculator does not require too many personal details. You can easily get an idea about the EMI owed by you. And you can do so without giving away too many of your details. What is amazing about a personal loan calculator is that you can find one on the website of every lender from whom you want to borrow. So, there is no need to run here and there in search of a reliable calculator. You can find one easily with the same bank from whom you are about to borrow. A personal loan calculator is also a great tool to check the rates of interest. In case you were not very clear about the interest that you had to pay, this tool will bring everything clearly into the picture. Some advanced calculators can also help you estimate other variables. These include service charges, taxes and more. A calculator such as this one will come in great use for you if you want to know some quick numbers in a short period. You can also access some calculators which are meant for specific loans. For example, you may find a calculator for an education loan on a lender’s website. These calculators will also account for moratorium periods. Using them, you will be able to get accurate results about plan repayment, interest and more. Based on the type of loan you have taken, a personal loan calculator can calculate EMIs in two ways. It could be either based on the fixed interest rate method or the reducing balance method. Manually, it would take a lot of time and effort to obtain the correct values. But, using a calculator makes it so much easier to get the right values. You can use a personal loan calculator to easily determine and track your monthly expenses for the interim of the loan. This will certainly help you efficiently manage your finances. How To Use A Personal Loan Calculator? It is very easy to use a personal loan calculator. Using one of these tools, you can get access to details like monthly payments, total interest payable, and more. The values will be based on the inputs that you enter in the calculator. The results obtained through this calculator are very helpful for several reasons. You can consider different options before selecting any one type of loan. You can assess different term durations or interest rates to check which scenario fits your better. The monthly repayment figure will tell you whether it is going to fit into your budget. The total interest value will give you an idea about the combined repayment that you will be giving to the lender. You can easily change values to obtain a different set of results in no time. [B-02] So, in these ways, a personal loan calculator is just the perfect tool to get the financial results that will help you make a decision. Almost everyone today makes use of one such tool to make estimates about the loan options available to them. You can visit Piramal Finance to check the available loan options and use their loan calculator. Also, find a stream of financial knowledge for your use on their website and blogs. You are sure to get access to a wide array of information about the loan on this platform. So, don’t wait. Get started with a personal loan calculator before taking your next loan.

08-11-2023

Personal Loan

Can We Negotiate A Lower Interest Rate On A Personal Loan?

Whether making any big-ticket purchases, people might be interested in taking a personal loan with low-interest rates. Depending on where they are borrowing from, they can negotiate the interest rate of such loans. This post is a guide including some tips on how to guarantee a lower interest rate. [B-01] Maintain a good credit score A borrower will have a greater chance of obtaining a personal loan with low-interest rates if they have a credit score of 750 or higher. One may do this gradually by paying all of their bills, loans, and other obligations on time each month. It can also be advantageous to keep their credit utilisation ratio under the 30 per cent cap. Additionally, keeping a good credit mix of both secured and unsecured loans, verifying the CIBIL Report for errors, and other actions will help achieve a personal loan with low-interest rates. Length of credit history Another two-part component that affects the borrower’s score is the length of their credit history. The first component is just how long one had credit access. The score will increase as one gains more loan management experience. The average age of the borrower’s loan accounts is covered in part two. It’s detrimental to one’s credit score if they often open and close credit card accounts. Long-term loan relationships are what lenders prefer to see on credit reports. Types of credit It’s one thing to know how to manage a credit card, but lenders also want to know how the borrower handles other kinds of debt. The credit score will benefit from having a greater variety of debts, such as mortgages, credit cards, auto loans, and a personal loan with a low-interest rate. Maintain a good repayment history The borrower must pay the entire amount due on the credit card each month rather than just the minimum payment to pay off the debts. Additionally, one ought to keep track of other loan and EMI instalments. One will stand a higher chance of convincing the lender to get a personal loan with low-interest rate if they have a solid track record of EMI repayment. Compare interest rates The borrower can compare and select the best alternative among numerous lenders by going to an online financial marketplace based on their needs and eligibility. One can also ask their existing lender if they have any promotions going on over the holiday season or if there is any way to get a personal loan with a lower interest rate. Check the interest calculation method Even though the lender offers the borrower a personal loan with low-interest rate, they might have to pay a higher interest amount when the loan term is up. This is because each lender uses a different formula to determine interest. They might be given a loan with a fixed interest rate, in which case the interest is calculated on the entire loan amount throughout the loan. Another option is a reduced interest rate, in which case the interest is calculated on the outstanding principal and the principal is gradually reduced by the EMIs. Credibility of employer People who work for reputable or global corporations are more likely to be offered favourable agreements. Because their employers are better able to guarantee a consistent job, the lenders determine that the borrower is more likely to have a reliable income to make loan payments on time. As a result, it will be simpler to obtain loans with reduced interest rates. Borrower’s employment history The borrower’s ability to create a good credit score, which somewhat affects interest rates, will be aided by having a decent job, keeping residence stability, and maintaining a good FOIR (Fixed Obligation to Income Ratio). FIOR is the criterion that lenders most frequently employ to assess a borrower’s loan eligibility. Few banks demand that they have a minimum two-year employment history, including at least one year with their present employer. Lending institutions see people favourably and provide them with a better chance of receiving loans with reduced interest rates if they work for state or federal government agencies. Offer collateral A secured personal loan is one technique to ensure a reduced interest rate. Personal loans that are not secured by an asset are not secured. If one chooses not to repay the loan, the lender will have nothing to sell to make up its losses. If one chooses to obtain a secured personal loan with low-interest rate, one must put up something of value as collateral, such as a car or the remaining value of a CD. The asset the borrower pledges as collateral may be taken back by the lender if they are unable to satisfy the monthly obligations. This lowers the risk for the lender, enabling them to set a lower interest rate. Debt burden The borrower’s credit score’s component measuring their debt load is divided into two components. The first is just how much money they owe overall. Their credit score will decline as their debt increases because lenders don’t want to give loans that will put the borrower in financial trouble. The second is the proportion between the borrower’s outstanding balance on all credit lines, including credit cards, and their combined credit limits. Better results come from a smaller ratio. Good existing relationship with the bank A personal loan with low-interest rate and with better terms of service may be easier to get if the borrower already has a good working connection with a bank or lender. This is because the bank or lender is aware of the borrower’s responsible credit behaviour and that there is often less risk involved than when lending to a new customer. [B-02] Wrapping up Before choosing a lender, one should constantly review the service terms provided by different lenders. Make sure to consider the loan length, fees, loan amount, and other factors in addition to the provided interest rate while making the choice. If one has taken out too many loans, one might not obtain a good offer. If the CIBIL score is less than 700, the application may potentially be refused. Maintaining a credit score makes one eligible for loans with lower interest rates. Visit Piramal Finance to learn more about products and services available on Personal Loans.

08-11-2023