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Personal Loan

A Complete Guide to Obtaining a Pre-Approved Personal Loan

Life can take unexpected turns at a moment’s notice. Are you stuck with an unexpected expense or a financial emergency that your savings account cannot handle? A personal loan is your answer. Personal loans are unsecured borrowings that can be used for emergencies. This means you won’t have to put up any collateral to get a personal loan. Applying for a loan is simple, time-efficient, and doesn’t mess with your CIBIL credit score. Applying for such a pre-approved personal loan has never been simpler. Offline and online, the process takes minutes, and the rest of the task is completed by the lender. Once a pre-approved loan has been verified by your lender, the rest of the process is pretty smooth. This article tells you everything you need to know about pre-approved personal loan offers and how to apply for one online or in person. [B-01] What is a pre-approved personal loan? A pre-approved personal loan is an approval granted by lenders when they have accessed your finances and are convinced that you have a clear record of timely repayments. People who have already been screened for the first step of the process are given pre-approved loans, and the last step is a quick loan disbursement. A personal loan can be classified as a short-term credit loan or an unsecured loan. It can be accessed by anyone and from any bank. You can obtain a personal loan for any legal purpose without having to provide collateral or a security deposit. It is almost like buying a product via EMI. The fixed monthly payments take care of themselves, and you are saved from a financial emergency. Main features of pre-approved personal loans Loans that have already been approved are given out quickly, and the process goes even faster for returning customers. Pre-approved loans are paid back through equated monthly instalments (EMIs). The average repayment period of pre-approved loans is one to five years. Pre-approved personal loans can be obtained without any security or collateral, such as a car or a property. Financing with pre-approved loans is hassle-free and requires minimal documentation. Pre-approved loans are based on the bank records, finances, credit histories, and repayment records of the borrowers. Eligibility for a Personal Loan Lenders consider a variety of factors when considering accounts for pre-approved personal loans. Along with a flawless banking history and repayment profile, they also look at your current employment status, the field of your work, and your job security. Here are the leading factors considered by lenders when offering pre-approved loans: Credit Score: The credit score is the primary point of consideration for nearly all personal loan lenders. Your credit score should be optimal and lie somewhere between 720 and 750. Average Account Balance: Your average monthly account balance must be more than the minimum requirement of the bank. The minimum amount is set by the bank and depends on where you live, your average monthly spend, your family responsibilities, and how much you owe in loans, credit cards, and EMIs. Credit Card Payment: Lenders will ensure that your credit card payments for the last 12 months have been addressed on time. Credit card bills also reflect the spending habits of the borrowers, which is useful information for the lender. Monthly Income: Borrowers are expected to have a stable monthly income and a secure job. Lenders will look into your salary slips for the last quarter to access your monthly income. The desired figure varies for each financial institution. However, you must meet the baseline figure to qualify for a pre-approved loan offer. Your job profile and employment status will be reviewed by the lender. The Process to Get a Pre-approved Loan Now that you have a pre-approved offer, the next step is to meet the eligibility requirements for a loan by filling out forms and completing a few formalities. To apply for a pre-approved loan online, visit the bank’s website or get in touch with their sales representative. Here’s how to apply for a pre-approved loan offline: Visit your nearest bank and scan for any pre-approved loan offers. Fill out a loan application form and submit it to the bank. Pick the desired loan amount in INR and the tenure of the loan. Submit the following documents.- Proof of residence in the form of an electricity or water bill- Bank account statements- Proof of identification- Permanent Account Number (PAN) card- Copies of Aadhar card- Salary slips for the previous three months​ Verify the documents and submit them to the bank. Interest and Charges on Pre-approved Loans While procuring a pre-approved personal loan, borrowers can expect a wide range of charges. While some of these charges, like the monthly interest, are fixed, the rest of the charges, such as outstation collection charges, secure fees, and foreclosure charges, depend upon the financial institution. Here are all the charges on pre-approved loans. Interest Rate: The interest rate is the monthly or annual amount charged on the principal amount. Because the market for pre-approved loans is competitive, the charges vary from one lender to the next. Borrowers can expect the pre-approval rate to lie somewhere between 10.75% and 14%. Processing Fee: The processing fee is the one-time fee charged by the lender while addressing the loan application. EMI bounce charges: EMI bounce charges are contingency fees that are charged in the event of a payment lapse. [B-02] Final thoughts Unexpected money problems are a common occurrence for Indians. For people with stable incomes, a pre-approved personal loan is the best way to mitigate a financial collapse. We hope the daunting topic of personal loans is digestible and understandable to you by now. You can now apply for a pre-approved personal loan online as well. Experts at Piramal Finance are here to guide you on how to get pre-approved loan offers and a personal loan in times of need.
08-11-2023
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Personal Loan

Personal Loan For A CA: What You Need To Know

Personal loans are a great way to fulfil any financial need when you are broke. It is now common for banks to approve personal loans for CAs and other professionals. Personal loans are applied for and approved at a faster rate than ever before, thanks to the debt culture. You can use a personal loan to Renovate your home or office. Purchase furniture for the home or office. Go on a vacation. Buy a cellphone, electronics, or appliance. Pay the school or college fee. Pay medical bills. [B-01] Some other factors that make a personal loan a better option for professionals than other loans are Easy application: It is easier to apply for a personal loan because most banks now allow their customers to do so online. The loan application process can be done from home without visiting the bank. Faster processing: Personal loans are processed faster as there are fewer steps to be followed. Most banking transactions are conducted online, so getting a personal loan has become easier. You can apply for a personal loan through the bank’s website and receive the loan amount within a few hours. No collateral: To get approved for a personal loan, you do not need to offer any collateral. The bank will only check your financial stability and ability to pay back the loan when the loan is being processed. Freedom: When you take out a personal loan, you can use the loan amount for any purpose. There are no restrictions on how you choose to spend your loan amount. What will your bank check Most banks consider CAs to be low-risk as they are considered to be financially stable. As a CA, you will be expected to have the proper financial discipline and the responsibility to repay your loan on time. But getting approved for a personal loan is also not too simple because there are some things the bank needs to be satisfied with. Before approving a loan, banks typically check the applicant’s credit history and repayment ability. The same criteria apply to all professionals applying for a personal loan. Here are a few things that your bank will check for while processing your personal loan application. CIBIL Score: As personal loans are disbursed without submitting any collateral, there is always a risk for the bank. The bank will check your CIBIL score while processing your loan application to minimise this risk. You should maintain a high CIBIL score to get approved faster. The best way to get a high CIBIL score is to repay your instalments on time and avoid late fees or defaults. Income: Banks will also check your source of income to understand your repayment capability. If you are an employee, then you can submit your salary slips as proof of your income. If you have your own practice, then you can submit your bank statements, tax receipts, and invoices as income proof. Employment type: Checking the employment type is also an important criterion for approving a personal loan. Banks will check if you are self-employed or a salaried employee to understand your repayment capability. As a CA, your applicant will probably be approved because most bankers think CAs are good with money. A CA’s Personal Loan Application Process The personal loan application and disbursal processes are the same for every applicant. There is no special consideration for professionals who are applying for a personal loan. The entire personal loan process is usually divided into four stages. Submitting the loan application: You must complete and submit a loan application with your preferred bank. Most banks are now offering personal loans for their existing account holders online. You can simply log in to your account and apply for a personal loan from the bank’s website or app. The submitted loan applications are checked to ensure that they have been filled out correctly and that all necessary documents have been attached. If your loan application is incomplete or has the wrong details, it will not be processed. Document submission and verification: While submitting your loan application to the bank, you also need to submit some documents. For faster loan approval, you should be ready with government-issued documents that can be used as ID, income, and address proof. If you are applying online, you can upload these documents online for verification. Aadhar cards, passports, voter ID cards, and electricity bills are accepted as ID and/or address proof by the banks. Loan offer: After your loan application and documents have been verified and approved, you will receive a loan offer. This is an agreement between you and the bank where the loan details, like terms and interest rates, are mentioned. After receiving the loan offer, you can use the information in it to compare the loan offers at other banks. Delaying the acceptance of the loan offer will cause a delay in loan disbursal. If you accept the loan offer quickly, you can access the funds faster. Loan disbursement: This is the last step in getting a personal loan. After you sign the loan offer, your approved loan amount will be credited to your account. [B-02] Conclusion Personal loans offer a quick fix for professionals who are facing financial stress. These loans have a simple application process and are processed faster than other loans. The best thing about taking a personal loan is that you don’t need to show any collateral for it. Many professionals, like CAs, opt for a personal loan to enjoy financial freedom at lower interest rates. To learn more about personal loans for professionals, visit https://www.piramalfinance.com/personal-loan
08-11-2023
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Personal Loan

Piramal Finance’s Complete Guide on Personal Loans

Buying a dream house or financing a huge wedding are some milestones for many people. You need secure funds to back up these dreams. Saving money from your monthly income to fund these events might be a good idea, but it is not feasible for everyone. Instead, a personal loan will help you meet your financial requirements. Many institutions provide personal loans at affordable interest rates with highly flexible loan tenures and convenient payment options. Many banking and non-banking financial institutions (NBFCs) provide personal loans. Thus, making a choice is difficult. This article will help you navigate the waters. The article highlights everything you need to know about personal loans. [B-01] What are personal loans? A personal loan is a financial aid you can apply for meet your requirements. With a personal loan, you can buy a house or car or even make a down payment for a new home. You can use the loan for any expenses. The lender charges interest on the loan, and you have to repay the loan within a specific period. You can pay the amount in equated monthly instalments (EMIs). Personal loans are unsecured loans. You do not have to pledge your property or other assets to get the loan. Therefore, anyone can apply for a personal loan. You will only be asked for collateral if your score is too low or the lender believes you cannot repay the loan. You can apply for these loans online and offline. Both options have similar processing times and fees. Therefore, you can apply for the loan based on your convenience. Furthermore, personal loans can be approved swiftly. Personal loan applications can be approved within 2-5 days. What are the benefits of a personal loan, and why should you apply for it? There are several benefits of a personal loan. Some of these benefits are as follows: They have an appealing interest rate. Most banks and NBFCs charge an interest rate on a personal loan. Most lending institutions charge an interest rate of about 10.45 to 24% per annum. The interest rates vary from one lending institution to other. These also change based on your profile. Your credit history, income and the desired loan amount will affect the internet rate. Minimum documentation is required. Very little documentation is required for a personal loan. You submit proof of address, identity and income when applying for a personal loan. You can submit a copy of your PAN card, Aaadhar card, driver’s licence, ration card, etc. for proof of address and identity. However, these have to be two separate documents. You can submit salary slips and income tax return certificates as proof of income. You get pocket-friendly EMI options. Banks and other lending institutions aim to provide convenient EMI options to borrowers. The EMI you get will depend on your income and the tenure of the loan. You can negotiate the EMI options based on your financial capacity. They have flexible tenures. Loan tenure is a necessary factor to consider when applying for a personal loan. Many lending institutions provide flexible tenures, and you can decide the tenure of your loan based on your monthly income. Most lenders give you a tenure of about 12-84 months. You are expected to repay the principal and interest amount during this period. There are prepayment or foreclosure charges. Most people have the same mindset when applying for a personal loan: pay it off as soon as possible. However, this may not always be possible. Many lending institutions charge a penalty for prepaying your loan. This can be a flat rate. However, lenders will charge 2-5% of the outstanding amount. Therefore, you have to consider whether this rate is affordable. The loan amount depends on creditworthiness. Lenders examine your credit score, credit history, and income to ensure you can repay the loan. Therefore, if your creditworthiness is high, you are much more likely to be eligible for higher loan amounts. Therefore, maintain a good credit history before applying for a personal loan. What are the minimum eligibility criteria to get a personal loan in India? Most personal loans in India have the same eligibility criteria. You can check your eligibility for a personal loan using the following list. You must be between 21 and 60 years to get a personal loan. You must be an Indian citizen or a non-resident Indian (NRI). Your minimum income must be at least INR 15,000 to apply for a personal loan. You should have a minimum work experience of six months at your current employer to get a personal loan. Those working in government institutions, private-sector companies, MNCs or related companies, partnership firms, etc. can apply. Self-employed applicants should have business experience at the current business for a minimum of two years. How to apply for a personal loan in India in online mode? The application process for a personal loan can be completed online. Fill in a form and include details like your name, loan amount, e-mail address, mobile number, etc. You also have to provide documents like your Income proof, address proof, identity proof, etc. Once you have filled in the details and uploaded the necessary documents, you can submit your application. The application will be reviewed by the lender, who will make a decision. The principal amount will then be transferred to your account. [B-02] Conclusion A personal loan can cover all financial emergencies. You can use the funds for any expenses, such as education fees and electronic purchases. Personal loans are an ideal solution if you want quick access to funds. Personal loans also come with affordable EMIs, flexible tenures and low additional charges. Piramal Finance can help you get a personal loan immediately for any expense. Visit Piramal Finance now to learn more.
08-11-2023
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Importance Of Bank Account For A Salaried Person

Once you join a company, your employer will provide you with a new bank account. These are generally referred to as “salary accounts.” Salary accounts are opened to conveniently pay the employee’s salary. With a salary account, the whole payment process becomes seamless for the employer. An employer must tie up with a bank to open salary accounts for their employees. The employer deposits a fixed amount of money in the bank account every month as salary. Essentially, these are savings accounts that cater solely to salaried employees. Apart from making the process simpler, salary accounts come with many additional benefits. [B-01] Salary Account Benefits The features of a salary account can differ from bank to bank. However, there are a few advantages that usually remain the same. Let us have a look at the benefits of a salary account. Zero Balance Account A salary account is generally a zero-balance account. Meaning, you don’t need to compulsorily maintain a minimum balance. This saves you from the penalties that are incurred when you are unable to maintain a certain balance. A zero balance account gives people the freedom to manage their finances more freely. Online Fund Transfer Salary account holders get the benefit of transferring and receiving funds online. This eliminates the need for cheque deposits and cash withdrawals. Many banks even provide their customers with phone banking services. This gives you access to many services from the comfort of your home. Debit Card and Cheque Book Banks provide salary account holders with personalised chequebooks for cheque payments. You are also given an ATM card that enables you to withdraw money and make online and offline debit card payments through it. Easy access to loans A need for a loan can occur at any time. Banks provide salary account holders with immediate access to several types of loans. Not just that, but their paperwork and documentation are also reduced. This makes the whole process quick and simple. Banks also provide existing account holders with more competitive interest rates while availing of a loan. This facility depends on the type of company you are in and on your credit score. Investment Services As the holder of a salary account, you can invest in mutual funds, government bonds, insurance products, and other types of financial products. You can also link your Demat account with your salary account. Utility Payments You can use your salary account for the payment of utilities like electricity bills, water bills, internet recharge, and other expenses. Difference Between Salary Account and Savings Account A salary account is created by the employer in a tie-up with a bank for their employees. The main purpose is to transfer the salaries of the employees in a hassle-free manner. A savings account is created by the individual to keep their savings in one place and earn interest on it. It promotes savings for people. You are eligible for a salary account once you are employed by a company and start receiving a salary. On the other hand, a savings account can be opened after you turn 18. Some banks provide savings accounts for minors as well. The salary account is a zero-balance account. You don’t have to maintain a minimum balance. While savings accounts require you to maintain a minimum balance. Failing to do so can result in penalties. A salary account turns into a savings account if the salary has not been credited for three months. You can also convert your savings account into a salary account if you meet the required guidelines and norms of the bank. Conclusion Salary accounts are opened by the employer for the employees. Its main purpose is to transfer the employee’s monthly salary to their account. Salary accounts come with many benefits. From no requirement to maintain a minimum balance to online fund transfers and easy access to loans. They are a type of savings account but with additional benefits. You can convert your salary account to a savings account and vice versa. For more blogs on finance and your other finance-related queries, reach out to us at Piramal Finance. Our experts will guide you through your financial journey and make it simpler. [B-02] FAQs Q1. Can a salary account have joint applicants? A1. Yes, the salary account can be opened with the nominee or beneficiary. You will be asked to submit some documents to do so. Check with your bank for additional guidelines. Q2. Do you get interest for the amount maintained in the salary account? A2. Some banks offer interest on the amount maintained in a salary account. But this may differ from bank to bank. Some banks even have more than one type of salary account.
08-11-2023
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Personal Loan

All Banks’ Personal Loan Interest Rates in One Place

Personal loans are among the most popular financial instruments and can be used by anyone for any expense. These quick-to-get loans have become very popular in the last few years. Most banks and non-banking financial institutions offer personal loans. How do you figure out which personal loan deal is best for you? Many people who want a personal loan in India only look at the lender’s reputation. It is not the right strategy. You should always compare the personal loan interest rate before you select a personal loan. The interest rate is an important factor in the selection because this will determine how much loan you have to pay. Compare personal loan offers based on their interest rates and choose the most suitable deal for you. [B-01] How do personal loan interest rates vary? Personal loan interest rates usually start at 10.49% per year. Personal loan interest rates depend on many factors. For example, once you submit your application, it will be scrutinised according to the following criteria: What is your monthly income? How long have you been working at your current firm? For self-employed applicants and business owners: how long have you been running your business? What is your credit score? How’s your credit history? Have you defaulted on other loans? Do you have other loans that you are repaying? How much EMI can you afford? All these factors contribute to the personal loan interest rate you are offered. Scrutinise your application before you submit it, as there are ways to get a lower interest rate. How can I apply for a low-interest personal loan? If you want to get a low personal loan interest rate, here are some things you should consider. Build and maintain a credit score of at least 750. Check with banks and NBFCs for instant or pre-approved personal loans because you may qualify with some lenders who do not have strict criteria. Keep track of the interest rate discounts that lenders offer during the holidays. Check out online financial markets to compare personal loan interest rate offers from different lenders. Build a good credit history by paying your other loans and credit cards on time. Apply for a loan with a lender you already know. For example, if you have a home loan with Piramal Finance, you can always apply for a personal loan with the same lender. They might offer a lower interest rate if you have maintained a good relationship. What are the things that affect personal loan interest rates? Lenders set interest rates based on how much it costs them to get money and how risky it is to lend to each borrower. Here are some of the things that can change the personal loan interest rate: Credit Score: When setting interest rates, many lenders look at your credit score. The lowest personal loan interest rates are given to people with better credit scores. So try to keep your credit score at or above 750. Good money habits, like paying your credit card bills and EMIs on time and not applying for multiple loans or credit cards in a short period of time, will help you maintain your credit score. Employer: When setting the personal loan interest rate, many lenders look at the applicants’ employment history. Interest rates are usually lower for salaried people than for self-employed people because salaried applicants have more certainty about their income. When it comes to salaried applicants, the government and PSUs usually get lower interest rates because their jobs and incomes are more stable. The next group is people who work for MNCs and other well-known private sector companies. This is because these companies are thought to be more likely to survive economic downturns than other private-sector companies. Existing banking or lending relationship with the lender: Many lenders offer lower-interest-rate personal loans to existing customers. So, if you want a personal loan, you should always contact the banks or NBFCs with which you already have a relationship. Income: A higher income means you are much more likely to repay the loan. The lender has less risk when providing you with a loan, and many lenders may offer lower interest rates on personal loans. Personal loan interest rates from top banks and NBFCs Lender’s NameInterest rates up to Rs. 30 lakhInterest rates above Rs. 30 lakhPiramal Finance12.99% onwards SBI Bank8.40-9.15% 8.40-9.05%HDFC Bank8.20-10.00% LIC housing finance8.30-10.00% ICIC Bank8.4-9.50% Kotak Mahindra bank8.30% onwards PNB Housing Finance8-75-13.00% Bank of Baroda8.60-10.35% Union Bank of India8.25-10.15% IDFC Bank8.45% onwards I&T Housing Finance8.40-8.60% Bajaj Housing Finance8.20% onwards8.20% onwardsGodrej Housing Finance8.39-10.99%8.39-0.99%TATA capital8.60% onwards8.60% onwardsFederal Bank8.37-9.60% 8.37-9.65% These are some of the personal loan interest rates available. However, the interest rate you are offered depends on your application. [B-02] Conclusion In India, personal loan interest rates depend on several factors, the most important of which is income. Different banks have different ways of classifying loans, which is how they figure out interest rates. You can apply for personal loans even if you are self-employed or a salaried employee. However, you may have different interest rates depending on your work history. Therefore, before you submit your application, compare personal loan interest rates from various lenders. It will help you understand what lenders look for in ideal borrowers. Personal loans offer various benefits. If you are looking for a personal loan, your search ends here. Piramal Finance provides personal loans at competitive interest rates and with flexible tenures. Visit Piramal Finance to learn more.
08-11-2023
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Personal Loan

This is how Piramal Finance helps you to avail personal loan!

What are the best ways to apply for a personal loan? Whatever your financial condition is, applying for a personal loan from Piramal Finance may allow you to relax. You can satisfy your urgent financial demands with a personal loan from Piramal. Applying for a personal loan from Piramal is simple and fast, whether you need money for medical needs or a wedding present. There are also no costs for prepaying or foreclosing on the loan. Applying for a personal loan at Piramal Finance is simple to comprehend and fast to complete. There are no penalties for paying off the loan early or failing to repay it on schedule. Our loan may help you receive the funds you need fast, whether for a dream wedding, vacation, or even school tuition. [B-01] Applying for a Personal Loan Less documentation is required, which speeds up and streamlines the procedure. After applying for a personal loan, the loan may be granted and disbursed quickly, and you can get any necessary information immediately. One of the nicest aspects of buying an automobile is that you can pay for it in EMIs. Don’t worry about paying back the whole loan amount immediately if you apply for one now. There are many options for repaying your loan, with terms ranging from 12 to 60 months. You may make the best choice for the term of your loan and save money on EMIs and other expenses. By adding the earnings of numerous family members, the maximum amount for applying for a personal loan may be accepted can be increased. Should I take out a personal loan with Piramal Finance? Workers who satisfy the following requirements before applying for a personal loan A government-run organisation Commercial Businesses The world of business Multinational corporations and the firms that collaborate with them Collaboration between businesses Concerns concerning ownership and management Rates and expenses for a Piramal personal loan Before applying for a personal loan, some important things should be considered: The yearly interest rate begins at 12.99%. There are no prepayment or foreclosure penalties. If there are any additional fees, these will be disclosed when you complete the application. Contact us if you want to learn more about our rates and charges! How can I apply for a personal loan with Piramal Finance? If you’re considering a personal loan from Piramal Finance, you’re undoubtedly wondering about the best ways to apply for a personal loan. Because the procedure is so simple and fast, a person may apply it while relaxing at home. Applying for a personal loan allows you to apply for a personal loan from Piramal Finance from any location with an internet connection. Any PC or smartphone with an internet connection will suffice. It’s simple for applying for a personal loan with Piramal Finance if you follow the procedures below. Before beginning the application, go to the Piramal Finance website and click “Personal Loan.” People can apply by clicking the “Apply Now” button. If you click on that link, you will be directed to an online application where you will be asked for personal information such as your name, address, email address, phone number, PIN, monthly income, and loan amount. Please submit this application after you have completed it fully. Your loan request has been received. After you submit your application, a salesperson will contact you to ensure that it moves through the pipeline. Documents Required for Applying for a Personal Loan All Piramal Personal Loan applicants must have a valid Permanent Account Number (PAN) card. Identity proof (any one of the following) Travel documentation (passports) A current and valid driver’s license. Using Aadhaar The voter registration form with the certificate of eligibility Address proof (any one of the following) Registered Leave and Rental Agreement Travel documentation (passport) A current and valid driver’s licence This comprises the following: Aadhaar Card or Aadhar Acknowledgement Certificate of Voter Registration Utilities are expensive (water, sewer, garbage collection, electricity, phone, etc.) (younger than or equivalent to three months) Examining the financial situation Your most recent pay slip from the previous month Your last three months’ bank statements Co-applicant A person who wants to get a personal loan needs a co-applicant if their combined income is less than the minimum amount needed to get the loan amount they want. When using Piramal Finance, how should you estimate the safety of individual loans? Every borrower is told that the company uses the following process and looks at the following factors to figure out how much risk each borrower can handle: The interest rate after applying for a personal loan is based on the borrower’s “profile,” which takes into account both traditional factors like bureau performance and new ones like internal credit score algorithms. The product’s characteristics; the facility’s kind and purpose; if alternative methods exist to pay for the loan; whether the loan is suitable for bank financing; and the loan-to-value ratio of the asset being funded. How long we’ve worked with the borrower, how often they’ve paid in the past, and what occurred with other comparable customers The borrower’s total customer yield, future potential, capacity to pay based on cash flows and other financial responsibilities, and other variables that may impact the borrower’s ability to repay the loan. This is an important point when applying for a personal loan. The sort of object being funded and how the loan money will be used; Interest, the risk of default in the appropriate business sector, Aside from any applicable norms and regulations, Anything else that may be relevant to this circumstance The proposed loan’s duration, total amount, repayment schedule, and structure (including any proposed moratorium, if applicable). [B-02] Conclusion Applying for a personal loan with us may help you quickly receive the funds you need, whether for a dream wedding, vacation, or even school tuition. Piramal Finance is one of India’s top non-bank finance organisations. They offer the greatest home financing programme, allowing them to assist families in achieving their dream of owning their own house. Piramal Finance’s specialised staff of professionals is accessible 24 hours a day, 7 days a week, to assist existing and new clients.
08-11-2023
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Personal Loan

Importance of a PAN Card to get a personal loan

There may be times when your savings just aren’t enough to get you where you need to go financially. You should borrow money to bridge the difference. Credit, however, comes with its own set of complications. Is it hard to get a loan, then? A personal loan based on your PAN and Aadhaar card is available without collateral. These may be processed instantly. But that’s not all. Instant personal loans on a PAN card are available at low interest rates and with few paperwork requirements. Let’s get acquainted with the importance of loans and how to obtain them with your Aadhaar and PAN. [B-01] PAN card and personal loans Your capacity and history to make loan repayments are easily clear to a bank with a PAN card. You might ask if showing your PAN card is necessary when applying for a personal loan. The answer is yes. Private lending organisations are the only places to go if you don’t have a PAN card and need a personal loan of 50,000 rupees. Private lending organisations still offer personal loans to those without a PAN card. Otherwise, PAN cards are widely used in India to assess borrower risk. A loan application without a PAN card leads to rejection. Without a PAN card, your application for a personal loan from a bank will be denied. This is regardless of how much money you need. Obtaining a personal loan in India requires a PAN card. This is due to regulations imposed by the country’s tax system. Know the importance of a PAN card for a personal loan. The government of India also gives every resident of India a permanent account number (PAN), which is an alphanumeric code of 10 digits. After the currency reform known as “demonetization,” it has become an even more vital card. A PAN card is a unique identifying number. It is required for making financial transactions and submitting tax returns. For tax reasons, having a personal loan on a PAN card is essential. Having your PAN card information linked to your savings account is mandatory. You would be unable to establish a bank account at any financial institution in the absence of a PAN card. When applying for a personal loan, a PAN card is also required. Obtaining a personal loan without a PAN card might prove difficult. As a result, a PAN card is required when applying for a personal loan. It is also required when making large purchases such as cars, staying in hotels, opening Demat accounts, purchasing foreign currency, and so on. Why is a PAN card mandatory for a personal loan? A borrower’s creditworthiness can be estimated from the information on their PAN card. A PAN card is required to be presented when applying for a personal loan of Rs. 50,000 or higher. To complete the E-KYC verification process for a personal loan of Rs. 50,000 or more, a PAN card is required. It is impossible to get a bank loan, a debit or credit card, or even buy a car or jewellery without a PAN card. Submitting a PAN card is also required to move forward with real estate transactions, including buying, selling, building, or renting. Furthermore, having a PAN card speeds up the approval process for a personal loan. It allows the lender to check your credit history and other financial elements. Both of these are required when applying for a personal loan of Rs. 50,000 or more. If you apply for a personal loan in India and are unable to produce a PAN card, the loan application will likely be denied. This would hurt your credit score. A PAN card is more essential than pay stubs and a bank statement when applying for a personal loan online. Although most lenders want either a pay stub or bank statement, others don’t. Instead, a Personal Identification Number (PAN) card is required when applying for a personal loan. This is because it allays the lender’s concern that the borrower won’t be able to pay back the loan on time. Uses of PAN The PAN card has various applications. It’s a standard part of a wide range of formal processes that necessitate documentation. You may use the information on your PAN card to verify your identity. You can also keep track of your financial dealings. The card may be used to prevent tax evasion. It provides the Income Tax Department with a record of your daily financial activities. If you want to buy a new home, get a home loan, or apply for a credit card, you will need to present information from your PAN card. PAN cards are primarily used to track financial transactions. They have many other applications as well. Here are some of the uses of the PAN card: If you want to submit your income tax returns, you’ll need to provide the information from your PAN card. You may file your income tax return online by accessing the e-filing website. You have to enter your PAN information in the appropriate field. Making a deposit: Bank accounts are the standard for documenting monetary dealings. So PAN card information is required to create a bank account. Getting an application for a credit or debit card: When applying for a credit or debit card, a person’s PAN number is needed. A transfer of ownership occurs when a car is bought or sold. So you must also supply your PAN card information. Serves as evidence of identity: Owning a PAN card is vital for those who engage in a high volume of financial transactions. It is required in many official procedures. Loan/insurance application: There is significant risk involved for the bank in making loans or providing insurance. Banks examine the applicant’s financial transactions to see if they are qualified to lend money and the level of risk associated with doing so. To complete any real estate-related transactions, you will be asked to give your PAN information. A Permanent Account Number (PAN) card is required when exchanging Indian Rupees (INR) for foreign money. [B-02] Get fast approval on personal loans by applying today. Personal loans allow you to take care of unexpected costs. They also help to get your finances back on track quickly. You can still get a loan even if you don’t have anything of value to put up as security. When you have the required paperwork, these personal loans are easy to obtain. A personal loan on a PAN card is crucial to your financial well-being. With a valid PAN card in hand, you’ll have no trouble getting approved for a personal loan. If you want to increase your chances of getting a loan, providing a PAN card is a must. Contact a reliable loan expert, such as Piramal Finance, for a smooth experience.
08-11-2023
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Personal Loan

List Of Must Have Documents For Personal Loan

An amount of money that can be borrowed for personal reasons is a personal loan. This loan can be used for weddings, medical emergencies, vacations, home renovations, etc. This loan can be obtained from banks, online lenders, or credit unions. The borrowed money must be repaid on time with interest. Let’s discuss in detail the benefits, rate of interest, and documents for personal loan. [B-01] Advantages of a Personal Loan A personal loan comes with a variety of benefits. Below are a few of them: Multiple uses: There is no restriction on how a borrower uses the money from a personal loan. It can be used for emergencies, when you don’t have enough money, weddings, trips, or buying appliances for your home. High amount: One of the reasons why people prefer a personal loan is the availability of a high amount, up to Rs 50 lakh. However, the maximum amount a borrower can avail depends on their credit profile. Easy eligibility criteria: To avail of a personal loan, one must be a resident of India and 23–70 years old. The applicant must be earning a regular income as an employee or have a business of his or her own. That’s all, and the applicant is eligible to get a personal loan. Attractive rate of interest: Personal loans can be availed at attractive rates. These rates depend upon the lending partner from whom you borrow this loan and your credit profile. Flexible repayment tenure: Another major reason why people choose a personal loan is the option to choose their repayment tenure. They can choose to repay the personal loan for 12–60 months. The maximum tenure available to repay depends on the credit profile. Tax breaks: Depending on how the money from a personal loan is used, it may be possible to get a tax break. For instance, if the borrower uses the funds obtained from a personal loan to renovate a home, it can be claimed for tax deductions under Section 24(b) of the Income Tax Act, 1961. All of the benefits, including the amount, the interest rate, and the way they are paid back, depend a lot on the lending partner and the applicant’s credit history. Interest Rate on a Personal Loan The interest rate on a personal loan starts at 8.90%. The rate at which an applicant can avail of a personal loan depends upon the bank or financial institution and the credit profile of a borrower. Tips to Get Lower Interest Rates on Personal Loans Maintain a high credit score: Banks or financial lenders consider credit scores as proof of an applicant’s credit behaviour and creditworthiness. One must always ensure a high credit score by paying debts on time or maintaining a credit utilisation ratio. This helps in obtaining the desired amount of loan at attractive rates and the choice of tenure. Strong repayment track record: If an applicant’s track record is clean, as in all loan EMIs or credit card bills are paid on time, it shows impressive credit behaviour. Comparison of interest rates: An applicant should always compare the interest rates from various banks/financial institutions. This way, one can be assured of getting the best offer. Special Offers: During festive times, the bank offers special discounts on interest rates. An applicant must keep a check on such offers. Stable employment history: Banks prefer applicants with a strong and stable background working with reputed organisations. To avail of a loan at a favourable interest rate, one should maintain a strong employment record, as this assures the bank of fewer chances of payment defaults. Checklist of Documents for Personal Loan: Documents required for salaried individuals: Identity Proof Passport PAN Card Voter’s ID Aadhar Card Driving Licence Residence Proof Aadhar Card Passport Ration Card Utility Bill Driving Licence Residence Ownership Proof Property Documents Electricity Bill Maintenance Bill Income Proof Last three months’ salary slips and Form 16 Last six months’ bank statement where the salary has been credited Job Continuity Proof Employment certificate from the current company Experience certificate from the previous company Appointment letter from the current company Investment Proof Fixed Assets Shares Fixed Deposit Photograph Passport-size coloured photograph Documents required for self-employed individuals: Identity Proof Passport PAN Card Voter’s ID Driving Licence Residence Proof Aadhar Card Passport Ration Card Utility Bill Residence Ownership Proof Property Documents Electricity Bill Maintenance Bill Office Address Proof Maintenance Bill Electricity Bill Property Documents Business Existence Proof Proof of shop establishment Licence for company registration Copy of tax registration Income Proof Last two years’ income tax returns Computation of income, balance sheet, audit report, profit and loss account, etc. Bank statement Last year’s savings and current bank statement Investment Proof Fixed Assets Shares Fixed Deposit Photograph Passport-size coloured photograph Documents required for NRIs: Identity Proof Passport copy Visa copy Employment Proof Letter of Employment Job Contract ID Card Official company email ID or email ID of the HR Income Proof Last six months’ bank statement Salary slips or salary certificates Photograph Recent passport-size photograph Documents required for Pensioners: Identity Proof (Anyone) Ration Card PAN Card Voter’s ID Passport Driving Licence Certificate of Birth School leaving certificate Address Proof (Any One) Aadhar Card Passport Ration Card Utility Bills Driving Licence Income Proof (Any One) Last six months’ bank statement Bank Pass Book Form 16 Income tax return Copies of Pension Payment Orders Photograph Recent passport-size photograph [B-02] Here is a compiled list of all the documents for personal loan. An investor must access all the features and benefits compared to expectations to make a safe and informed decision. An applicant can take note of all the required documents for personal loan, as shared above, for a hassle-free application. For more details on personal loans at attractive rates, visit: https://www.piramalfinance.com/personal-loan
08-11-2023
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Personal Loan

5 Things To Know Before Choosing Your Loan Lender

The gap between fulfilling your dreams and giving up on them is often bridged by loans. A loan lender offers a wide range of loans, such as personal, home, auto, and education loans, to name a few. Each loan helps you meet the financial requirements to achieve a particular dream. A home loan will help you buy your dream house, while a personal loan can come in handy to finance a wedding or buy a new gadget. So, how do you choose the lender for your loan? [B-01] 5 Things to Help You Choose Your Loan Lender Picking a lender from so many could be challenging; below, we discuss five aspects that can aid you in your decision-making. Know your requirements. Before choosing a loan lender, it is essential to know your requirements well. Understand what you need the loan for, how much you need it, and the loan tenure you have in mind. If you are looking for a home loan, there are various variants under this category, namely a land purchase loan, a home construction loan, and a top-up loan. Different lenders may offer different terms to each one of them. Research well based on your requirements and look for the lender who offers the best deal for the loan you require. Similarly, a loan lender may have a different maximum term for a personal or home loan. You may prefer a home loan term of 25 years due to your repayment capacity, so you will have to look for lenders who provide a home loan of 25 years. Other factors like the downpayment requirements, prepayment clause, and repayment options also impact your choice of lender. Ease of application and processing time. You apply for a loan for a specific purpose, whether to buy a house or for a personal loan for a medical emergency. If the loan lender takes a long time to process the loan, you may not be able to buy the house you want or take care of a medical emergency. Check the loan application process and processing time before you approach the lender. The lender websites have details about the application process and the required documents to help you make an informed decision. You can find out about the indicative loan processing turnaround time on the website and decide if it matches your expectations. The loan process should be user-friendly and the documentation process simple, like Piramal Finance personal loans. They offer instant disbursals with minimum documentation and have expert advisors to guide you through the process. Interest rates. Interest rates determine the cost of your loan and the monthly EMI for all loans. The lower the interest rate, the better it is for you, as you will have to pay a lower instalment each month. Even a minor change in the loan rate will impact your loan’s overall cost and the monthly outflow. When you look for a loan lender, focus on this aspect. Having said that, do not fall for gimmicks that promise zero-rate loans, as there is always a catch, and you are likely to get a rude shock once you sign the dotted line. Apart from the rates, find out about the rate type; your loan could be a floating- or a fixed-rate loan. Fixed rates remain the same throughout the loan tenure and do not change. Floating rates depend on the repo rate and may go up or down during the loan tenure depending on how the repo rate changes as per the Reserve Bank of India’s policies. Charges, fees, and penalties. Apart from the interest cost, loans have additional charges too. Loan lenders charge a processing fee for your loan; this may vary from lender to lender. Some lenders charge a flat amount, while others may charge a percentage of the loan amount. Lenders levy some additional incidental charges as well. These include the penalty for the late payment or an EMI default in case you miss a loan instalment. Some lenders charge a penalty for a loan foreclosure if you choose to prepay the loan before the term ends. Piramal Finance has zero foreclosure penalties for their personal loans, so you can prepay a loan if you have spare funds without worrying about extra expenses. Assessing all charges you have to pay or may have to pay under certain conditions before choosing the lender will help you save money. Focus on the loan lender. If you need a personal loan, you can talk to numerous lenders around you. While aspects like interest rate, charges, and processing time are crucial for decision-making, you cannot ignore the importance of doing basic research on your loan lender. Lenders assess applicants before they sanction a loan; you also need to do the same. Find out about their customer service and redressal mechanisms. You do not want to be stuck with a lender who does not address your problems after your loan is sanctioned or during the loan application process. They should be transparent about their charges and the payment process. A visit to the lender’s website or going through customer reviews can help you assess their trustworthiness. Check if they have customer helpline numbers or other forms of assistance. Also, see if they have details about all their charges. Always opt for known and trusted brands for safe and secure loans. [B-02] Conclusion A loan is a liability that helps you meet your goal, but you need to repay it in a disciplined manner. Choosing the right loan lender will ensure that you get the loan effortlessly at competitive rates and are saved from any hassles during the loan tenure. All financial products require careful research; whichever loan you need, spend some time comparing lenders and choose one after detailed analysis.
08-11-2023
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