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Home Loan

Why people opt for loan against property in India

If you’re in urgent need of liquid cash, your credit score is low, and you don’t have any other collateral to offer up as security, then a loan against property might be a good option for you. A loan against property in India is one alternative option worth considering. With this kind of loan, you don’t have to sell your property to raise adequate funds. The lender instead uses your home or land as collateral and lets you borrow up to 5 crores. In this guide, you will understand why people opt for loan against property in India, the advantages it offers over traditional bank loans, and how you can take advantage of this helpful financing technique yourself. [B-01] Benefits of Loan Against Property Availing of a loan against property is easier in India. There are several reasons why people opt for loan against property in India. Lending agencies and banks prefer to give out loans to those who want a loan against their property, as they have collateral on their side. This collateral is the property itself, which means that if they fail to repay the loan, the lending agency or bank can take away the property and sell it off to recover some of the money owed. There are also other benefits when taking out a loan against your property: You don’t need to go through any credit checks as you would when applying for a personal loan. Interest rates tend to be lower because lenders know you’re putting up valuable property as security. While your personal credit score will still play an important role in determining what kind of interest rate you get on your mortgage, there’s less emphasis placed on it than there is with a personal mortgage. The downside of opting for a loan against property is that you are taking equity from your home by making a repayment instalment. As you continue paying instalments over time, you will gradually pay more than what your home was originally worth when you bought it. The loan amount can be higher. The basic idea behind such loans is that the lender offers to buy your property and will give you money in return. This amount can be higher than the actual market value of the property but is usually lower than the current market price to ensure that your property does not lose its value. Moreover, with a loan against property, you can get cash up-front which would otherwise take a while through traditional lending methods. A loan against property also has the advantage of being easier to qualify for as it just requires a residential or commercial property as collateral without requiring any other form of personal guarantee or security. The repayment period is longer. A loan against property is a popular choice in India because the repayment period is longer. For example, if you want to buy a house and can’t afford it outright, you could take out a mortgage or a loan against property. The interest rate will be higher with this option because it’s riskier for the lender. As with mortgages, you would need to repay the loan over several years rather than just one lump sum. Another advantage of loans against property is that they are often cheaper. They are a good way of buying expensive assets like cars, boats, etc., without spending all your savings on them. Loans also provide flexibility; you can use the money however you want without specific restrictions and deadlines. However, loans have risks, such as being unable to pay off the loan due to unemployment or illness, which means taking up another loan might be required. The interest rate is lower. Loan against property interest rates is lower than the interest rates on a personal loan. Moreover, it’s easier to find lenders who are willing to offer this type of financing, and they don’t require as much documentation from borrowers as banks or other financial institutions. The process is simple; you borrow money by taking out a second mortgage against your property which may be residential or commercial (or both). You then repay the amount borrowed over an agreed-upon period with monthly instalments. Once you have paid off the amount owed, ownership of your home will go back to you. The income tax benefit Another profitable benefit of a loan against property is the tax break. A salaried employee can claim tax benefits on the interest paid (up to INR 1,50,000 to 2,00,000) for a loan against property under Section 24 of the Income Tax Act, 1961, rather than the principal. The loan can be used for a variety of expenses People opt for a loan against their property because they need some form of capital to finance an investment or purchase. They may also opt for this type of loan if they need money but don’t want to sell their property and take a loss on the transaction. Most people use this type of loan to purchase a home, but it can be used for any number of purposes. A person can use the money from the loan for anything that is allowed by the lender’s terms and conditions. The borrower has to repay the loan with interest, so he pays back more than he borrowed. If the borrower doesn’t repay his debt according to the agreement, he risks losing his home. [B-02] Conclusion As you can see, there are a lot of reasons why people opt for a loan against property. Whether it be to take care of their expenses, save up for emergencies, or start a business, there are many reasons and benefits to taking out a loan against property in India. Nowadays, this form of lending is very popular in the country. Lenders and borrowers alike can benefit from the process as long as they understand how it works and the risks that come with it. If you’re interested in learning more about these options, contact Piramal Finance today.
08-11-2023
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Personal Loan

List of Personal Loan Providers in Kochi

A personal loan is an unsecured loan, and it doesn’t have any additional expenses. Unlike a home or car loan, a personal loan helps you in adverse situations. These can include going on a trip, buying a new electronic device, paying for your small business costs, making improvements to your home, or combining your debts. You can spend your money wherever and however you want, and the lender has no say. As personal loans are unsecured, you can apply without putting anything up as collateral. Let’s know more about Personal Loan Providers in Kochi. [B-01] Personal Loan in Kochi A personal loan helps you get through, whether your goal is to have a spectacular wedding celebration or meet your urgent financial needs. A personal loan is worth taking out since it has a term of up to 5 years and is offered at enticing interest rates. Between banks and non-banking financing firms (NBFCs), there are numerous Personal Loan Providers in Kochi. Top Personal Loan Benefits Here are some of the main advantages of personal loans. Rapid acceptance A personal loan may be processed in a far quicker time than a mortgage loan, which might take 3–4 weeks. As a result, they are your best option for meeting your immediate cash or payment needs. If you have a strong credit history (CIBIL score of more than 750+), lenders won’t have any difficulty approving your loan request. No need for a collateral Personal loans are unsecured, meaning you may get one without putting up any security. Because of this, getting a personal loan is simpler than getting a house loan, a car loan, etc. But as a borrower, you should be aware that unsecured loans provide a greater risk to lenders, thus the interest rates are often higher to offset this risk and are typically 1.33% or higher each month. Versatility You may get a personal loan without putting up any collateral since they are unsecured. As a result, obtaining a personal loan is easier than obtaining a mortgage, auto loan, etc. Yet, as a lender, you should be aware that since unsecured loans carry a larger risk for lenders, the interest rates are often higher to balance this risk and are normally 1.33% or greater each month. Improves credit rating Getting a personal loan is advantageous, whether it is for a home renovation, an iPhone purchase, or a trip to Switzerland. One loan may also be used for several purposes, unlike home loans and car loans. The present popularity of personal loans is partly due to their adaptability. List of Personal Loan Providers in Kochi Piramal Finance If you’re looking for a quick and hassle-free personal loan that requires zero prepayment, always go for Piramal Finance. A personal loan from Piramal Finance is one of the best options to cater to your immediate financial requirements. If you’re stuck in the process of applying for a loan, the team of professionals will assist you to get faster approvals and disbursal amounts. Interest Range: 12.99% per annum Loan Amount: Rs 1,00,000 to Rs 10,00,000 Timeline: 1 year to 5 years State Bank of India The SBI personal loan is quite an attractive option for salaried employees. There are no hidden charges for this loan. You can apply for the loan online at the best interest rates. Based on the information you provide, you can get instant approvals. Interest Range: 9.60%–13.60% Loan Amount- Rs 50,000 to Rs 30,0000 Timeline: 1 year to 5 years HDFC Bank The HDFC personal loan provides the benefit of affordable EMIs without any additional charges. The individual gets the option of part payment options at the minimum processing fees. The documentation process is straightforward and can be obtained directly from banks. You can provide the documents and get faster approvals. Interest Range: 10.99%–15% Loan Amount: Rs 50,000 to Rs 40,00,000 Timeline: 1 year to 5 years ICICI Bank If you’re applying for a personal loan from ICICI Bank, you must submit the documents accurately. Once the bank checks the documents, they will provide approval. After that, the amount will be credited to your account. Interest Range: 10.50% – 18% Loan Amount: Rs 50,000 to Rs 50,00,000 Timeline: 1 year to 5 years Axis Bank Individuals with a minimum salary of Rs. 25,000 per month are eligible for Axis Bank personal loans. It’s a pain, but it has the best rates. Furthermore, applying for the loan required minimal documentation and faster loan approval. Interest Range: 10.50% – 25% Loan Amount: Rs 50,000 to Rs 40,00,000 Timeline: 1 year to 5 years Punjab National Bank If you’re looking for faster loan credit at a minimum salary, you can apply for a personal loan at the Punjab National Bank. However, you must submit the appropriate documents to get instant approvals. Interest Range: 8.95% to 14% Loan Amount: Rs 50,000 to Rs 20,00,000 Timeline: 1 year to 5 years Bank of India If you’re in search of the best personal loans at the lowest interest rates, the Bank of India has the best personal loan for you. You can get the benefit of trouble-free loan closure with a minimal documentation procedure. Interest Rate: 10.35% – 12.35% Loan Amount: Rs 50,000 to Rs 10,00,000 Timeline: 1 year to 5 years Bank of Baroda The professionals at the Bank of Baroda will assist you with speedy processing. The loan is available for all salaried employees, providing a quick and easy solution for them. Make sure to submit the documents appropriately to get faster approvals. Interest Range: 10%–15% Loan Amount: Rs 1,00,000 to Rs 15,00,000 Tenure: 1 year to 5 years IDBI Bank The IDBI Bank provides personal loans with a flexible repayment schedule and lower interest rates. You can get a personal loan by following these easy steps. However, eligibility will be determined based on the individual’s salary. Interest Range: 9.50% to 14% Loan Amount: Rs 25,000 to Rs 5,00,000 Tenure: 1 year to 3 years Central Bank of India Personal loans are available to confirmed and permanent employees of Indian and multinational corporations through the Central Bank of India. The bank will however avail of a Rs 500 processing charge. Interest Range: 9.85%–10.05% Loan Amount: Rs 50,000 to Rs 10,00,000 Tenure: 1 year to 4 years [B-02] Conclusion : Personal loans, as you can see, are a viable alternative for many borrowers and can be perfect for your particular circumstance. They often have a wide range of uses, are adaptable, and are inexpensive. For more blogs on Personal Loan Providers, check out Piramal Finance and explore their products and services.
08-11-2023
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Business Loan

All About Business Loan Brokers and Do You Need One?

If you are busy with your daily business operations or have started a new business and need the best financial options, you should look for a business loan broker. A business loan broker is a middleman whose job is to help you get financial support from the best lenders for your business. Business loan brokers act as coordinators in getting the lender for your business. With their knowledge of the industry, working experience, and relationships with different lenders, a business loan broker can successfully get you a very competitive offer from a lender. [B-01] Business loan brokers work closely with various lenders, so they can easily suggest the perfect lender for your business. Business financial brokers send your proposal to the lenders, and once the lender approves it, that lender will take care of your financial needs. Few business loan brokers will charge fees from the broker, while others work on the percentages they get from the lender. But, the question is: do you need a business loan broker? Continue reading to discover the same as we unfold the nuances of this professional service. How Can a Business Loan Broker Help You? Before you know if you need a business loan broker, it is imperative to know how a business loan broker can help you: A business loan broker can help you understand the complete process of a business loan. The person can also help you find the best interest rates in the market. The person can also help you get faster funding and more time for your newly established business. Your chances of getting loan approval are high due to the experience of a loan broker in the industry and solid industrial ties. A business loan broker can negotiate with the lender to get the best loan offer according to your needs. Types of Business Loan Brokers There are mainly three types of business loan brokers: Commercial loan brokers: They assist in multiple types of loans. They can offer you a variety of options from which to choose. Start-up loan brokers: If you are struggling to get financial support for your start-up, these brokers are best for you. They work specifically with lenders who do not require a particular time in business to lend the money. Equipment financing broker: If you want to take money by collateralizing the equipment in exchange for the money, these brokers can help you. How Do I Find a Business Loan Broker? You can choose a business finance broker according to your needs. You can do so using online platforms. You can look at ratings and reviews about the business loan broker to determine its legitimacy. You can also get a good business loan broker through the referrals of your fellow business owners. You can also contact the local business organisation in your area to get a reputable business broker. But these are time-consuming ways and require you to do extensive research. Piramal can provide you with the best business loan brokers in the market with just a few clicks. You can visit our website to explore your options. How Do I Choose a Business Loan Broker? To choose a business loan broker that can assist in getting financial support from the appropriate lender for your business, you must: Know the number of lenders the particular loan broker partners with. Know their experience in the industry, as more experienced brokers can get you your desired lender with minimal effort. Choose according to the time you can give a business loan broker based on your commitments and needs. Do You Need a Business Loan Broker? It would be best if you chose a business loan broker: If you want to find the best lender without investing much time in research, or if you are a start-up or have a low credit score and are having difficulty finding the desired lender, you should seek the assistance of an intermediator. If you are unsure which lender will be best for you or want to know inside details like processing time and criteria based on which lenders work, you must opt for a business loan broker. If you are applying for a business loan for the first time and want to save the time required to know the application submission process, in that case, a business loan broker can help. You can hire a business loan broker if you need to fast-track your loan process. You can visit the Piramal Finance website and explore various options there as well. Business Loan Broker Alternatives You might have a bad experience with business loan brokers in your region. So, is there an alternative? Small business owners who can handle their business loan application alone might not need a broker. These businessmen can use a business loan marketplace to compare different lenders. However, if you use this method to obtain a business loan, you may require more personal guidance and will most likely miss out on the best offers. You can also reach out to lenders on your own, but in this case, you must have good credit and a solid financial background. That is rare for small-scale business owners; hence, you require a business loan broker. Be Aware!! Now you know whether you need a business loan broker and how to find one. You should also be aware of the following precautions while choosing the loan broker for your business: Some business loan brokers favour a specific lender based on the commission they get. This can cause a conflict of interest that can harm your business. Some business loan brokers charge higher fees, and you need to do market research to find the cheapest and best broker, which might be time-consuming. Hence, always choose business loan brokers from trusted financial partners and websites. [B-02] Key Takeaway Choosing a business loan broker can give you a competitive edge in the dynamic market. You can meet your financial needs faster and make the best decisions for your business. You can also negotiate with the lender regarding loan terms. But all this is possible if you choose an authentic and genuine intermediary for your business loan. If you want to know more about business loan brokers or consult a financial expert, visit the Piramal Finance website.
08-11-2023
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Personal Loan

Step by step process to get instant personal loan easily?

Are you looking for a personal loan to solve a financial crunch? If yes, then you are in the right place. If you need money urgently and do not have the time for lengthy approval procedures, then Piramal Finance has something to offer you. Understanding your immediate need, we disburse personal loans with quick approvals. Below, we have listed down the step-by-step process to easily get an instant personal loan. Continue reading to learn more about obtaining a personal loan as soon as possible. A personal loan is a type of unsecured loan that is easily processed without many formalities. Unlike a car or home loan, where the process is lengthy, a personal loan is simple, and the bank or lending institution asks for only a few details. They also do not ask for collateral because the applicant is the collateral. They ask for only a few basic details, like that the applicant has a job and will repay the amount on time. They also check their credit history to be assured that the applicant will pay off the amount. As personal loans can now also be obtained online, the process has become quite simple for the customer. [B-01] 1. Request a Loan The first step to applying for an instant personal loan is filling out an application form with your official details. You can head to the Piramal Finance personal loan page to fill out the form in the comfort of your home and save time. Head to PiramalFinance.com and click on the Personal Loan tab. Click on ‘How to Apply’ and from there, ‘Click on here to get a call from our relationship manager’. On opening this tab, click on ‘Apply now’. Now, fill in your details in the application form and click ’Submit’. You must fill out the online form with basic information like your name, contact number, email address, address, and loan amount. For the initial stage, you only need to give these details; the bank will ask for the rest of the details in the further documentation procedure. 2. Eligibility Once the bank receives your loan application, they will verify if you can get a personal loan. You should meet the eligibility criteria, including age, monthly income, and time left for retirement as of the present date, among other requirements. The loan applicant must be a salaried employee or a self-employed individual in the age range of 21 to 60 years. If you are an existing customer of the bank, then your details, like bank statements and the earlier loan taken, will be immediately verified by the bank. 3. Verification After you fill out the application form, the lending institution will verify your Know Your Customer (KYC) documents. You need to submit all the official documents that the bank asks for prior to the verification process. The document includes signed copies of the PAN card and Aadhar card, along with the latest bank statements and salary slips as proof of income and credit score. A bank executive will visit your home or office for this procedure at your convenience. 4. Address Confirmation To confirm your address, the bank’s executive may visit your home. If you are self-employed, the bank’s executive will visit you at your office address. You can inform the executive of your convenient time, and they will visit you accordingly. 5. Credit Score Once you have completed the verification process, the bank will check your credit score, previous repayments, salary slips, and IT returns. You also have to provide your CIBIL score, which should ideally be at least 600 points. You can check your CIBIL score on the online Personal Loan Eligibility Calculator. 6. Loan approval Once your documents are verified and you meet the eligibility criteria, the personal loan will be approved at the earliest possible date. It can be disbursed within a few days or sometimes take up to 3–5 days, depending on the time taken internally by the bank to approve documents. If your CIBIL score is above 750 points, it will act as a brownie point. 7. Loan Terms and Conditions The bank will inform you of the interest and tenure once the above steps have been completed. It will offer you a repayment tenure based on your ability to pay it off within the tenure provided by the bank. The interest rate will depend on your age, employer, credit score, number of years left in service, etc. 8. Processing Fee Once all the criteria are met, you will need to pay a processing fee for the loan disbursal. Once this procedure is complete, the loan amount will be disbursed within a few hours, it may sometimes take up to 3 to 5 working days. [B-02] Conclusion We hope this article has helped you understand the process of getting a personal loan instantly. Also, there is no limit on the amount you are allowed to borrow. You can apply for a personal loan for medical expenses, home renovation, wedding expenses, school fees, travel purposes, any leisure activity, or other reasons. Once the loan amount is approved and disbursed, it will reflect in your savings account. Also, personal loans are one of the best ways to build your credit faster when compared to other credit types. One of the best things about getting a personal loan from Piramal Finance is the ease of the process, which requires minimal documentation. With the online streamlining of processes, obtaining an instant personal loan has become even easier. Also, you can pay off the loan early if you don’t wish to pay every month till the end of your tenure. For more details, head to the personal loan section on PiramalFinance.com.
08-11-2023
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Business Loan

Here are some small business loan mistakes that can cost you money in 2022

Sufficient investment capital is the most important prerequisite for successfully starting and establishing a business. The cost of starting a small business can easily run into six figures, and that is the total amount you will spend before you even open your doors. Lenders have certain requirements, such as the age of the applicant, business experience, annual turnover, etc., that must be met for a small business loan. It can be difficult for most business owners to know where to start when there are so many options for small business loans. The risks associated with lending are also numerous. It can be expensive to choose the incorrect lender, the incorrect loan, or even the incorrect use of your funding. Here is a list of mistakes to avoid to increase your chances of getting your small business loan application approved if you’re concerned about it being denied. [B-01] Common Mistakes to Avoid When Applying for a Small Business Loan Not having a sound business planAny lender will want to know the business owner’s vision when they apply for a small business loan. Small businesses frequently lack a formal business plan or even any kind of plan at all, but you must still invest the time and effort to create one before visiting a lender’s office. An outline of your business, market, products, and finances can be found in most business plans. Consider getting the opinion of a business plan expert who can review it and provide feedback if you’re unsure that your plan will persuade the lender. Also, be prepared to describe how you intend to use the money you wish to borrow. Loan applicants must at the very least be able to justify their need for a loan and their repayment strategy. Not having a good credit historyOne of the resources lenders employ to assess a borrower’s reliability is a credit report. You might not be approved for a loan if your credit report indicates that you have not been diligent in the past about repaying debts. If your credit score is below 700, it can be challenging to get approved for a small business loan. To start, make sure the credit scores for both your personal and business accounts are accurate. Before submitting your loan application, fix any mistakes you find. Due to the higher perceived risk, lenders may decline an applicant with a low credit score. Therefore, maintaining a high credit score through responsible financial behaviour always pays off. Numerous loan applicationsApplying for another loan makes no sense if one already has some loans in progress. Too many loans open at once can stifle cash flows and raise an alarm for lenders. Lenders may also interpret it as evidence that a person is unable to control business expenses with available cash flow. So, limit your borrowing and only borrow when necessary. Lack of supporting evidenceA business loan application typically calls for the submission of KYC, address, income, and establishment-related documents. The best course of action is to have all of these documents on hand so that there is no need to waste time looking for them at the last minute.The lender might think that the applicant is hiding something or isn’t fully complying with the requirements if they receive insufficient documentation. It might result in a holdup in the loan’s processing or outright rejection. Not doing any researchIt’s a mistake to pursue one loan provider blindly without looking at your other options. Spend some time investigating a range of conventional and non-traditional lenders to determine which one is the best fit for your company.Some businesses that apply for loans from affiliated financial institutions will also receive federal support from the SBA (Small Business Administration). This could be a good option to consider for small business loans. Failing to read the fine printWhile lenders prominently highlight the key benefits of a loan, many other details are disclosed in the small print. Before applying for a loan, you should take the time to read the fine print and comprehend all the costs, fees, foreclosure restrictions, and even late payment penalties. This will ensure that there are no unforeseen fees down the road. SBA Loans Small business owners prefer SBA loans because of their low rates and lengthy terms. A federal government organisation called the Small Business Administration (SBA) provides capital, contracting, and counselling to small businesses. The SBA’s loan program, which provides small businesses with guaranteed financing through participating lenders, is one of the main ways it accomplishes this. Direct SBA loans to small businesses are not available. Instead, it sets guidelines for loans made by its partners. These include financial institutions such as banks and credit unions, as well as non-profit organisations that support community development and small business lending. Compared to conventional loans, SBA loans usually have lower interest rates and longer terms. An SBA loan is easier for a small business to obtain than a conventional loan, but you must submit extensive financial documentation as part of the application process. The type of SBA loan you apply for determines how much you can borrow. You need to have a thorough understanding of all your funding options as a new small business owner. When all other options have been exhausted, it might be time to look into SBA loans. [B-02] Bottomline No matter what kind of small business loan you require or how much cash you must borrow, be certain that you are completely familiar with the financial situation of your business. A well-considered and wisely applied loan can catapult your company into a growth trajectory. You cannot make thoughtful lending decisions unless you have a complete understanding of your small business’s financial situation. Your financial journey will go smoothly if you borrow responsibly, spend sensibly, and repay on time. Visit the Piramal Finance website or click here to read more thought-provoking articles or if you need assistance with loans of any kind.
08-11-2023
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Personal Loan

Know The Personal Loan Interest Rates In 2023

Have you ever wondered why interest rates on personal loans change from time to time? The level of interest rates is a factor in the supply and demand for loans. An increase in demand for loans raises interest rates, while a decrease in demand for loans lowers interest rates. Conversely, an increase in the supply of loans will lower interest rates, and a decrease in the supply of loans will raise interest rates. [B-01] The rate of interest for personal loans will continue to remain stable in 2023. However, your loan eligibility and CIBIL score will play a major role in determining the interest rate. The interest rate on personal loans can vary depending on the lender, your creditworthiness, and the size and term of the loan. The rate of interest for a personal loan will also depend on your credit score. The higher your score, the lower your rate is likely to be. If you’re planning to take out a personal loan in 2023, it’s important to compare rates from multiple lenders before deciding which one is right for you. So it’s always important to keep an eye on it and make sure you’re getting the best deal possible. Personal Loan A personal loan is also known as a debt consolidation loan, signature loan, or unsecured loan. It gives you a lot of flexibility in how you can use them. Personal loans are often unsecured, so you don’t typically need collateral to get them. The rate of interest for personal loans in India varies from bank to bank. The interest rate also depends on the purpose of the loan, the tenure of the loan, and the repayment capacity of the borrower. However, before you apply for a personal loan, you must compare the rate of interest for the personal loan provided by the lending institutions, which ranges from 8.75% p.a. to 49.5% p.a. How to find the best rates on Personal Loans When you are looking for a personal loan, these are a few tips you can follow to ensure you get the best rates: Keep your CIBIL score as high as possible. This is a credit score that lenders use to determine your creditworthiness. The higher it is, the more likely you are to get approved for a loan and get better interest rates. Example: The CIBIL score required for an SBI personal loan is above 750. Compare interest rates from different lenders. Be sure to compare not just the interest rate but also other factors like processing fees and repayment terms. Try to apply for a loan during the holiday season, when they provide special offers on personal loan interest rates. Get a personal loan from a financial institution where you already have an account to enjoy some exclusive discounts on interest rates. Make sure you opt for a lending institution where you can take advantage of the longest loan tenure with the lowest EMI. Finally, try to get a loan with the lowest rate of interest for your personal loan. What factors influence the lowest interest rates on Personal Loans? Income Your income is the deciding factor in your application for a personal loan. The higher your income, the better your chances of getting a lower rate of interest on a personal loan. The lending institutions must determine your ability to repay the loan amount. The institutions must have trust to sanction your loan, which can happen only if your income is above a certain minimum. Repo rates Low repo rates also lead to a lower rate of interest for a personal loan. This is the rate at which lenders borrow money from the RBI; thus, it directly affects the personal loan rate offered to you. Economic and market factors The economic climate and other market factors like inflation, recessions, and more can all affect the cost of your loan. Lenders offer a higher rate of interest for a personal loan when there is inflation, rather than lower rates during a recession. The loan amount How much of a personal loan you want is also important. This is because the lender takes your desired loan amount into account when setting the rate of interest for the personal loan. The reason is simple: the larger the loan amount you ask for, the more risk your lender takes on your repayment. Credit Score Lenders consider a credit score of 750 or more to be “healthy,” and if you have a low credit score, your application for a personal loan may not be granted. The rate of interest for a personal loan is also influenced by your credit score. The higher your score, the lower your rate is likely to be. The reputation of your company Your rate of interest for a personal loan will be lower if your company is well-known and reliable. Banks believe that employees of reputable companies have steady careers, which makes them more responsible for repaying the debt. History of repayment You will benefit from a lower rate of interest for personal loans if you have a solid payback record. Lenders are willing to provide you with a lower interest rate when they notice that you have been consistent with your repayments. [B-02] Conclusion If you’re looking for a personal loan, it’s important to compare rates from multiple lenders to ensure you’re getting the best deal. Be sure to also consider other factors, such as loan terms and fees. And remember, even a small difference in the rate of interest for personal loans can add up over time, so it’s worth taking the time to find the best deal. If you want to learn more about personal loans and their expected rate of interest in 2023, consult with an expert at Piramal Finance.
08-11-2023
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Personal Loan

How Can Personal Loan Help To Fund Your Vacation Trips?

We have all seen the travel industry go through a phase of disruption during the two years of COVID. The COVID-19 pandemic ruined the whole world and caused an immense loss of life. With the new normal like work-from-home and lockdowns taking a front seat, many of us were forced to stay inside our houses for a long period. For travel addicts, this time of life was the most turbulent, as they had to restrict their intuition. [B-01] You can now begin planning your vacations with a personal loan for travel. Now that troubles have lessened, spending some time with family and friends can help you reestablish mental peace in your life. But many times, travel plans go unplanned and can take place voluntarily, giving you no time to schedule finances for flight tickets, shopping, hotel bookings, and other travel-related expenses. This is where a loan for travel can be helpful. This is also called a personal loan for travel. Such loans are meant to assist you in meeting every kind of travel-related expense without any trouble. You can also make use of a personal loan for travel to finance your holiday expenses. You can request a personal loan for travel with a registered bank or a non-banking financial corporation (NBFC). Mentioned below are some key reasons why a personal loan for travel can help you fund your vacation trips: It can be used for any purpose.You may experience different types of expenses while planning your holiday trips. These may contain hotel arrangements, booking flight tickets, transportation amounts for travelling from one place to another, and shelling out expenses for activities such as adventure sports, eating, shopping, sightseeing, etc.You may also incur unforeseen financial indebtedness due to an emergency during your vacation. For instance, a member of your family gets injured or gets ill; you lose your baggage or passport, etc.With a personal loan for travel, you can carry out all these expenses without any trouble. Personal loans are multifunction loans with no limitation on their end use. After your loan has been approved, a lender will never ask you how you’re going to use your loan amount. Repayment of the amount in easy EMIs.You can repay your loan like any other loan amount with the help of easily arranged Equated Monthly Instalments (EMIs). Through this, you can plan your holiday trip and enjoy it without having to feel the burden of any additional finances. Furthermore, you do not need to break your savings or dissolve your investments. You can earn and simultaneously pay your EMIs each month.The EMI amount you require to pay for your loan for travel depends on multiple factors, including your loan amount, period, and interest rate. So, it is important to choose a personal loan for travel that is both convenient and offers a low EMI.If you do not wish to pay your EMIs after a certain period, you can exclude your loan account by paying the remaining balance amount. Nevertheless, on this foreclosure, your lender might charge you a minimal excluding charge if you want a pre-closure of your loan account before your tenure ends. You can opt for your repayment period based on your repayment capability.One of the other benefits of opting for a personal loan for travel is that it comes with an adaptable tenure. You have the choice to select the tenure of your loan for travel as per your ability to repay. Usually, personal loan terms range between 12 and 60 months. If your lender allows it, you can also choose a long-term loan.You need to be very cautious when choosing the term of your loan. Choosing for a too-long term may reduce the EMIs, but you need to pay interest on your loan amount at a higher rate. On the other hand, if you choose a shorter period, your EMIs will rise. So, try to maintain a balance between your loan term and EMIs. So ensure that you can simply render the EMIs and then make the decision accordingly. You don’t need to pledge any collateral.Unlike car loans or home loans, loans for travel are guarantee-free loans, which means that no dependability or guarantor is needed when applying for a personal loan. Hence, you don’t require undertaking any personal assets to certify for financing. In simple words, you need not keep anything at stake to get an amount for your holiday.However, if you adhere to the lender’s eligibility criteria and maintain a presentable credit score, you can easily apply for a personal loan for travel online and get the money in your bank account within a few minutes. Get quick access to your finances.With the help of personal loans for travel, you can get access to funds quickly since they pay out very quickly. As personal loans for travel are guarantee-free and carry minimum documentation, lenders do not take much time to grant and pay out these loans. This process makes sure that you don’t have to wait a long time to begin planning for the most anticipated holiday.Normally, lenders take no more than two to three days to pay out your loan for travel. Applying for a personal loan for travel online can get you approved within minutes. A pre-authorized loan for travel is paid out immediately into the borrower’s bank account. Lower interest rates and processing fees.Interest rates are of the utmost importance whenever you are applying for a personal loan. Hence, it’s preferable to get a personal loan for travel to finance your holiday rather than using a credit card with a higher interest rate that places an additional burden on your budget. This loan for travel comes with completely zero processing fees, making it affordable and easy on your pocket. So, decide for yourself if these benefits mentioned above are effective while taking a personal loan to fund your next vacation trip. [B-02] Conclusion If you need any kind of help concerning personal loans for travel, you can always count on consulting a reliable institution like Piramal Finance. Check out the exclusive benefits of opting for a personal loan for your travel purposes. You can consult experts out there who can assist you with your queries.
08-11-2023
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Home Loan

Closing your Home Loan? Ensure these tasks are done

Paying off your home loan and becoming a proud homeowner can be an overwhelming experience. While one feels relieved of not having to pay your home loan EMIs anymore, one needs to understand the process to close a home loan. A home loan isn’t closed until your lender shares a letter confirming that it closed from its end. Here’s a list of things one needs to tick off to make sure the home loan is closed and avoid any problems in the future. Let’s take a look: [B-01] Getting together all the original documents. First, make sure you have all of the original documents you gave to the lender when you’re home loan was processed. Some of these papers are: ● Sale Deed ● Deed Loan Agreement ● Power of Attorney Also, make sure that the documents are in good shape when you receive them. You must also check that all the pages of the agreements are intact and none of the pages is missing. If a document is missing, you should ask your lender for it. Getting the “No Dues” Certificate A “No Dues Certificate” is one of the most important documents, which is issued by the lender and needs to be collected after paying off a loan. A No-Dues Certificate says that you have paid all of your debts. The lender does not have any rights on the property anymore. The NDC must include information like: ● address of the property ● names of the customers ● loan account number ● loan amount ● dates when the loan started and when it ended. It is recommended that you make copies of the NDC to make sure that things go smoothly in the future. NDC is required at a time when one wishes to sell off the property. Removal of a Lien on the Property A lien gives the lender the right to your property until all of the debt has been paid. Liens also keep you from selling the property. Removing liens is an important part of the home loan closing process. To complete this task, you will need to go to a registrar’s office with an employee. bureau metre Once a home loan is paid off, apply for the updated non-encumbrance certificate. A non-encumbrance certificate is a legal document that has detailed records of all financial transactions, which happened with the property. The non-encumbrance certificate must show that the home loan is paid off. Changes to credit scores After you pay off a loan, your credit report needs to change. It takes about 20 to 30 days for a borrower’s credit score to get updated. Make sure you get a credit report and talk to your lender if your credit score isn’t updated. Getting Bank Statements for Paying Back a Loan To avoid problems in the future, it is important to get all loan payment statements from the bank. Keep in mind that if you don’t get all of the statements from the bank after paying back the loan, the loan is not over yet. Getting all the checks with dates from the past When applying for a house loan, most banks ask for post-dated checks in case any monthly EMIs are missed. If you haven’t missed any EMIs, collect the post-dated checks from the bank once the loan is paid off. Advice for people who want to take a loan The process of closing a Home loan is as important as any other part of a home loan. Therefore, make sure all of the above steps are followed while a home loan is closed. How to close your account when your home loan is paid off 1. Write a letter to the bank and ask them to send back the original documents you gave them when you got the home loan. 2. If you need copies of invoices, include them in the letter. 3. The bank should respond within 7 business days. 4. The lender will give you back your original documents and send you a letter saying there are no more payments to be made. 5. The bank will also give you a NOC that says it no longer has the right to your property. 6. If the bank has put a lien on your property. you will need to go to the registrar’s office with the NOC and a bank representative to get it removed. 7. If the bank hasn’t put a lien on your property, it will return the title deeds right away. [B-02] Conclusion Even though paying off a home loan gives you a sense of relief and financial security, it is important to finish all of the paperwork and procedures with your bank meticulously. Don’t forget that your loan isn’t over until your bank sends you a NOC letter.
08-11-2023
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Home Loan

Everything you need to know about home loan & loan against property

Home loans are one of the simplest forms of loans. In these loans, you get a secured loan to purchase a property which is also kept as its collateral. With Piramal Finance, these loans are one of the most sought loans throughout the market. Although, they require heavy due diligence from customers as well as the lender’s side. Home loans are repaid through the mechanism of EMI and after the repayment of the loan, the title of the property is transferred back to the borrower. In-home loans, the lender has the right to recover the amount from that property. A loan against property is a type of loan that is secured by pledging an owned asset as collateral. This asset can be anything like owned land, a home, or any other residential or commercial property. One of the important things about this type of loan is that you can only secure a loan against a property when you own the title to the pledged asset. The asset remains as collateral with the lender till the amount is paid back to the lender. The interest rates in this type of loan are quite low compared to unsecured loans. The reason for that is the lender has the option to encash the collateral property in case the loan is not paid back. [B-01] Types of home loans Piramal finance offers one of the widest ranges of loans to its customers. There are several unique and highly economical loans that we offer to our clients. Top-up home loan – These are the types of loans that allow you to borrow an additional amount over and above your initial home loan. Joint home loan – In this type of home loan, there are two or more people who take equal responsibility for the loan. They share the fund as well as the burden of the home loan. Home purchase loan – One of the most common types of home loan that is taken to purchase a home. Land purchase loan – This is a loan that is taken to buy land and construct a home on it. It allows you to have additional funds at your disposal in case land prices go higher than expected. Home improvement loan – You can secure this loan in case you want to renovate your house. This type of loan is a usually small amount of funds as compared to an actual home loan. The interest rates may differ from the home loans because of the magnitude of the fund. Home construction loan – This loan is secured to construct a home. You can use these funds to build the house of your dreams. Advantages of a Home Loan Tax benefits – One of the primary advantages of a home loan is that you can avail of tax advantages on the interest and the principal amount. You can check the income tax rules or you can ask your accountant or CA what advantages are available to you regarding home loans. Low-interest rates – Piramal charges one of the lowest interest rates on home loans in the market. We are one of the best options to go for in the market, in case, you ever face a shortage of funds or cash. Also, if you face a crunch despite taking a loan, then we can offer your a top-up loan as well. Due Diligence of the property – When you purchase a property through the lender, then the lender conducts its due diligence on the property. Piramal Finance has a dedicated department for the same. We will complete all the checks required for a smooth purchase of the property. Long terms – Home loans can be secure for the long term. The tenure of the repayment goes up to 25-30 years. Piramal finance ensures that you don’t get into a heavy burden because of the shorter duration of loans. We analyze your income and then suggest to you the loans you should go for. Types of Loans Against Property Based on the type of property: Loan against Commercial Property – In this type of loan against the property, you have the option to get a mortgage loan for your commercial property, be it an office space or an industrial unit. This property can be used to obtain funds against its present market value Loan against Residential Property – In this type of loan against property you can secure the funding by keeping your residential property as collateral. You can keep your own home or a house that you own but may not reside in. The market value of a property plays important role in deciding the amount that you can secure as a loan. Lease Rental Discounting – This is one of the modern forms of loan against the property wherein you put a property that you have leased as collateral. Then secure the loan against it. Based on usage: You can also secure loans against property depending upon the reason why you require those loans. The reason may be higher education (LAP for education), wedding expenses (LAP for wedding) etc. You can secure a loan against property for any of these personal reasons and the lender will grant you schemes accordingly. [B-02] Conclusion The advantages of loans against property are similar to the advantages of home loans. These loans generally take very low-interest rates and they can be secured for a very long term. Loans against property and home loans are loans that are much better options than any other loans available in the market. The reason for that is they give you a large amount of finance in a fast manner and without putting additional burden on your pocket. Also, these loans are flexible in terms of transfer and top-ups. Thus, you can always shift to other suppliers or get a top-up over your primary amount in case any additional expense arises. Plus, the loans that Piramal finance offers are one of the most competitive home loans and loans against property in the market. We believe in helping our customers achieve their dreams and thus we only offer the best to them.
08-11-2023
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