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Personal Loan

Insights to Getting the Best Personal Loan Interest Rate

A personal loan is your way to go to accomplish your personal needs. Be it buying a house, financing a marriage, planning a foreign trip, or making a down payment, a personal loan is the best fit. You can meet your requirements and at the same time pay the debt in equitable instalments. It doesn’t cause any financial distress and helps you in making smart financial choices. But, what bothers most people is the personal loan interest rate that they are charged. Sometimes interest rates can be high and paying them every month can be stressful. Interest rates vary from bank to bank. They depend on a lot of factors like the current market scenario, your credit score, loan history, etc. [B-01] This article is a complete dedication to letting you know more about personal loans, their features and benefits, and the right strategy to get the best personal loan interest rates. Personal loan: Meaning and significance A personal loan is a type of loan that helps you to cover your requirements like buying a house, making a down payment, or financing your child’s higher education. The lender in return charges you with a personal loan interest rate for a set period. You are bound to repay the loan within that period. Different banks charge different interest rates. They depend on your credentials and the current market trend. You can apply for a personal loan both in online and offline mode, depending on your preference. In online mode, the approval period and the disbursal period is less as compared to the offline mode. You also have the freedom to choose the type of loan, the loan amount, and the mode of repayment according to your suitability. As you have a rough knowledge of personal loans, let’s now find out some of their benefits. Here are some of the striking features and benefits of choosing a personal loan: Approval period: Banks approve the loan within a short period to minimise complications and delays. The period of approval for a personal loan is less than three days in most cases. However, the period can even be reduced if you have a good credit score and a healthy loan history. The approval period in online mode is quite fast as compared to the offline mode. Rate of interest: Banks often charge you a low rate of interest to make sure that you can easily repay the loan amount without any hassle. Personal loan interest rates also vary from bank to bank. They are dependent on your loan history and track record. In India, most banks charge an interest rate of about 8 per cent to 25 per cent per annum for a personal loan. Tenure of repayment: The tenure of repayment is also reasonable. It gives you ample time to manage your finances. It varies from bank to bank. It is somewhere between the range of 12 months to 84 months. The average period to repay the loan will be 12 months to 60 months, but some banks extend this period to 84 months. Collateral: Since personal loans are also called unsecured loans, there is no requirement for collateral or any form of security deposit. Banks don’t ask you for a guarantee. This feature suits those who don’t have property, shares, or any assets to pledge to get a loan. Processing fees: Some banks charge a processing fee in addition to the personal loan interest rate. However, the processing fee is minimal in most cases to decrease your financial distress, whereas some banks don’t even charge a single penny for processing fees. What are some ways to get the best personal loan interest rates? There are multiple ways through which you can get the best personal loan rate of interest and they are: Comparing different interest rates: Besides checking for what interest rates your bank provides, check for different personal loan interest rates provided by other lending institutions. Even if you are satisfied with what your bank charges, you must look for all offers available in the market. You should compare all the interest rates to get a rough knowledge of the market and then assess the best for you. You can also use a personal loan interest calculator to calculate different offers and see what suits you the best. Improving your credit score: A credit score plays a massive role in deciding your personal loan interest rate, your loan amount, and the loan tenure. So, if you have a good credit score, it builds a sense of trust between you and your lender. It also helps you get an appealing offer. Knowing about different interest rates: There are two very popular types of personal loan interest rates: Fixed interest rate Floating interest rate A fixed interest rate is one in which the interest rate is rigid throughout the tenure. It is calculated directly on your principal amount. But, in a floating rate of interest, the interest rates keep varying according to the market rates. If you are uncomfortable with the personal loan interest rate charges by your lender and you predict that the interest rate is going to decrease in the coming period, you can switch to a floating rate of interest. But, if you are comfortable with what you are paying, you can prefer a fixed rate. [B-02] Wrapping it up: The rate of interest is a key factor according to which you decide whether or not you are going to go for the loan. A personal loan interest rate is a dynamic subject, so one needs to understand the way it is determined. You have to make sure that you compare different offers, clear your loan records, and improve your credit score to get a better interest rate. In case you loved this article and you want to read more on personal loans, financing goals, and investment schemes, you can click on Piramal Finance.

08-11-2023
Calculator

How Is a Gratuity Calculated Online?

If you work as an employee, you must be thinking about your right to gratuities. You might have heard about it, but you want to be sure you understand what it implies or how much you can expect to earn as a worker. The gratuity rule is covered in this post, along with how it affects you as an employee. Keep reading this to get a better understanding of this topic. This will enhance your knowledge. It will help you learn a lot. This is an important topic that benefits people all over the world. [B-01] Things you need to know about the gratuity rule Only those employees can claim for a gratuity rule who have completed five or more years of service. When you retire or quit your job after at least five years of service, you can become a gratuity claimant. Claiming the gratuity is interpreted as the conclusion of your employment with the employer. A gratuity payment can only be sanctioned for an employee after the completion of a minimum of five years of service. If the amount exceeds INR 50 lakh, it may be subject to taxation as mentioned under Section 32(C) of the Income Tax Act, 1961. The gratuity amount is given as the last drawn salary multiplied by the years of service completed. This is a very simple way to calculate the same. Employers pay it to employees on retirement or when they leave jobs. The amount increases only if there are exceptional circumstances, such as a casualty or death of the employee due to an accident. In the case of retirement, the maximum limit that is prescribed under the law is about INR 2,00,000 before one month’s notice. This is applicable for retirements on grounds of age and voluntary retirement. Tax benefits associated with gratuity The income tax that one can save from this goes up to 20%. With recent modifications to Section 10, gratuity is tax-free up to Rs. 20 lakh (10). It is a one-time cash payment made to the worker upon retirement. It is a tax-free amount paid by the company, not the employee. Statutory gratuities are the only payments free from income taxes. According to the Income Tax Act of 1961, which exempts them from income tax, a gratuity is a sum of money provided by an employer to a worker in honour of their achievements. The annual gratuity is calculated based on your age at the time of retirement, or at the time of leaving the job. Calculation Your gratuity amount depends on: Last drawn salary 15/26 of the last drawn salary (for conductors) or 15/30 of the last drawn salary (for non-conductors). This can also come down to 50% if there has been a long illness, maternity leave, or other circumstances. If you have worked for the same employer for more than ten years and have not received any other benefits, your gratuity will be reduced. Like medical reimbursement, you may get monetary relief instead of a pension plan, depending on your position within that organization. The formula for gratuity calculation: Last Drawn Salary 15/30 Number of Completed Years Terms associated: Last drawn salary: The average of the last ten months’ salary 15/30: The ratio of gratuity to last drawn salary Number of completed years (NWC): The number of years you have worked in the company divided by 16 Gratuity Rules 2021 The gratuity rules 2021 came into implementation on 1 April 2021. There have been changes since then. Under the new provisions stated in the gratuity rules 2021, these items are excluded from the salary of the employer: Bonus, pension, PF contributions, transportation allowance, HRA, overtime, and gratuity. After the implementation of the new labour law and the gratuity rule, the new compensation structure will have to undergo certain modifications in the future. Employees’ in-hand pay is also going to be reduced due to all these new laws coming into effect. There will be significant deductions for social security programs. Due to the new law’s restriction, an employee’s allowances cannot exceed 50% of their base pay. According to the new gratuity rule 2021, employers must raise employees’ basic salaries by 50%. By limiting the allowance to 50% of the total salary, the employer will also pay more in staff gratuities. These benefits are given to employees who have been with the business for more than five years. Employees will receive more benefits than before upon retirement as a result. Retirees should know their gratuity entitlement under the law The gratuity law applies to all employees. Regardless of age or service length. All the employees who have completed five years of service under the same employer will get an extra month’s gratuity with their salary every year. The gratuity amount is the last drawn salary multiplied by the years completed in service (i.e., INR 80,000 x 6 = INR 480,000). [B-02] Conclusion Gratuity entitlement is a critical topic in India. And we must be well informed about the gratuity rules and schemes to make informed decisions about our future. As mentioned above, certain items like bonuses, PF contributions, overtime, etc. are excluded from the salary of the employers. The gratuity rule 2021 is also going to negatively influence the in-hand salary of the employees. Moreover, all the employees will also get the benefit of a month’s extra gratuity with their salary every year. If you want to know more about gratuity rules and different investment schemes and loan options, you should visit Piramal Finance.

08-11-2023
Guide

History of IPL (Indian Premier League)

Start of IPL The Indian Premier League, popularly known as IPL, is a professional Twenty20 cricket league in India that was founded in 2008 by the Board of Control for Cricket in India (BCCI). The IPL has become one of the most popular and lucrative cricket leagues in the world, attracting top players from all over the globe. The inaugural season of the IPL was held in 2008, with eight teams representing different cities in India. The teams were owned by various investors, including Bollywood stars, businessmen, and industrialists. The first IPL match was played on April 18, 2008, between Kolkata Knight Riders, owned by Bollywood Superstar Shahrukh Khan, and Royal Challengers Bangalore at the Chinnaswamy Stadium in Bangalore. The tournament was a huge success, drawing large crowds and generating significant revenue. IPL Over The Years: Over the years, the IPL has evolved into a major sporting event that millions of people worldwide watch. The league has expanded and now has 10 teams. The tournament is played over a period of approximately two months. The teams compete in a round-robin format followed by playoffs, culminating in the IPL final. The IPL has also been a platform for emerging cricket talent in India. Several young players have used the IPL as a springboard to launch their careers, and some have represented the Indian national team. The league has also attracted top international players, such as Chris Gayle, AB de Villiers, and David Warner, Pat Cummins among others. IPL Controversy: However, the IPL has not been without controversy. In 2013, the league was hit by a match-fixing scandal that suspended several players and team officials. The BCCI has since taken measures to tighten its control over the league and prevent any further such incidents. Contribution of IPL for T20 Cricket: Despite the challenges, the IPL remains one of the world’s most watched and celebrated cricket leagues. The league promoted T20 cricket all over the world and helped in enhancing audience engagement in this fast-paced and newly formed format of cricket. The league has been a game-changer in terms of the commercialization of cricket, and it has created a platform for cricket players to showcase their skills and earn lucrative contracts. With each passing season, the IPL continues to push the boundaries of what is possible in the world of cricket, and it remains an important part of India’s sporting landscape. Which Team won the Maximum IPL Titles? Mumbai Indians (MI) and Chennai Super Kings (CSK) have won the maximum number of IPL trophies to date. They have 5 titles in their bag. Which individual Player won the most IPL Titles? Current Mumbai Indians captain Rohit Sharma has won the most significant number of IPL titles to date. He has won 5 titles with his present team MI, and prior to that, he also bagged one title with his previous team Deccan Chargers. IPL Winners to date: Rajasthan Royals are the first-ever winner of the IPL, and Kolkata Knight Riders are the latest addition to the list y wiining IPL trophy for 3rd time in 2024. Let’s have an overview of IPL Winners to date from 2008: Year Winner Runner Up Venue Number of teams Player of the Match 2024 Kolkata Knight Riders Sunrisers Hyderabad Chennai 10 Mitchell Starc 2023 Chennai Super Kings Gujarat Titans Ahmedabad 10 Devon Conway 2022 Gujarat Titans Rajasthan Royals Ahmedabad 10 — 2021 Chennai Super Kings Kolkata Knight Riders Dubai 8 Faf du Plessis 2020 Mumbai Indians Delhi Capitals Dubai 8 Trent Boult 2019 Mumbai Indians Chennai Super Kings Hyderabad 8 Jasprit Bumrah 2018 Chennai Super Kings Sunrisers Hyderabad Mumbai 8 Shane Watson 2017 Mumbai Indians Rising Pune Supergiants Hyderabad 8 Krunal Pandya 2016 Sunrisers Hyderabad Royal Challengers Bangalore Bangalore 8 Ben Cutting 2015 Mumbai Indians Chennai Super Kings Kolkata 8 Rohit Sharma 2014 Kolkata Knight Riders Kings XI Punjab Bangalore 8 Manish Pandey 2013 Mumbai Indians Chennai Super Kings Kolkata 9 Kieron Pollard 2012 Kolkata Knight Riders Chennai Super Kings Chennai 9 Manvinder Bisla 2011 Chennai Super Kings Royal Challengers Bangalore Chennai 10 Murali Vijay 2010 Chennai Super Kings Mumbai Indians Mumbai 8 Suresh Raina 2009 Deccan Chargers Royal Challengers Bangalore Johhanesburg 8 Anil Kumble 2008 Rajasthan Royals Chennai Super Kings Mumbai 8 Yusuf Pathan IPL 2025 Overview The IPL 2025 season will begin on March 22, 2025, with the opening match between Kolkata Knight Riders and Royal Challengers Bengaluru at Eden Gardens, Kolkata. As per the IPL schedule 2025, a total of 74 matches will be played across 13 venues in India, featuring intense competition among 10 teams. The tournament will conclude with the final on May 25, 2025, also at Eden Gardens. Fans can look forward to thrilling matches, star performances, and exciting rivalries as teams battle for the prestigious IPL trophy.

08-11-2023
Guide

Which SIP is the Best for Rs. 1000 Per Month?

SIPs are excellent for investing in markets as they provide a small budget and high profits. These schemes pool the funds from many investors and use the money to buy stock. Depending on your risk appetite and investing goals, you can start investing with just Rs. 1000 monthly. This article will look at the best SIP to invest in for Rs. 1000. So, let’s get started! [B-01] What is the the Best SIP to Invest in with Rs. 1000 Per Month? Nippon India Value Fund for SIP Nippon India Value Fund is the top contender for the best SIP to invest in. It aims to give investors stable returns and financial growth. The fund’s holdings comprise value equities across various sectors and market caps. Its portfolio includes healthcare, technology, consumer services, and financial investments. The fund’s information ratio is the highest of any comparable offering. The information ratio is a metric used to evaluate a portfolio manager’s performance. It has shown very positive returns over time, outperforming inflation. Fund Details Smallest SIP Amount: Rs. 500 Smallest Lump Sum: Rs. 500 3-Year Return: 22.47% 5-Year Return: 13.55% Expense Ratio: 1.98% Benchmark: IISL Nifty 500 TR INR Risk Level: Very High Risk AMC: Nippon Mutual Funds Franklin India Feeder Franklin US Opportunities Fund for SIP Franklin India Feeder Franklin US Opportunities Fund is an international FOF (Fund of Funds). It is among the top 5 best SIP to invest in. A broad range of market capitalizations and economic sectors are targeted for investment. Indian investors may access the US market by purchasing shares in the fund. These funds are best for long-term investments. This fund stands out with the highest AUM (assets under management) among its competitors. If you look at the fund’s performance over time, you can see that it has done well. The fund outperformed its category average by the largest margin throughout the quarter. The fund offers to invest in sectors not located in India at the moment and offers geographical diversity as well. Over time, the scheme’s effectiveness has been consistent. The fund also offers competitive returns, which are higher than its benchmark. Fund Details Smallest SIP Amount: Rs. 500 Smallest Lump Sum: Rs. 5,000 3-Year Return: 20.93% 5-Year Return: 11.89% Expense Ratio: 1.56% Benchmark: Russell 3000 Growth TR USD Risk Level: Very High-Risk AMC: Franklin Mutual Funds Canara Robeco Emerging Equities Fund for SIP This fund is among the best SIP to invest in. There is a wide set of big plus mid-cap companies within the Canara Robeco Emerging Equities Fund. Compared to large-cap mutual funds, the returns from a diversified portfolio are higher. This fund starts at the bottom when choosing companies to invest in. This fund generates steady returns because of many factors. Fund Details Smallest SIP Amount: Rs. 500 Smallest Lump Sum: Rs. 5,000 3-Year Return: 22.35% 5-Year Return: 14.12% Expense Ratio: 1.84% Benchmark: IISL Nifty Largecap 250 TR INR Risk Level: Very High Risk AMC: Canara Robeco Mutual Funds Canara Robeco Bluechip Equity Fund for SIP The Canara Bluechip Fund’s investments are in large-cap firms for short and long-term returns. This fund is best suited for long-term investors. This fund has produced above-inflation returns during its entire twelve-year lifetime. The fund’s AUM is in the top 10 in its peer group. Fund Details Smallest SIP Amount: Rs. 1,000 Smallest Lump Sum: Rs. 5,000 3-Year Return: 18.93% 5-Year Return: 15.99% Expense Ratio: 1.90% Benchmark: S&P BSE 100 India TR INR Risk Level: Very High Risk AMC: Canara Robeco Mutual Funds Nippon India Arbitrage Fund for SIP The Nippon India Arbitrage Fund finances potential arbitrage situations. Through cash-market and derivatives-market arbitrage, the plan seeks to make money. If you’re looking for somewhere to park your spare cash for the near future, this is the fund for you. Arbitrage funds make a profit by exploiting price differences between two different markets. This strategy buys cash assets at a discount. Then, they are sold at futures for a profit. The gain from arbitrage is equal to the price differential. Market volatility is ideal for arbitrage funds. Arbitrage funds benefit when cash and derivative markets have a discrepancy in pricing. Additionally, they generate new capital via purchases of prime liquid debt instruments. Fund Details Smallest SIP Amount: Rs. 1,000 Smallest Lump Sum: Rs. 5,000 3-Year Return: 4.66% 5-Year Return: 5.69% Expense Ratio: 1.06% Benchmark: NIFTY 50 Arbitrage TR INR Risk Level: Very High Risk AMC: Nippon Mutual Funds Factors to Consider Before Getting Started in Investing with Rs. 1000 Before choosing the best SIP to invest in with Rs. 1000, here are some factors to consider: Your Risk Appetite Investing depends on your risk tolerance and your ability to absorb financial losses. Long-term investments could be larger and more frequent if you have a higher risk profile. Investing Objectives and Time Frame If you want to earn interest on your assets and contribute, a programme requiring Rs. 1,000 in subscriptions may not suit you. Investing in various plans or contributing might be a good way to supplement your income. Scheme Performance The scheme’s performance is another crucial factor. Before giving money, ensure that a programme meets your requirements and wants. Fund House’s Reputation Before choosing the best SIP to invest in, check its legitimacy with banks and other financial organizations. Moreover, ensure the SIP offers a reasonable return on investment and has been around for a long time. Expenses When evaluating the best SIP investment, it’s important to weigh these fees. If the expense ratio is excessively high, the fund may not be worthwhile. [B-02] Parting words The best SIP to invest in has multiple points of interest. But scheme performance and expense ratio are the most important. The best part about SIPs is the possibility of investing with as little as Rs. 1000 per month. Having a low threshold for entry opens up the scope by default. Also, the best SIP to invest in is better than stocks or bonds for people who lack stable finances. Did you find this blog helpful? Take a look at Piramal Finance’s website for more such content! They also offer many products and services that you can benefit from.

08-11-2023
Know More

Everything you need to know about the importance of travel insurance

Who doesn’t like travelling? Yes, everyone! Earlier, when you are young, you would have gone on trips at least once a year. Everyone would be so eagerly waiting for the vacation. All the excitement would not just end after the vacation. You would come back from the trip, eager to share your travel experiences with your friends. As soon as you reached home, you would have probably made plans for next year’s destination too! How do I know, because I too my dear friend have been bitten by the travel bug! Have you ever wondered why you needed to take a trip? Why do your working parents get leave sanctions and are given LTC (Leave Travel Concession)? Life my friend becomes monotonous if you don’t embrace change. Travelling is also a therapy which helps you rejuvenate and stay focussed on your goals. [B-01] As you grew up, you started going on excursions organised by your school. Then you ventured out with your friends. Now probably you have taken up your parent’s role and travelling with your family! Mainly after Covid-19, the urge to travel has increased. Social distancing and home isolation have driven you to a frenzy. No wonder the rush at railway stations and airports has increased. The only positive outcome I see as the aftermath, you can now work from home. You can easily turn your vacation into a workstation and enjoy it while working! However, some safety rules are also very important to be kept in mind. Travel responsibly. While you get ready for travelling, be sure to buy travel insurance online. What is Travel Insurance? Travel Insurance is the coverage given due to any mishaps that you face while travelling. It can be either a domestic trip or an international one. Basic policies protect in case emergency medical expenses are incurred while abroad. In Comprehensive policies, insurance is provided for trip cancellation, flight delay, lost luggage and many more. Importance of Travel Insurance You might think that why should you pay an extra amount of money to buy travel insurance online? Well my dear friend, don’t let your overconfidence turn into adversity. I’m not a pessimist but that doesn’t stop me from preparing for the unforeseen. When you are travelling, you generally go to an unknown place. You are not familiar with anyone? Suppose you or your family members get sick or your flight gets delayed or your luggage gets lost. What will you do then? Don’t worry; convincing you of a happy and safe journey is my responsibility. Travel-related distress If your flight gets cancelled or delayed you are stranded at the airport. Your policy benefits ensure that you will be provided with an alternative flight as well as food and hotel costs. Trip Cancellation In case your family members become ill or there is a natural disaster, your travel plans go awry. Any financial losses will be payable. Baggage Coverage While you are travelling, there are two things that might happen to your baggage Either your bags can get delayed or they can get lost. In case you arrive at your destination and your baggage gets detained elsewhere, you will be paid for the cost of necessary items, while you wait for your bag. In case your bag gets misplaced or stolen, the cost of personal items like clothing, toiletries and medicines will be given to you. Loss of Passport Suppose by mistake you end up losing your passport. Your insurance company will reimburse the expense required to obtain a fresh or duplicate passport. Medical Emergency Have you ever fallen ill while on vacation? I hope not. If you fall sick or meet with an accident, the insurance company will reimburse the medical bills and hospitalization to some extent. Even dental treatment is covered by some companies. Hotel Extension In case of any crisis, you have no choice but to extend your stay. In that circumstance, the insurance company will pay for the extra charges at the hotel. Personal Liability In case accidental damage is inflicted on another person or property, your insurance company will handle the expenses. Assistance Your insurance company will provide 24X7 assistance. In case of any problem, please feel free to connect me for any guidance. Mandatory requirement There are certain countries, which require you to have travel insurance before permitting you a visa or visa-free passage. There are around 34 countries in which visitors should have travel insurance by compulsion. Cuba, Schengen countries, Qatar, UAE, Russia, Turkey, Egypt and Antarctica are some of them. Covid-19 coverage Especially for Covid- 19, there is particular travel insurance that also covers all these benefits. Do you know that vloggers are paid to travel to different places? Not only do they get a chance to explore a new place, but they can also make a living! Depending on your fan following on social media, you can earn a decent amount of money. Once you have established yourself, certain resorts invite you to stay and review the place. You can stay there as much as you want free of cost! Sometimes, even the resorts pay you a stipend in the hope that you promote the destination in a better way. What are you waiting for? Pick up your mobile, bag and passport (in case you want to go abroad) and you are good to go. [B-02] What if you don’t have enough money in your account? Let me solve that for you. Log into Piramal Finance personal loan webpage (https://www.piramalfinance.com/personal-loan). You can also check out their other products and services. What are you waiting for? Finance your trip and don’t forget to opt for travel insurance online. Go, travel the world and live your dreams!

08-11-2023
Other

How to Create an Amortization Table in Excel

To keep track of how much you owe on a loan or mortgage over time, you may use a table called an amortization schedule. It details the principal paid, the interest paid, and the amount left after each payment. [B-01] What is an Amortization Schedule? An amortization schedule shows how much loan principal and interest you’ve paid off. Once payment is made, the outstanding balance will reflect the amount still owed. How to Create an Amortization Schedule in Excel Follow these steps to create the amortization schedule: Create column A labels Start by opening Excel and creating a new spreadsheet for your amortization schedule. Then, fill out column A with the appropriate headings to better manage your data. After that, fill in the following information in every individual cell: Fill in A1 with the loan amount. Fill in A2 with the interest rate. Fill in A3 with the months. Fill in A4 with the payments. Fill out column B with loan details The “B” column is where you’ll want to input your loan details. Fill in the information in cells B1 through B3, and leave cell B4 blank. Ensure the number you provide for “Months” is the same as the months for the loan. If the loan is for three years, you will write “36” to indicate that there will be 36 payments. Interest rates should also be a numeric amount, such as 10.2%. Calculate payments in B4 To determine the amount to be paid in B4, select it and then put it in this formula: =ROUND(PMT(₹B₹2/12,₹B₹3,-₹B₹1,0), 2) When the formula is transferred to other cells in the spreadsheet, the dollar signs indicate that the formula is still referring to the original cells. Formulate the column headings in row 7 We will now use row 7 to enter column headings. Fill in the following headings as the cell labels: Fill in A7 with the period. Fill in B7 with the beginning balance. Fill in C7 with the payment. Fill in D7 with the principal. Fill in E7 with your interest. Fill in F7 with the cumulative principal. Fill in G7 with the cumulative interest. Fill in H7 with the ending balance. Fill in the period section Place your due dates in the “Period” section. You should enter the loan’s initial payment month and corresponding year in A8. You can format the date in various ways, by including the months, days, and years. To make a cell your active selection, click it. Now, choose all cells until A368, and hold down the control key while dragging the pointer. Select “Last Month” by clicking the little lightning bolt in the cell’s lower right corner. Fill in the information from B8 to H8 Then, enter the initial amount of the loan in B8 and the remaining balance in H8. Select C8, then enter “=₹B₹4” and hit Enter. To find out how much interest you owe at the beginning of the period, insert the following formula into cell E8: =ROUND(₹B8*(₹B₹2/12), 2). Subtract the interest from the total payment in cell C8, and enter the result in cell D8 using the following calculation. =₹C8-₹E8 Then, enter the following formula into column H8 to get the amount by which the principal payment for the specified period differs from the initial loan balance: =₹B8-₹D8 Fill in cells B9 to H9. Fill in the remaining cells in the schedule, from B9 to H9. To begin, go to cell B9 and type “=₹H8” before hitting enter. Then, paste the contents of cells C9, D9, and E9 into cells C8, D8, and E8. Then, go over to H9 and duplicate its contents there. To calculate the total amount of principal you’ve paid, apply the following formula in cell F9: =₹D9+₹F8 In cell G9, use the correct formula, which is: =₹E9+₹G8 Use the crosshairs to fill up the remaining schedule Mark the range from B9 to H9 to finish your amortization plan. Hover the mouse pointer over the bottom right corner of the selected region. Doing this will transform it into a crosshair icon. When the crosshair cursor is in place, drag it down to row 367 to automatically fill in all the cells in that row. By doing so, you generate an amortization plan that you can use to: Handle loan payments Make early payments Measure progress Collect other useful data Benefits of Using a Loan an Amortization Schedule Utilizing Excel’s built-in amortization plan has several advantages. Ability to save You can save an amortization schedule created in Excel at any time to preserve its current state. This guarantees that the data you receive is current and correct, allowing you to return to your day. Offline usability Suppose you need to make changes to your amortization plan while you’re offline. In that case, Excel has you covered. Extra payment feature You can easily include extra payments into an Excel amortization plan, which is a major perk. You may easily make changes and see the monthly amount that must be increased. Interest payment management An amortization schedule clarifies your interest payments. Suppose you have questions about your interest payments. In that case, you may use this calculator to contact your loan service. User-friendliness The process of creating an amortization plan in Excel is straightforward. That’s because of the program’s user-friendliness. This makes it possible for anybody to make a budget or expense report for their own use. [B-02] Summing up An amortization schedule can be very handy if you’re considering a loan. Also, it can help you manage your finances effectively. In this piece, we learned how to make a loan amortization schedule and how its various parts fit together. Making an amortization schedule is very easy. You just need to know the basics of Excel, and you’re good to go. Furthermore, we are confident that you will be able to create effective schedules with the assistance of this guide. Are you looking for an instant personal loan? Get a quick personal loan with Piramal Finance; apply now!

08-11-2023
Personal Loan

Loan Against Property for Education Explained

A loan can act as a great facilitator in helping you fulfil your wants, desires, and dreams. From a monetary standpoint, it can also help you gain confidence and financial independence. You can use this amount to buy a new house or property, finance education, or even invest in your business. A loan against property is a type of loan in which you pledge your property in exchange for a principal. A loan against property can help you get the financial leverage you want. The lender charges you a specific interest rate on the principal amount. You get a period to repay your loan. It is usually done in installments. [B-01] This type of loan is an ideal option for you if you don’t have shares or a security deposit to use as a guarantee. In this article, we will explore loans against properties, their features, and their benefits. Also, we discuss whether you should prefer it to finance education. What are the advantages of having a loan against property for education? The following are some of the advantages of applying for a loan against property for education: Proper utilisation of your property: A loan against property is the right way to get the most out of your assets to finance your education. Instead of selling your property, which might have more value in the future, you can just use it as a medium now. Pledging assets to get a loan is better than selling them and getting a lump sum. The latter option is permanent and cannot be reversed under any circumstance. So, it is better to go for a loan rather than sell it for an undesirable price. High loan amount: Often, banks allow a high loan amount to help you find your education. The loan amount solely depends on the market value of your property; the higher the market value, the higher your loan amount will be. Banks allow you a loan of up to 65% of the value of your property, which you can easily use to finance your education and related expenses. Shortened disbursal period: As soon as your documents are verified and you get the green card from the bank for the loan, the loan amount gets into your account within 3 business days. The disbursal period can even be faster than this if you have a good credit score and a good loan history. Appealing rate of interest: Banks charge you a low-interest rate on property loans, which is done to ensure that you give the maximum focus to covering your educational expenses. The interest rates vary from bank to bank but start at 8% per year. The interest rate also depends on your credentials, like your credit score, credit history, loan history, and the offers your bank makes. Optimum loan tenures: The tenure for repaying your loan is also very reasonable. Banks ensure that you take your time and carry it conveniently. Generally, the tenure ranges between 10 and 20 years, depending on the size of your bank. However, many banks have extended their tenure from 20 to 30 years. Flexibility: There is high flexibility in the loan application process, which is ensured by providing you with self-tailoring options. You can choose the term of the loan, the type of loan, and the way you want to repay it. A “Flexi” facility in loans against properties for education enables you to only pay interest on the amount you use, rather than paying the interest on the whole amount. Should you take a loan against properties to fund your education? If you have the opportunity to go for an educational loan, then you should prefer taking it instead of going for a property loan. The reason is simple: your interest rate will be much lower, your EMI amount will be less, and you will avail of other student benefits. Also, property loans should not be used to finance a business or any other venture, as the loan amount is high and the interest rate is comparatively higher than an education loan. Investing in a loan against properties in your business venture will also help you get some tax benefits. Due to technical reasons, sometimes you might not be able to get an education loan to finance your education-related expenses. In such a scenario, a loan against property can help you cover your educational expenses. Besides that, various government schemes like the CSIS scheme give student loans up to Rs. 7.5 lakhs. [B-02] Summing it up: A loan against property for funding Education could be a good possibility for you if you cannot avail yourself of government aid. Also, if you can’t get a student loan or an education loan for technical reasons, you should prefer having a property loan instead. Make sure you know the right market value of your property to get the desired loan amount. If you have reached this page by reading this, you must be thrilled to read more content on related topics. If yes, you should visit Piramal Finance to learn more about personal loans, financing tips, investment schemes, etc.

08-11-2023
Home Loan

Who is Eligible for a Loan Against Property, and What Documents are Required?

Do you ever find yourself in need of funds to meet expenditures on education, marriage, healthcare, and various other domains? If so, in that situation, one of the best options you can opt for is to issue a Loan Against Property (LAP). Continue reading to get a detailed explanation of LAP, its benefits, the LAP interest rates, and the LAP eligibility conditions. [B-01] What is a Loan Against Property? A LAP is a secured loan in which your property acts as collateral between you and the lender. The LAP is useful for both salaried individuals and businesses. Once you mortgage your residential or commercial property, the loan gets sanctioned, and the bank approves your credit amount, which is equivalent to the current value of your property as evaluated. The property you mortgage for the LAP can be self-occupied, rented, or any piece of land as long as the title to it is clear. The LAP can be used to fund medical emergencies, wedding ceremonies, vacations, school education, or expand your business. What are the Advantages of Issuing a Loan Against Property? Below are some of the features and benefits of issuing a LAP: Low interest rates LAPs have interest rates compared to less secure methods such as personal loans, making them more appealing and affordable to the general public. Long Repayment Tenure Loans secured by real estate have long repayment tenures, extending up to 15—18 years. LAP Eligibility The eligibility criteria for LAP are quite lenient and simple to fulfill. Lower EMIs Since the tenure of the LAP is longer, the EMIs also get lowered. Consequently, the loan burden on the borrower is reduced. Easy to Avail LAP is simple to obtain because it is a type of secured loan, and banks are eager to extend credit to you. You can mortgage your property to your bank in exchange for a loan that you can use for business or personal purposes. No prepayment or foreclosure charges Financial institutions allow individuals with floating Loan Against Payment interest rates to foreclose the loan or make partial pre-payments at no extra cost or prepayment penalty. This leads to maximum savings and makes LAP an affordable option for the majority, provided the loan amount is not going to be used for business expansion. Interest Rates on a Loan Against Property Below is a standard floating LAP interest rate: Employment TypeEffective ROI (p.a)Salaried Individual9.5% to 15%Self-Employed Individual9.15% to 18% What are the Loan Against Property eligibility conditions? The following are the LAP eligibility criteria: You should either be: An employee or A professional, self-employed, income tax assessee, or NRI (who owns real estate, whether residential or commercial, either in his own name or that of his spouse, children, parents, or siblings) You must earn at least Rs. 25000 per month (or Rs. 3 Lakhs per annum) The LAP should be liquidated before the eldest borrower reaches 70 years of age. While considering your eligibility for a LAP, various parameters are also taken into consideration, like property value, existing debt obligations, the stability of your business or employment, and your credit history. There must be an insurance policy for the property for which the LAP is being obtained. What is the Procedure for Applying for a Loan Against Property? You can apply for a LAP online by uploading your personal and professional details and filling out the online form. Here is a list of documents required for applying for LAP: For Salaried IndividualsFor residential proof, you’ll need a copy of:Ration CardElectoral Voter ID CardTelephone BillElectricity BillFor identity proof, you’ll need a copy of:Electoral Voter ID CardEmployer’s CardLatest passbook or bank statements in which you can show a salary or income being credited for the previous 6 monthsSalary slips for the previous six months that details all deductionsForm 16 for the previous two yearsAll the property documents for the property to be pledged for the loanFor Self-Employed IndividualsCertified financial statements for the previous 3 yearsFor residence proof, you’ll need a copy of:Ration CardVoter ID CardTelephone BillElectricity BillFor proof of identity, you’ll need a copy of one of the following:Voter ID CardEmployer’s CardLatest passbook or bank statement from where you can show your salary or income being credited for the previous 6 monthsAll the property documents for the property to be pledged for the loan (Additional documents might be required depending on individual applications). [B-02] Final Thoughts All in all, LAPs are a secure and reliable method of offering your property in exchange for a loan. Not only are the LAP eligibility conditions lenient, but it also has low-interest rates, long repayment tenures, and no prepayment or foreclosure charges. To understand more about LAPs, or to answer your doubts about the LAP eligibility conditions, you can consult help from financial experts like Piramal Finances. They provide efficient guidance and solutions for the needful people regarding finance matters.

08-11-2023
How To?

How to Calculate Land Area or Plot Area?

Let us first understand what “land area” or “plot area” means. Land area implies the size of area-based sections and land-based sections of typical geographic areas. It is measured in km². The plot area is the area that is surrounded by a barrier (like fences). Simply put, it is the total area that belongs to you within a region or city. Calculations of land area are informal. It is very easy to calculate land area. Let us understand the formula behind this calculation and the importance of knowing how to calculate the land area. [B-01] Why is land area calculated? Before buying land, it is crucial to be aware of its exact measurements. Different scales are applied to land in various states of India. A simple and accurate way to accomplish this digitally is with a land surface calculator. For the design and implementation of practically every sort of development, site measurement becomes extremely important. In the current day, this measuring has become common in the domains of construction, navigation, and transportation, as well as in the definition of legal borders for land rights. What are the units of measurement used to calculate land area? Any measure can be used to compute a plot of land’s area. Typically, the area of a property is given in square feet. In contrast, the land area for farmland is defined based on hectares or acres. However, the term used for “unit of measurement” is different in different states. Let’s take a look at some different names for each state. In India, typical land measurements include hectares, acres, square meters, and square yards (gaj). Terms like percent, guntha, and ground are exclusively associated with the South. Bigha and Marla are frequently used in the North. The names of the units and their sizes differ from one state to another. In Maharashtra, the concept of Guntha is more commonly used than in Karnataka and Andhra Pradesh. Dhur and Kattha both refer to various sizes, depending on the state. Dhur is more than 68 square feet in Bihar but only 3.6 square feet in Tripura. Dhur is a language that is frequently spoken in Jharkhand as well as in Bihar and Tripura. In contrast, Assam, West Bengal, and Madhya Pradesh are the main usage areas for Katha. Along with Dhur, it’s also used in several regions of Bihar. Although the size changes from one state to another. This typically falls between 600 and 2,800 square feet. Some of the units used to convert the dimensions are centimetres, meters, kilometres, inches, feet, etc. The basic units used to calculate land area are: Square Feet (sq. ft.) Square Inch Square Centimetre Square Meter (sq. m.) Square Yard (sq. yd.) Square Kilometre (sq. km) Acre Hectare Benefits of an Area Calculator The calculator used to calculate the area has the following advantages: The area calculator tool guarantees quick, blunder-free calculations. It makes it possible to convert quantities into obscure land measurements. It helps you make wise real estate decisions while making you aware of the land’s actual value. How to calculate land area in different ways The way to calculate land area from Google Maps (online) Google Maps and other online services can be used to calculate the area of a piece of land. The only thing one would have to do is zoom into the map and mark the border of the plot of land. The region of that specific piece will then be visible on the display after this is complete. But this will just be a general estimate, not a precise one. Additionally, you have the option of converting the computations into whichever unit you like. The way to calculate the land area of irregularly shaped plots Uneven, undulating land is known as “irregular land.” The land measurements for these plots can be determined with the aid of specific formulas. Divide the space into recognisable forms such as a parallelogram, triangle, rectangle, square, or circle. Then use the appropriate equations to calculate the areas. To determine the size of an irregular land, add the findings. As an alternative, you can get a trouble-free conclusion by using an automated land area calculator. The way to calculate the land area in standard square feet (sq. ft.) Simply take a foot-long measurement of both the length and breadth. After that, to calculate the size of the area, multiply the length by the breadth in feet. 144 square inches equals one square foot. To prevent time-consuming hand calculations and obtain precise answers, you can also use a digital land calculator. Basic formulas to calculate land area Apart from the irregularly shaped land, the plot area can be square, rectangular, or triangular. Based on this, there is a general formula you can use. This is for all the manual calculations. Square plot: Area= Length*length, or, Length square For example, if one side of the square of land is 20, then the area would be 20 * 20, i.e., 400 feet. Rectangular plot: area = length * breadth For example, if the length is 40 and the breadth is 20, then Area = 40*20, i.e., 800 feet Triangular plot: Take a, b, and c as plot dimensions. Take s as half the triangular perimeter. The general formula is, Area of triangular plot= √(s(s-a)(s-b)(s-c)) [B-02] The key takeaway The term “land area” has different names based on the state. The north, east, west, and south have their terminologies. It also has a series of formulas you can use based on the shape of the land. The process to calculate land area can be done either manually or digitally. Manually, by using the formulas, and digitally, through the use of online calculators and even Google Maps. To read more informative blogs on such topics, head to Piramal Finance. Browse through their blogs to learn about relevant matters in the stock market, business, and financing, or go through their products such as personal loans, housing loans, MSME loans, home loan EMI calculators, and more.

08-11-2023