Popular article

Your one stop place for everything related to finance and lending

Personal Loan

A Quick Guide: 5 Easy Steps To Get A Personal Loan In India

Personal loans are short-term loans that can be used for a wide range of purposes. For example, you could use a personal loan to pay off your debt, fix up your house, or plan the wedding of your dreams. Personal loans are available from banks, credit unions, and online lenders. When you borrow money, you have to pay it back over time, often with interest. Personal loans in India work the same as how most other loans work. When you want a loan, you fill out the paperwork and send it to the bank. The bank checks your creditworthiness and then gives you a loan. When you say yes, the money will be sent to your bank account and you can use it however you want. Personal loans in India are on the rise because they are becoming more popular and people want them. People can easily take advantage of the many benefits of a personal loan. [B-02] Why Should You Acquire a Personal Loan in India? Personal loans in India have several benefits. You should consider them if you’re trying to decide between a credit card, another type of loan, and a personal loan. It will help you make an informed choice in the long run. Here are the main benefits of personal loans: Easily spreads out the cost of a big purchase - A personal loan lets you spread out the cost of a big purchase like a vacation, wedding, or new car over a longer timeframe. This makes it much more affordable. And, it also means you won’t have to cut back on your own finances to pay for it. Teaches you to take care of your own money - Personal loans aren’t always used to buy big things. You can also use them to better handle the debt you already have. This comes in the form of a debt consolidation loan. In this loan, you combine several debts, such as those from credit cards, overdrafts, and old loans, into one product. You could save money on interest because you will only pay one rate instead of multiple rates which could add up to a higher total cost. No collateral or security is required - By choosing an unsecured personal loan, you avoid the risk that comes with a secured loan which requires you to put up your home or another asset as collateral. This type of borrowing is based only on your credit score. Hence, you do not need to put up anything else as security. What Are The Different Kinds of Personal Loans in India? Personal loans are one of the quickest ways to get money. But a lot of us are unfamiliar with the different kinds of personal loans in India. Let’s check them out. Short-Term Personal Loan A short-term personal loan starts at Rs. 25,000 and can be paid back to the lender in a few months. This personal loan adds money to your account within a few hours and doesn’t require much paperwork. Wedding Loan The goal of this loan is to help families and couples deal with the stress of paying for a wedding. It can be used to pay for big things like the venue, where guests will stay, jewellery, food, decorations, etc. Most of the time, the rates on these loans are higher during the wedding season. Travel Loan This is the kind of loan you should get if you’re planning a trip and want to pay for it without using up your savings or messing up your monthly budget. A travel loan can get you the amount you need faster and at a lower interest rate. Agricultural Loan Farmers can get this type of personal loan in India that will help them buy equipment, tools, and raw materials that they need for farming. This loan has a very low-interest rate, which encourages farmers to make more money with what they do. Home Renovation Loan As time goes on, your home and way of life should change, too. As the name suggests, this loan can help you pay for repairs or improvements to your home. So, if you wanted to fix that leaky ceiling or get wood floors, this loan can help you do that without putting a dent in your savings. Medical Loan A medical loan is a type of personal loan that you use to pay for things like surgery, routine medical procedures, and trips to the emergency room. You can also use a medical loan to pay for high health insurance deductibles or to consolidate medical debt. Get a Personal Loan in India With These 5 Steps Apply Online - If you want to apply for a personal loan in India, the first thing you’ll need to do is fill out an application form. This form will ask you for information about yourself and your job. The lender will get a better idea about your background and income here. Lender verification - When the lender gets your loan application, they check the information you gave. They specifically look at your age, monthly salary, profession, etc., to see if you are eligible for the loan. KYC process - Once your basic information has been verified, the lender will start authenticating the documents you sent with your application form. Maintain a good credit score - On average, to get a personal loan in India, you need a credit score of 600 or higher. But, as was already said, different lenders have different credit score requirements. When you apply for a personal loan, your credit score is a big part of whether or not you will get it. Processing fee - Once the loan amount and tenure have been decided, you’ll have to pay a processing fee to get the loan money. After you pay the fee, the personal loan amount will be sent to your account in 3–5 business days. Conclusion Personal loans are becoming increasingly popular in India. The trend can be attributed to the numerous advantages that these loans offer. With a personal loan, you are free to use the money for whatever purpose you see fit. Personal loans, in contrast to others, are simple to obtain, have interest rates that are reasonable, and require a minimum amount of paperwork. To learn more about personal loans in India, Piramal Finance has similar blogs for you to gain insight from. As an emerging loan lending platform, they also offer a wide range of products and services for you to benefit from.

08-11-2023

Personal Loan

Looking For Instant Personal Loans In Ahmedabad?

Many types of loans are available from banks and other financial entities. Thanks to technological advancements, applying for a loan is now easier and faster. This could mean that getting a loan is less of a hassle than before. When it comes to loans, personal loan in India is the most sought-after option. More than 78% of credit applications in India are in this category. These loans are popular among potential debtors. That’s because they are risk-free to the lender. Getting a personal loan from a bank, an online lender, or even your credit union is possible. You must start paying back the lender according to the repayment plan as soon as you have the money. If you’re looking for answers about how to get a personal loan in Ahmedabad, then you’ve found the right blog. Read on for detailed advice on securing a private loan in Ahmedabad. [B-01] How to Get Instant Personal Loans in Ahmedabad? When you ask for an instant personal loan, the bank doesn’t need to investigate your credit history. The bank doesn’t need to verify any collateral or security to approve your loan. Online applications and less documentation have made the procedure more practical and simple. Thus, this part is for you if you are interested in learning how to get a personal loan via the internet. Follow the steps below to get instant personal loan in Ahmedabad: Seek a dependable lender Many financial institutions now provide loan applications that you can submit online. This eliminates the need to visit a branch physically. Scanning digital copies of your paperwork and submitting them is a great option. It is especially great for people with busy schedules. That’s because it allows them to complete the entire process from their homes. You could even use lunch breaks to complete the application. Various financial institutions have speedy processing times. This feature ensures speedy disbursal of funds into your account. Maintain an excellent credit history and credit score A credit score is a three-digit figure that measures your creditworthiness. Higher scores show greater reliability in meeting financial obligations. Also, the bank will feel more secure knowing they can rely on you to make all your loan payments on time. If you keep a good credit score, you can get a personal loan online without talking to a bank employee. Also, suppose you pay your bills on time and don’t apply for too many loans. In that case, you’ll build a good credit history and have a good credit score. Maintaining your bank balance A bank will be more ready to give you a personal loan if you win their trust. You can show you can make your loan payments by keeping a healthy bank balance. Prequalification for a loan is a possibility in particular scenarios. But, there are a few upsides to maintaining a sizable amount in your account. In the first place, it’s useful in a dire situation. Second, it improves your chances of getting a loan. Third, It improves your chances of getting a better interest rate on your savings account. Which, in turn, means your loan will get approved quicker. Thus, you must not disregard your regular account balance if you seek an online personal loan. Online/offline application The first step in getting a personal loan is filling out an application. The application will need personal and professional information. You can fill out the form at the bank’s branch or online. But online loan applications streamline the procedure and save you time. Bank verification Once the bank gets your loan application, its staff will verify your details. They do this to determine your eligibility for a loan based on many factors. For example, age, monthly income, occupation, etc. Now, suppose you are already a customer at this bank. In that case, the bank will verify your financial history by looking at your bank statements. It will also look at any loans you have already taken out. KYC process Once your personal information gets confirmed, the bank will check the KYC documents. These are the documents you provided with the application or brought to a local branch. Applying for a personal loan is now very easy. A bank representative will visit your house to collect the paperwork. Address Confirmation A person from the bank may pay you a personal visit to verify your residential address. But, if you are self-employed, bank staff will visit your business to verify your residency. Credit score check The bank will look at your repayment history, pay stubs, or tax records. They’ll do this after they’ve verified your identity and determined your eligibility. Loan approval An instant personal loan gets approved very quickly if you match the requirements. Also, it gets approved quicker if your details are valid and your credit score is at least 750. Loan amount, tenure, and interest rate The bank will determine the loan amount and interest rate it will offer you based on several factors. For example, credit history, age, employment history, and other professional details. Banks also let you pick your payback term based on your finances and repayment capacity. Processing fee After the terms of the loan get finalized, the loan gets disbursed in exchange for a processing fee. You pay fees for personal loans in full. Moreover, the loan gets deposited in your account within 3-5 days. [B-02] Conclusion You can use a personal loan for anything. These include medical care, wedding costs, travel bills, and other bills. But, you should only take out a loan that you are confident you will be able to pay back. The lender will reduce processing, approval, and disbursement times. They can do this if you provide genuine documents with accurate information. With any luck, the information presented herein will aid you in your pursuit of a personal loan.

08-11-2023

Income tax return

How to Claim HRA While Filing Your Income Tax Return (ITR)?

You’ve been hearing a lot about HRA exemptions from coworkers, the HR director, and friends. It seems to be a profitable tactic to save taxes, yet you may be wondering: Can I claim HRA exemption? If so, what are the main needs that must be met to get this perk? How much HRA tax relief can I claim? Let’s find the answers to these pressing questions in the next sections. [B-01] What is HRA? HRA stands for House Rent Allowance. It is the sum the firm gives to staff to assist them in paying the costs of living in rental housing. HRA is paid as a sub-component of salary by most employers in the private and public sectors. The most exciting part is that salaried people who live in leased houses may claim HRA tax exemption under Section 10 (13A) of the Income-Tax Act. To claim exemptions such as HRA, LTA, and income tax deductions as per Chapter VI-A, you must submit Form 12BB to your employer. It should be noted that under Section 80GG of the Income Tax Act, self-employed people may also claim tax exemption for rent paid. How is HRA Tax Exemption Calculated? The deduction available is the least of the following amounts: Actual HRA received. 50% of [base pay + DA] for people who live in cities. 40% of [base pay + DA] for residents of non-metros. The actual rent must be less than 10% of the base pay and DA combined. Eligibility Criteria to Claim HRA If the following criteria are met, you may claim HRA exemption for the time you stayed in rental homes: You must be a salaried employee HRA-related tax perks are mainly given to salaried persons. This exemption is not open to self-employed persons. HRA is included in your CTC or payment package Your CTC or pay package is made up of many items, such as base salary, allowances, extra perks, and so on. To take advantage of this exemption, you must make sure that HRA is included in your CTC. Live in rental homes This exemption is only available if you live in a rented home. You must be paying rent. There is no tax perk if you live in a self-owned home. You’re surely curious if you can claim this deduction if you live in your parent’s home and pay rent to them. Yes! You may claim the exemption by paying rent to your parents. Your parents, on the other hand, must report rent income received from you on the income tax return. It is also suggested that you pay rent by bank transfer and sign the rental agreement. Submit a rent slip to your employer to inform them of your rent payment You must notify your employer of the rent you have paid and submit your rent slip. The landlord’s PAN must be given if the yearly rent is more than Rs. 1,000,000. Claim at the time of return Employers often do not provide HRA exemption on Form 16 owing to a lack of valid data. But if your HRA claim was not assessed in Form 16, you might claim the exemption directly in your IT return. How Do You Claim HRA Exemption While Filing Income Tax Returns? Section 80C of the Income Tax Act of 1961 exempts premiums from taxation. Also, any reward received under the savings policy is tax-free under Section 10 (10D). In most cases, your boss will require that you submit your home rent slip in the last quarter of the fiscal year to claim HRA exemption on Form 16 prepared by the employer. If you do not provide your rent slip to your employer, the firm will take TDS (Tax Deducted at Source) without considering the HRA on your wage slip. Even in this situation, you may claim HRA deduction on your ITR. You must manually compute the exempt HRA total. If you provide a rent slip to the employer: If you submit your house rent slip to your employer and other supporting papers, they will review the case and lower the tax withholding accordingly. Form 16 and your tax return will both disclose your exemption. Claiming HRA via your workplace is simple. However, if your yearly home rent exceeds Rs. 1 lakh, you must provide your landlord’s PAN card data to your boss to qualify for the HRA exemption. Also, because your Form 16 and ITR-1 forms are synced, filing for HRA tax exemption has become even easier since the amount is instantly pre-filled in the ITR forms when you submit your claim online. If the employer does not get the rent slip: If you did not submit your receipts to the employer, you might claim an HRA exemption in your ITR. In this situation, the firm would not have included the HRA exemption in the taxed wage, resulting in a greater TDS deduction. The excess TDS deduction will be repaid when you claim the HRA deduction on your ITR. Yet, you must compute the correct HRA exemption amounts and subtract the equivalent amount from your pay. Factors to Consider Before Making HRA Deductions Here are a few points to know regarding HRA tax exemptions: If you pay rent to your spouse, you cannot claim HRA tax exemptions. HRA exemption from income tax can be taken even when you have a house loan. If your landlord is an NRI, a TDS (Tax Deducted at Source) of 30% must be deducted from the rent before it is paid. [B-02] Conclusion A salaried employee should take advantage of the chance to claim an HRA tax exemption since it is one of the finest legal methods to save tax. Make a point to keep all solid pieces of evidence. To be on the safe side, send money via a bank account since it is hard to prove rent is paid in cash. The value of the exemption is assessed by section 10 (13A) of the Income Tax Act. If finding the sum of exemptions seems hard, you can visit Piramal Finance for more such blogs and explore their products and services.

08-11-2023

Personal Loan

How to Get an Instant Paperless Personal Loan Online?

Banking and non-banking financial institutions offer paperless personal loans to help you with urgent needs. Paperless personal loans are the best way to get some extra cash when money is tight. You must first determine what you need and choose the best type of paperless personal loan. Finding the right lender is necessary when you need a personal loan, especially if the interest rates are reasonable. Here are some tips to help you decide which paperless instant loan is the best. What are the things you should consider when choosing a paperless personal loan? 1. Documents You must provide digital copies of all the paperwork, like bank statements, income statements, and ITR reports. The documents should be submitted with your application. You can submit these documents as scanned documents (PDF) or images. However, some lenders may ask you for specific file formats. 2. Interest rates You may be offered an interest rate of 11 to 22%. The interest rate you are offered depends on your credit history, income and credibility. Your income and credit history influence the interest rates the most. 3. Fund distribution The principal amount is transferred directly to your account as a single payment. You are not required to do any additional formalities. This is the benefit of an online paperless personal loan. However, it also means you must provide the correct bank details. What are the benefits of a paperless personal loan? One of the best things about an immediate paperless personal loan is that it does not need any assets as collateral. It implies that you do not have to give the lender anything as security for the loan. Since the loan does not need any collateral, it is beneficial for those who do not have assets or strong finances. Because it is a paperless personal loan, the entire procedure is online. You will not have to request documentation. You will not have the stress of filling out forms, waiting in lines, and putting in time and effort to get approved. The paperless process is much more efficient and quick. Once your online paperwork has been confirmed, the personal loan transfer will happen swiftly. Several lenders also provide pre-approved loans to customers with existing profiles. These types of loans require even less documentation. You may not have to submit any documentation if you have a credit history with the lender. Other loans can only be used for specific expenses. For example, you can only use a car loan on your car. On the other hand, a paperless personal loan can be used for anything. You can use the borrowed money for medical expenses, vacations, marriages, education, etc. Who is eligible for an online paperless personal loan? Anyone can apply for a paperless personal loan. You must only meet the lender’s criteria to be eligible for a paperless personal loan. Different lenders have different eligibility criteria for a paperless personal loan. However, some of the criteria include the following. Your age must be between 21 and 60. Your credit score must be at least 700. This varies depending on the lender. Some lenders may accept higher or lower credit scores. Your monthly salary must be at least INR 25,000. Self-employed applicants and business owners should have a gross annual income of at least INR 5 lakhs. Salaried employees should have worked for at least 12 to 24 months before applying for a loan, and self-employed individuals should have run their businesses for at least three years before applying for a loan. How do I apply for a paperless personal loan? Getting a paperless personal loan is simpler than submitting a physical application. Visit the lender’s website and look through the loan options. Find paperless personal loans. Please review the lender's eligibility criteria and the documents you need to submit. If you do not have all the documents, collect them. You need to submit soft copies of these documents. Fill out the application form and upload the required documents. Once your application is checked, you will receive an e-approval. Some lenders check applications within minutes, but others may take 2-3 days. For more information, you can contact the lender’s helpline. You will receive a proposal from the lender. The proposal will include all details, such as the interest rate offered, EMIs, principal amount offered, conditions, and fees. Read through all the documents before you accept the proposal. Look through the charges you may have to pay. Some lenders charge pre-payment and foreclosure charges. Also, look through the default charges and delay fees before accepting. If the terms are to your liking, accept the proposal. The principal amount will be credited to your bank account. Who can acquire a personal loan if they do not have new documentation? Lenders often give personal loans without documentation to current clients. For example, your bank may offer you a paperless loan since they already have KYC data such as PAN card, Aadhar card, residence details, income details, debt repayment history, etc. Lenders may also provide you with pre-approved personal loans. However, this depends on your profile. There is no guarantee you will be offered a no-documentation loan. Collecting all documents before applying for a paperless personal loan is best. [B-02] Conclusion Lenders and borrowers can benefit from paperless personal loans in many ways. Personal loans have recently undergone significant changes and offer swift processes. Paperless loans can help you get any loan you need swiftly.

08-11-2023

Personal Loan

How to Get The Lowest Personal Loan Interest Rate

When taking a personal loan, the interest rate is one of the most important factors to consider. A lower interest rate means you pay less money over time, making your loan more affordable. However, lenders decide the rate based on different factors like your credit score, income, and repayment history. By understanding how interest rates work and taking the right steps, you can get the best possible deal. In this guide, we will explore the ways to secure the best personal loan interest rate. When it comes to personal loans, picking the right plan is vital. Piramal Finance provides you with a variety of packages. Employ their online calculator to get the best personal loan with the lowest interest rate for your budget. [B-01] Best Way to Get a Lowest Interest Rate Personal Loan Here are some tips and tricks that will help you get a personal loan at the lowest interest rate possible from Piramal finance. Boost Your Credit Rating. Your credit score shows how credit-worthy you are. With a high credit score, you will receive the best deals on your debts in terms of the interest rate charged, loan fees, etc. So, before asking for a loan from Piramal Finance, you should always monitor your credit score. Prevent Skipping Repayments. Your credit score may suffer if you don’t make a loan or credit card payment on time. Before deciding the interest rate for a loan, Piramal Finance typically considers your history of timely repayments. A personal loan with lower interest rate will likely be offered to those who have a history of making timely EMI and credit card payments. Employer. Many lenders base the interest rates on the employer account of the loan seeker. Salaried people pay lower rates than self-employed people because the income is more predictable. State and PSU workers receive lower rates than salaried people because of their higher job safety. The next group of users for loans are those who work for MNCs and other reputable firms. These groups are thought to have a higher chance of surviving recessions than other listed firms. Keep an Eye Out for Offers. During festivals, Piramal Finance typically provides special borrowing costs. Make the best of this opportunity. While such a promotion is active, you might be given a personal loan with a lower interest rate. Compare Lowest Interest Rates for Personal Loans. Try comparing the borrowing costs charged by Piramal Finance before requesting a personal loan. This will help you get a personal loan easily at a reasonable interest rate. Talk to Piramal Finance About The Loan. If you are an existing client/customer of Piramal Finance or have a good relation with them, you can bargain to get an easy personal loan with the lowest rate. It is advised to send the loan provider a formal, written request when doing this. Interest Rate of a Personal Loan The interest rate on your loan is defined by three factors: the loan sum, the loan term, and the rate of interest. Personal loan rates differ from person to person. The sum you pay monthly will also be decided by the term of the personal loan. The shorter term will result in bigger payouts, whereas a longer one will result in lesser payments. With a shorter loan term, your overall interest payments will be cheaper. A longer-term means larger interest payments. Advantages of Using a Piramal Finance Personal Loan Quick Approval. Get digital approval in minutes with minimum paperwork. Go to the site, input your data, and upload your papers. Borrow in Parts. You may borrow any sum from Rs. 3,000 to your credit limit as and when you want it. You don’t pay interest on funds you don’t utilise. Save Money On Interest. As interest is paid only on the sum utilised and not on the total allowed limits, you may save a lot of money on interest when compared to typical personal loans. Piramal Finance’s interest rates start as low as 12.99% per annum. Adjustable Repayments. You may set your payback plan. Pick flexible EMI choices of 2-36 months and make payments when best for you. Manage Loans, Repayments, & Fund Transfers Through Their Website. Everything you want is at your fingertips. Manage your account from the comfort of your home with Piramal Finance’s website. Factors Influencing Personal Loan Rates Piramal Finance has developed guidelines for a low-interest rate personal loan. They base their interest rate offers on those guidelines. The following factors influence Piramal Finance’s personal loan rates: Loan Amount. The most vital factor Piramal Finance considers is your required loan amount. The loan value given to you is set by your income and the sector in which you work. Repayment Period. The duration of the line of credit directly affects the interest rate. The tried-to-offer rates would then reduce as the tenure lengthened. Borrower’s Earnings. The loan interest is dictated by your income. If you have a great salary and a steady income stream, Piramal Finance will ensure that you can make timely loan payments. You will benefit from lower rates and an easy personal loan if you make this impression. Potential for Repayment. The capacity of the person to repay the loan is key in assessing interest rates. Piramal Finance believes that you will repay the loan on time if you have no other debt obligations. Rating of Credit Your credit score influences how much you can finance and the rate of interest. As a result, if you possess a credit score of least 750 and no defaults, interest rates can be much lower. [B-02] Conclusion Personal loan rates are determined using the declining balance approach. Your monthly interest burden will be decided by the main sum left after prior repayments. With each payment, the amount left reduces, as does your interest load. You may calculate your monthly EMI payments using Piramal Finance’s EMI calculator. If you want to know more about the lowest personal loan interest rates, visit Piramal Finance for related blogs and explore their products and services.

08-11-2023

Personal Loan

Calculate Personal Loan Prepayment or Foreclosure Amount with Piramal Finance

Calculator for Personal Loan Repayment If you don’t pay interest, you can enjoy your life without stress. Paying off the principal amount before the loan term ends is all it takes to calculate a personal loan. You can pay the principal off all at once or in parts. You can also use the Piramal Finance personal loan prepayment calculator to figure out the Installment, the prepayment rate of interest, and other important details. [B-01] Why using a personal loan prepayment calculator is a good idea? Using a personal loan prepayment calculator has the following benefits: Easy Ways to Pay Off Debt To live a worry-free life without debt, you could save some money and put it toward your loan’s principal. Calculating Personal Loan prepayment also helps keep EMI costs low because the principal amount goes down by a certain percentage. Pay less in interest You must have enough money to repay the loan within the first few months of your stay. Most banks and other financial institutions want a commitment of at least one year. It means you can’t pay back your debt in full or for a year. But after the year is up, you can pay off the remaining debt and save a lot of money. How do you use a calculator to pay off a personal loan early? A Calculate Personal Loan needs of EMI can be changed with the help of prepayment. The prepayment personal loan calculator needs to know the loan amount, how long the loan will be, and the interest rate. If you already have a personal loan, the personal loan prepayment calculator will ask you for the remaining loan amount, the number of payments you’ve made so far, the amount you want to pay off early, the interest rate, and the length of your loan. Using a personal loan EMI calculator that lets you pay off the loan early, you can figure out how much money you would save on monthly payments. What Does Loan Foreclosure Mean? With a loan, you can buy whatever you want – whether a car, a house, or just some consumer goods. Loans break up big expenses into smaller monthly payments, but the interest they charge makes the product more expensive than it would be otherwise. But your average income goes up when you get a raise or a promotion at work. With the extra money, you could get out of debt by foreclosing on your loan and saving the extra interest you would have had to pay if you paid it off in instalments. Debt foreclosure is when you pay off your loan in full and for good all at once instead of making smaller payments with interest every month. However, how do you Calculate Personal Loan amount you need to pay to foreclose your loan? In this case, a loan foreclosure calculator can be helpful. If the loans were not foreclosed, the banks would lose the interest they had already paid. Because of this, some banks charge you a certain interest rate (around 4%) if you pay off your loan early to avoid foreclosure. But if you want to avoid paying huge monthly interest, this is a small price. Based on a few facts about your loan, you can quickly Calculate Personal Loan Foreclosure Costs and get an idea of how much you’ll need to pay to get rid of it. Loan foreclosure calculators can help you figure out how much you’ll have to pay today to pay off your loan and how much interest you’ll save. How do you figure out how much the foreclosure will cost? You need to put the following into your: The loan term, in months or years, is how much money is still owed. The interest rate in question (per year) How many monthly payments have you made so far Several calculators may ask how many payments you made to determine the month of foreclosure. Any fees your bank charges for the foreclosure of the loan. It might be in the paperwork for your loan. Here are some things you can do to avoid losing your loan: These tips will help you prepare for and start the loan foreclosure process. You should call your bank: Contact your bank’s customer service. They will help you solve any problems and enter the right information into the Personal loan foreclosure calculators and other loan foreclosure calculators. Keep your KYC up to date and apply: After you use the foreclosure loan calculator to figure out how much you need to pay to get rid of the loan, go to your bank and fill out an application to start the process. Keep your PAN Card, Aadhaar Card, and loan paperwork handy if you need to send them with your application. Bring all of your papers: Don’t forget to bring the following papers with you as proof that you’ve paid off your loan: Letter from the bank saying that you have paid the loan in full. No dues certificate from the bank says you don’t have to pay anymore. Receipt for the last payment before closing. The end of a bank loan and the “no objection” certificate Don’t forget to cancel any standing orders or EMI repayment reminders that are already in place. Credit Scores: You can get lower interest rates, better card offers and perks, faster loan approval, and many other benefits if you have a good credit score. As you pay off the debt, your credit score will go up. If it doesn’t get updated, you should let the credit rating companies know so you can get the benefits of having a good credit score. Costs and calculations for a loan foreclosure: The paperwork for your loan is the key to making accurate calculations. Your loan paperwork, whether for a person or a house loan, has all the information you need to figure out home loan foreclosure costs or other penalties for foreclosure. Some financial companies only charge loan foreclosure fees if the loan is not paid back within the first few years. For example, some house loans don’t have pre-closure costs if the loan is paid off after five years of EMI payments. [B-02] Conclusion You won’t have to pay penalties for paying off your loan early or going into foreclosure until you’ve made at least one month’s payment. If you want to close your loan account, you need to pay 4% of the amount you still owe plus any taxes due as of the deadline for full prepayment. Calculate Personal Loan prepayment or Foreclosure Amount calculator from Piramal Finance gives you some benefits you can use in your monthly payments.

08-11-2023

Personal Loan

How to Get a Personal Loan in Lucknow?

Personal loans from a bank or from online lenders are all available options in Lucknow. These loans help you overcome a rough financial patch. Although the application procedure is straightforward, you should still need to know the entire process in detail. In this piece, we’ll explain how to secure a personal loan in Lucknow. [B-01] How to Get a Personal Loan in Lucknow in 7 Easy Steps Determine Whether You Can Afford a Personal Loan If you take out a personal loan and can’t afford to repay it, you’ll be doing no one any favours. The creditor will likely verify your income and assets to ensure you can repay the loan. But, doing your own calculations is still a good idea to ensure success. First, calculate how much money you’ll need. That’s because certain lenders will subtract processing costs from the amount you borrow. Again, check that the amount you borrow will still leave you with enough money to cover your expenses. Inquire About Your Credit Score Most lenders will look at your credit report to assess your repayment reliability. Some online lenders have begun to consider alternative credit data. But, most will still focus on your credit score. To qualify for the best p ersonal loans, your credit score should be at least between 700 and 750. If your credit score is above 750, you can get a loan at a reasonable interest rate. It is possible to receive a loan even if you have a low credit score if there are other reasons for it. Yet, you should work on your credit history. That’s because the interest rates and costs may be prohibitive otherwise. Think About Your Choices The lender will check your creditworthiness to qualify for a personal loan. But, suppose you need a personal loan but have trouble securing one since your lenders don’t accept it. In that case, you may want to look into a secured loan instead. To qualify for better rates and terms, borrowers of secured loans need to put up some collateral. For example, a car, a house, or money in a savings account or CD. If you cannot repay your loan, the lender may take possession of the collateral. The availability and terms of a personal loan are also important considerations. Securing a loan from a conventional bank can be difficult if you have bad credit. Yet, some online lenders focus on negative credit consumers. Some credit unions offer short-term loans that can be cheaper than payday loans. Don’t rush into a sale if you don’t have the means to pay for it immediately. Instead, work on improving your credit history until you do Compare Personal Loan Rates to find the Best Deal Instead of accepting the first offer, search for the lowest interest rate you can get. Explore several loan providers and options to determine your borrowing potential. Personal loans are easily available from financial institutions. Check with your current financial institution/bank first. Especially if you have an established relationship with them. Get prequalified with no damage to your credit score from some online lenders. Find out if the prospective lenders you’re talking to can get you prequalified. Use this choice to learn all you can about the rates now offered. Non-prequalifying lenders will likely conduct rigorous credit checks for the loan application process. Rate shopping within 45 days will count as a single inquiry against your credit score. Which, in turn, will cut the potential negative impact of hard inquiries. Choose a Financial Institution and Submit an Application Once you’ve done your homework and determined which lender best fits your needs, you may apply. You can have the entire application online if you’re working with the right lender. You could also apply at a physical location, such as a bank or credit union. The specifics of what information each lender needs on an application will vary. But, most will need: The borrower’s name Address Phone number Email address Source of income The purpose of borrowing. Also, the lender will want to know how much you’re hoping to borrow. Once it performs a light credit check, it may present you with many possibilities. Also, you can examine all aspects of the loan. For example, interest rates and the length of time until you have to start making payments. Don’t get caught off guard by late penalties or other surprises in your loan agreement if you don’t read it. Submit All the Necessary Paperwork There is no universal list of requirements that applies to all loan providers. Yet, following the application’s submission, the lender may request supplementary materials. The lender can request a recent salary slip, driver’s license, or other documents. This is crucial to verify your identity or residency. If the lender demands extra paperwork, they will notify you and provide instructions. The quicker you share the data, the quicker you can get the loan. Get the Loan and Start Paying the EMIs You’re done when you get a notification of approval from the lender. Once you get this, you’ll get the credit line within a week. Yet, some lenders provide it to you in one or two working days. As soon as you have approval, you should note a few things like when payments are due. Also, several lenders reduce rates for customers who sign up for automatic payments. They do this to encourage on-time payments. Think about including an extra amount in your monthly payment. Personal loans are less expensive than credit cards. But, you can still save money by paying them off quickly. Any increase in your regular payment amount will assist. [B-02] Conclusion Consider your financial situation carefully before applying for a personal loan. Before you apply, you should examine your credit score to see where you stand. If you have a good credit score, you have a better chance of getting a personal loan in Lucknow approved and getting a better interest rate. Then, research your available options and compare rates and fees from several lenders. That’s important to get the most favourable one for your budget. Then, complete your research on which lender best fits your financial situation.

08-11-2023

Home Loan

Want to Take a Joint Home Loan with a spouse?

Buying a home is a significant milestone. One should be aware of many things. Many banks and NBFCs provide home loans. The interest rates are low and attractive. A partner can join in a home loan. You should pick the right home loan wisely. The right choice can save money and reduce debt. Everything you need to know about a joint home loan. A joint home loan is a collaborative loan designed for purchasing a house together. Both people share the payment responsibilities equally. The co-borrower can be a spouse, a family member, a sibling, or any close relative. Lenders tend to approve joint home loans more frequently than solo ones. You can take a joint loan in joint names. These joint loans will provide a higher amount of money. Also, customers should go for a joint loan if they want to save taxes. The tax savings are much higher in the case of joint loans than in the case of an individual name loan. Benefits of a joint home loan Applying for a joint home loan with a close relative, such as a mother, sister, daughter, or spouse, has great benefits. The registration fee for these joint loans tends to be quite affordable. In some States, property registration fees go down when two people own the property together. People find it easier to use legal procedures, and they have made them simpler. Succession and other issues happen less often when a husband and wife apply for a home loan together. Banks and NBFCs offer loans that combine the income of both parties when applying for a joint home loan. The loan amount sanctioned by the bank or NBFC will be much higher in standard loans than in individual cases. Home loan amounts tend to be larger since the combined repayment ability of both parties is greater. With multiple individuals available to repay the loan, the loan amount rises according to the co-applicant's earnings. Additionally, the reputation of the organization where they work significantly influences the loan terms. The EMI repayment in the case of a joint home loan is also more manageable. Both parties must use the joint account to make it. This keeps track of the repayment and equal contribution made for the loan. If the applicant fails to make the payment, there's no need for concern. The co-applicant shares equal responsibility for covering the EMI. If one applicant cannot pay, the price goes to the other. Then, the other person must pay the rest of the monthly installments. Why Take A Joint Home Loan With Spouse? A home loan is a major financial commitment. It is one of the biggest loans one may take in one's lifetime. With new developments on the rise, housing costs have also surged. Real estate prices are at an all-time high. The better the city, the higher the price of homes. That's why a joint home loan with a spouse is a smart way to arrange funds for buying a house. Whether it's a joint home loan with a wife or a joint home loan with a husband, it can offer many benefits. A regular home loan provides the required amount to purchase a house. These loans offer a substantial sum. When both partners take the repayment jointly, they can share it. This helps reduce the burden on a single individual. Sometimes, a regular loan may not be sufficient. The lender may reject the loan if the applicant's income is too low. In these cases, choosing a joint home loan with your wife or husband is the best way to get approval and buy a home. Conditions and eligibility criteria for a joint home loan A joint home loan can only be taken with close relatives. A friend or a business partner will not work. Both parties should have close relationships like siblings, spouses, children, or parents. A joint home loan cannot be taken with a random person. The co-applicant needs to be an earner, too. The loan amount and the tax savings will be higher. The joint applicant can be a salaried, self-employed businessman, or any other professional worker. A maximum of 6 people can jointly apply for a joint home loan, and a minimum of 2. You can access tax incentives only once you finish the construction. If the builders still construct the property, the tax benefits will commence after occupancy. Even if only one party is at fault, a disagreement or unsuccessful loan repayment will affect both parties. The combined mortgage can be settled using the shared account of both parties. Alternatively, the EMI can be split proportionally between them for repayment. [B-02] Conclusion To sum up, a joint home loan is the easiest way to get a lot of money if you want to buy a home. The interest will be less, and the repayment process will be accessible for a joint loan. It will give higher eligibility for the finance scheme and provide tax breaks.

08-11-2023

Personal Loan

Everything You Need to Know About Personal Loan Tenures

When you borrow from a lender, you promise to repay the amount over some time. The time you pay off the rent is called your loan tenure. For example, if you take a large home loan, the repayment cycle may run for a decade or two. The borrower can’t pay more than a certain amount every month. Every borrower can pay only a fraction of their income as EMI for a loan. When you take out a personal loan for the long term, you lock yourself into that lender’s financial services for the next several years or decades. However, long tenures can also have many advantages, including smaller EMIs. Thus, tenure is something that you would like to consider carefully before making a decision. Keep reading to learn more about personal loan tenure and the various factors affecting it. [B-01] What is a Personal Loan Tenure? Personal loan tenure is the length of time most lenders require you to repay your loan. In most cases, you must pay back the loan for a certain period, and you can repay it in one of two ways: Fixed rate: The lender sets the interest rate for the loan so that it will remain the same for the entire loan period. In other words, at the end of the loan, you will have to pay back the same amount you borrowed plus interest. Adjustable Rate: This rate varies based on the market rates and is fixed for the first few years, but then it increases yearly by a specific amount. It can benefit people who don’t want to make principal payments on their loans and would like to pay them back over a longer period. However, you may want to pay back the loan after a while, so you will have to pay interest on top of the original amount. How Personal Loan Tenure Work When you take out a personal loan, the lender lends you money and collects interest on your loan. That part is so clear to most. But there is little awareness when it comes to the part where the applicant has to decide on the personal loan tenure. Yes, an applicant has a say in how long the repayment of the loan will run for. However, it also depends on the paying capacity of the applicant. The bank looks at the paying capacity before deciding the tenure of the loan. The formula used for determining tenure is complicated. But it can be said that the lender considers a fraction of your disposable income when working out the tenure. Say, for example, one earns Rs 25,000 per month. In this case, the EMI paying capacity will be limited to the early single digits. It is because the applicant will have other expenses as well. Therefore, how much you earn has a bearing on your loan tenure. Factors Affecting Personal Loan Tenure Here are the four things that have a bearing on personal loan tenure. 1) Amount of loan If the amount you borrowed from the lender is large and your paying capacity is modest, you will have no option but to take a long-term loan. Depending on the amount, it will spread the EMIs or equated monthly instalments of your loan over decades and make repayment easier for you. However, this has certain disadvantages. For example, you will end up paying more interest than if it was a short-term loan. Given that the principal amount will be repaid over a long period, you will continue paying the interest. In such cases, applicants must choose the variable interest rate model to benefit from the decrease in interest rates of loans over a long period. Therefore, you can choose a longer tenure if you have financial constraints and limited repayment bandwidth. But if you have the means to pay relatively quickly, you must take that option. It will save you money and allow you to take a second loan sooner. That way, you can consider making new investments too. 2) Interest rate A fixed-rate loan may sound like a good idea, but it may be inadvisable for most people. It is so because even though interest rates may be high initially, they may eventually decrease. If you choose a fixed-interest model, you will have to continue paying a high-interest rate throughout the tenure of the loan. You will have to pay a lot more money in the form of interest. It will be in addition to the amount that you originally borrowed. On the other hand, a variable loan rate is usually lower at the beginning but may increase over time. In such cases, you will end up paying more money. Therefore, you must look at the interest rate trend. It would help you decide which of these options you want to choose. It can make quite a difference to your repayment plan. 3) Earning As stated briefly, the amount you earn will determine your loan tenure. If your earnings are low, the lender would want you to take a long-term loan. It will eliminate the possibility of default, given the EMIs will be small and easy to pay. If you have a large income, you can also avail of a short-term loan as you have the paying capacity to service your EMIs on time every month. 4) Age You’re more likely to receive a long-term payment option if you’re young. However, if you are nearing retirement, things will be different. The bank would point out that your source of regular income is likely to end with your retirement. With no regular income, paying EMIs can become tricky. Therefore, banks are unwilling to give long-term loans to those nearing retirement and offer them to the young instead. [B-02] Conclusion If you are taking a personal loan, you must consider a short payment tenure. It will ensure that you don’t pay more than necessary as interest. However, these loans are also available with a long-term plan. You can repay them over a long period. The length of the loan will determine how much you will have to pay back. You can either choose to pay it off quickly. Or you can make the tenure long with an adjustable rate. But the best option is looking at lenders with flexible loan programs. You can consider reaching out to Piramal Finance for such options. As a leading financial institution, they have designed some of the most borrower-friendly loan programs in the industry.

08-11-2023