Personal Loan

What is a Hybrid Flexi Personal Loan & Does It Affect The Credit Score?


A hybrid Flexi loan, also known as a Flexi personal loan, enables you to borrow cash up to a certain amount in the form of a credit line service. 

Under this type of loan, lenders charge the rate only on the amount you used, not the overall sanctioned amount. You may return the amount to the lender when you like. But, you must pay the rate constantly according to the lender’s terms.

Features of Hybrid Flexi Personal Loans

  • Liquid Cash Availability

If you take a hybrid Flexi personal loan, you get liquid cash at all times since you may withdraw from your loan sum many times. 

  • Component of Lower Rates

People who take out a hybrid Flexi personal loan can save money on interest. The lender assesses the rate charges only on the amount withdrawn and until it is repaid. On the total sanctioned limit, the rate is not charged. 

For example, if Anurag has a loan of Rs. 10 lakhs but withdraws only Rs. 5 Lakhs, he will only pay the rate on the withdrawn sum until the loan is repaid. This results in a lower rate of cost.

  • No Prepayment Penalties

Hybrid Flexi personal loans allow you to pay back the loan amount when it is convenient for you without extra fees.

  • Online Forms Are Available

You may apply for this type of loan on the bank or lending firm’s official website. 

  • No Assets Needed

You may get a hybrid Flexi personal loan from a lender without providing any assets as security

  • Loans for Multiple Purposes

Hybrid Flexi personal loan lenders are open to how you may spend the granted loan amount. As a result, you may use this loan to cover sudden health costs, finance trip plans, etc.

Papers Needed for a Hybrid Flexi Loan

Taking a hybrid Flexi personal loan requires the following papers:

  • Identification: Aadhar card, Voter ID,  passport, or driving licence
  • Address Proof: Copy of Passport, Electricity Bill or Ration Card
  • Tax Paid: Most recent Form 16/Income Tax Return
  • Bank account records for the past three months.
  • Photos in passport size.

Eligibility Criteria of a Hybrid Flexi Personal Loan

Hybrid Flexi loans are available to both salaried and self-employed people. The eligibility for obtaining this loan may differ between lenders and will be known by the person’s profile. While endorsing the credit limit for this loan, lenders may keep in mind many factors. This may include your age, income, job stability, and financial duties.

Your credit score also affects your eligibility for a hybrid Flexi loan. A strong credit score, like 750 or higher, increases your chances of getting the loan amount. It may also increase the chances of obtaining a lower rate. Hence, you should always check credit ratings before applying for a loan and work to raise them if you fall below a certain threshold level.

How to Get a Hybrid Flexi Personal Loan

The following is a step-by-step guide to applying for a hybrid Flexi loan online:

  • Go to the official website of the lender.
  • Select ‘ Hybrid Flexi Personal Loan.’ This option is mostly found on the lender’s website under the ‘Products’ category.
  • Once you’ve arrived at the Flexi Loan page, click the ‘Apply Now button.
  • On the next page, enter all the needed info and apply.
  • Certain lenders will enable you to submit the needed papers online via the site, while others will contact you to complete the process.
  • The credit sum will be credited to your account after the lender has confirmed your form and papers.

Does a Hybrid Flexi Personal Loan Affect Credit Score?

Hybrid Flexi personal loans are very well-known and easily available, as the above sections show. But do these loans affect your credit score? Let’s discuss the factors that negatively affect credit scores.

  • Failing to make timely payments on loans or debts. 
  • And making loan requests with different lenders.
  • Having multiple loans in hand. 

These factors reflect poorly on your money management and negatively impact your credit score. So, a simple answer to this complex issue is to pay your EMIs on time and then take out loans.

Things to Think Before Taking a Hybrid Flexi Personal Loan

While obtaining a Flexi personal loan may appear to be a viable option when in need of funds, there are a few factors to keep in mind before applying for a loan:

  • Rate of Interest

Although the rate is only charged on the loan amount, you should compare rates quoted by many lenders.

  •  extra Fees

While most banks that can provide Flexi loans do not charge a pre-payment fee, you should still check the lender’s other fees. These can affect the price of the loan.

  • Examine Your payback Capability

The amount you must repay will vary depending on how often you withdraw from your agreed loan amount. Still, you should check your payback capacity before accepting the loan. Make sure you can repay your EMIs because failing can harm your credit score.

  • Lender Reliability

It is critical to obtain loans from approved lenders. Check the lender’s reliability by looking at available customer service channels, online reviews, promptness in answering your questions, and so on.


A hybrid Flexi loan is a type of personal loan with a pre-set limit set by the bank from which you can withdraw funds as needed. The lender sets the initial limit amount according to your credit profile. 

A hybrid Flexi personal loan can help you meet an immediate money need in an emergency. These loans come in handy during a money crisis. You must have a good credit rating to be eligible. Keep your documents close at hand to expedite the process. Check and compare the rates of different lenders. 

To learn more about personal loans, visit Piramal Finance for similar blogs and explore the products and services they offer.