Indianmoney Facebook Indianmoney twitter Indianmoney LinkedIn Indianmoney Google Plus Indianmoney Youtube Indianmoney Instagram Indianmoney Medium

" Personal loan-Your friend in an emergency. "

Personal Loan

What is a personal loan?

You can avail a loan from a bank (bank lends you money), to meet any emergency requirements. Banks sanction you this loan without collateral. You can avail this loan without giving any reason to the bank.

Why a personal loan?

If you are short of money for a medical emergency or your marriage, availing a personal loan is a must. Loans are available from INR 20000 to INR 20 Lakhs for any purpose depending on your need. You can repay the loan in EMI's ranging from 12 to 60 months. The process is simple with minimum documentation and quick approval.

Why avail Personal Loan?
No Reason Loan

No Reason Loan

You can use the loan money as you wish. You don't have to give the reason for availing the loan.

Emergency Loan

Emergency Loan

Your loan for an emergency. You can use this loan for a medical emergency or to fund the marriage of your child.

No Collateral

No Collateral

Banks do not ask for collateral while sanctioning the loan. There is no need for a Guarantor.

Quick Sanctioning

Quick Sanctioning

Your personal loan is sanctioned very fast. It may be as less as 24 hours. Minimal documentation means less processing time.

Eligibility criteria to avail a Personal Loan

You need to earn a minimum salary in a range of INR15000 to INR 25000 a month.
You must be aged between 22-59 years and have a bank account.
Minimum CIBIL score of 700 is required for the final sanctioning of your loan.
You need to be in your current residence for at least a year. Certain banks specify a requirement of 2 years.

Key factors to consider for Personal Loan

Who avails these personal loans?

These loans are availed if you live in a tier 1 or 2 city or a metro. If you live in a city you generally avail a personal loan of INR 1-2 Lakhs to meet any emergencies. In a metro you need to avail a personal loan of INR 3-4 Lakhs as the living expenses are high.

A personal loan is generally availed by those who are young and just starting their careers. If you are 25-30 years of age you would avail a personal loan.

You then use this loan to buy goods of personal aspiration such as the latest mobile phone or a high end laptop even though interest rates on a personal loan are high.

You need to be responsible when availing a personal loan. The bank places the responsibility of repaying the loan without any hitches squarely on your shoulders. Avail a personal loan only in an emergency.

What are the documents required to avail a personal loan?

You need to fill and sign the loan application form and affix passport sized photographs.
You need to have filed ITR (Income Tax returns) for the last 2 years.
You need the latest 3 months salary slips.
You need the 6 months bank statements reflecting salary credits updated within the last 15 days.
You need an identity proof such as a Pan Card, Passport, Driving license or a Voter's ID card.
You need an address proof such as a Passport, driving license, ration card, voter's ID card, bank statement, rental agreement, telephone bill, electricity or water bill

When do you need a personal loan?

If you are short of money for a medical emergency or a marriage, availing a personal loan is a must.

If you avail a personal loan to go on a foreign holiday, then you need to remember that repaying this loan may not be easy, as it charges an interest of 14-17%.

If you are unable to repay the personal loan and default on it then your Cibil score is affected. You will not be able to avail any other loans especially a home loan when you need it the most.

Related Articles

23 May 2018, Wednesday

Why Should You Take A Personal Loan?

  Personal Loan is an unsecured loan (not secured by collateral), granted to a person for meeting any kind of emergencies like personal, household, business or even for commercial purposes. It’s popularly called the anything loan. This loan can be availed for a vacation or even for ...

12 January 2018, Friday

Things To Consider Before Availing Personal Loans

  A personal loan comes handy during financial emergencies. They are very helpful as they are disbursed quickly and don't require collateral. But, you should be very careful while availing a personal loan. This is because it might affect your financial future as it charges a high rate of...

22 December 2017, Friday

P2P Lending Taking Off In India

  You need money urgently. So what do you do? You rush to the bank and try to avail a personal loan. Studies have shown that salaried citizens are most likely to take loans. Even after demonetization, many citizens are reluctant to avail loans, because of the paperwork involved. Even though ...

Most Read Articles

18 July 2012, Wednesday

How to Make Claim on a Life Insurance Policy?

Formalities for a health insurance claim You can make a claim under a Health insurance policy in two ways: On a Cashless basis and A Reimbursement Claim On a Cashless basis: For a claim on cashless basis, your treatment must be only at a network hospital of the Third Party...

14 March 2014, Friday

ELSS - Utilizing the power of compounding

As the name suggests ELSS invests the whole corpus in equities. Proportions as high as 80-90% of equities are found in an ELSS Fund. It is a special kind of mutual fund that qualifies for tax benefits. Basically Equity Linked Savings Scheme is a mutual fund with a lock in period of three years and...

07 January 2014, Tuesday

Why one must never neglect estate planning

One of the most common reason for family feuds in India as in the rest of the World is faulty estate planning. Estate planning is a neglected topic in India mainly because of the emotions attached to it. A common reason people neglect to make a will or indulge in estate planning in their younger yea...

Get It now!

How about our new look!

Mm.. Ok