A personal loan is an unsecured loan that helps to meet emergency expenses. In this age of digitization, applying for a personal loan has become easier, thanks to the presence of credible instant personal loan apps. Now even first-time borrowers can avail of easy instant personal loans at attractive interest rates. However, to get a personal loan, you need to fulfil the basic eligibility criteria.
So, is applying for a personal loan a good option? Yes, a personal loan is beneficial for the below reasons.
Benefits of availing of a Personal Loan
Although there are various other methods of borrowing money, a personal loan stands apart by providing several benefits as mentioned below:
- Debt Consolidation
Personal loan aids debt consolidation. It means you can avail of one single personal loan for paying off other loans. This makes it easier to pay off multiple loans without worrying about different loan repayment timelines and also ensures regular payment of outstanding loans.
· Best Alternative to a Payday Loan
If you need emergency funds, then availing a personal loan instead of a payday loan will help you get better benefits in terms of tenure and interest rate.
- Collateral free loan
A personal loan can be availed for various purposes like marriage, education, medical and so on. Being a collateral-free loan, there is no need to mortgage your property or other personal assets as security.
- Attractive loan terms
You can get a personal loan of your choice as the minimum and maximum cap gets decided by the financial institutions, based on their basic personal loan eligibility criteria. For instance, if you have the minimum income as required by the financial institution, then you can avail of a personal loan. Likewise, a good credit score gives you a better personal loan in terms of lower interest rates, longer tenure etc.
- Even borrowers with a low credit score can apply
Most borrowers with a low credit score can still qualify for a personal loan, provided they meet the other basic eligibility criteria specified by the loan provider.
- Longer Loan Tenure
Personal loans have longer loan tenure compared to other unsecured loans, helping borrowers get more time to repay the loan. The longer the tenure the lesser the EMI payment and the shorter the tenure the higher the EMI, but the repayment will get over faster, resulting in a lower interest rate on the principal amount.
- Minimal Default Risk
Personal loans have low default risk as they are granted only after a borrower meets the basic eligibility criteria of the loan provider including instant online personal loan platforms.
Key Features of Instant Personal Loan Platforms
- Instant online personal loans available for both salaried and self-employed individuals
- Personal loans available between Rs, 50,000 – Rs 1,50,000.
- Fast loan application and approval process
- Even small-time and first-time borrowers can apply
- Low-interest rate starting at 2.08% per month
- Customized personal loan EMI calculator available to customize your loan requirements
- Flexible loan repayment options
- Hassle-free paperless documentation
- Online KYC verification
- Post approval, the instant personal loan gets directly credited to the bank account of the borrower within a matter of few hours
Eligibility Criteria for Instant Personal Laon
The common eligibility criteria for availing of personal loans are:
- Indian citizenship proof
- Applicant age between 21years – 58 years
- Minimum monthly income/salary requirement – Rs. 15000
- Salaried individual should work with either a private or public sector
- Mandatory KYC documents required – Aadhar card, PAN card, or related verified KYC documents
Availing of a personal loan has many benefits. So, get going and avail the personal loan of your choice from the plethora of credible online loan apps like HeroFinCorp, available on the Google Play Store for easy download.