Referral program – more pros, less cons
One of the best ways of building an additional source of income today is by signing up for a referral program. Referral programs are of various types, and you can sign up for a personal loan referral program to earn a decent income. Also called as unsecured loan affiliate programs, they require you to refer personal loans to people in your social circle to make an extra income. There are various other referral programs that help you earn a side income this way. In this article, we list the pros and cons of a referral program to help you choose whether you should opt for it.
Benefits of a referral program
- A legitimate source of income
Money earned through a referral program is as legitimate as your salary. Respected banks come out with these schemes to help more people know about their products. Take for example the IDFC FIRST Bank’s personal loan referral program – MyFIRST Partner. Working closely with a reputed bank can help your career prospects, too!
- Helps you earn a side income
A referral program such as an unsecured loan affiliate program is one of the best ways to earn a side income in India. You can continue earning extra money through a personal loan referral program even while doing your regular job.
- Improves your interpersonal skills
Both recruiters and job seekers today underline the importance of interpersonal skills while seeking a job. Fortunately, this is a skill that you can develop while associating yourself with referral services. What’s more, you can earn an extra income while learning the skills simultaneously.
- Betters your financial health
An extra income in the family is always a plus. Building a second source of income by signing up for an unsecured loan affiliate program can help you better your overall financial health by increasing your income.
- No investment is required
Referral programs do not require the referral partner to make any initial investment. This is a very significant benefit of referral programs, which allow more people to be associated with them and earn more money.
Things to keep in mind while opting for a referral program
Let us now look at some downsides of a referral program. The points mentioned below would not necessarily qualify as “cons”; but you must consider them before signing up for a referral program:
- You will have to put in the effort
Most referral programs do not require a lot of effort from your end but bear in mind that nothing worth having comes easy. To earn a significant amount from a referral program, you must constantly work on your interpersonal skills and reach out to people.
- Helping the referred person
You are expected to help the referred person while referring the product to them. This holds true, especially for unsecured loan affiliate programs where the referral partner is expected to help the referred person with filling out the loan application form.
- Money earned is not the same every month
While referral programs are great ways of earning extra money, the money earned might not necessarily be the same every month; since it depends on the number of referrals made by you.
Having thus taken view of referral programs and understood their benefits and downsides, we hope you are in a better position to decide whether you wish to opt for one. If you do decide to opt for one, we recommend signing up for referral programs launched by banks and financial institutions since they are more legitimate and reliable.