PERSONAL LOAN

A personal Loan is a loan for your personal use, be it your child's wedding, a dream vacation, or a shopping extravaganza. A personal loan does not require any security or collateral and can be availed without much fuss. Typically personal loans range from Rs. 50,000 to Rs. 20 Lakh with a tenure typically ranging from one to five years. Getting a Personal loan is quite stress free and there are typically a number of offers in the market most of the time.

Apart from the rate of interest banks also charge some fees which are usually of two types. Once when you are applying for the loan and once when you are pre-closing the loan. The fees when charged at the time of processing called as Processing Fees vary from 2-3% of the loan amount. This could be reduced if you have the ability to bargain. the second charge is the prepayment penalty paid at the time of pre-closure. This too varies from 2 - 3 %. Similar to processing charges, you can also try to get this fees reduced.

PERSONAL LOAN ELIGIBILITY CRITERIA:

Personal Loan Eligibility Criteria can be fairly stringent, considering banks need to mitigate their risk. Most people with a regular source of income such as salaried individuals or self-employed individuals can avail a personal loan. Banks consider salaried individuals, self-employed professionals and self-employed business people.

Personal Loan Amount

An individual can borrow as much as they can repay. This in banking terms would mean a personal loan that has an EMI that does not exceed 40% of your monthly take home income, where the EMIs for existing loans are also deducted.

Personal Loan Interest Rates

Personal loan rates vary from bank to bank, and are anywhere between 14%-26% depending upon your profile and the policies/scheme you decide to opt for. In case you need to find out more about personal loan rates please feel free to contact us.

NCPL loans works with a wide range of personal loan providers to get you the best deals and interest rates for your financial profile.

How Fast Can I Get a Personal Loan? (Instant Loans)

Personal loans don't take too long to process. Banks usually disburse your loan within seven working days. However, it is recommended that you keep all your documents ready and in order, especially the post dated cheques (PDC), to avoid any delays. How fast you get your personal loan is dependent on your document collection process.

Personal Loan Co-Applicants

Personal loans can be taken with Co-Applicants to help you increase the loan amount you are eligible for. The income of the co-applicant also features in your valuation and helps in increasing your chances of getting a personal loan.

Personal Loan Tips

  •     Getting a personal has never been easier. Whether it is your childs marriage or that dream vacation you have always wanted. Your just a personal loan away from your desires.
  •     In addition to that the loan process has also become so much more easier and customer-friendly. So instead of waiting and saving over years, experience now and pay for it later!
  •     Although personal loan schemes today are great, one needs to choose their loan very carefully, to avoid paying more later on.
  •     Unsecured loans, such as personal loans are also very expensive. While availing a loan has become affordable and simple, it does have its drawback.

Below listed are some tips that you can use to look out for before you decide to sign up for a personal loan:

  •     Do a solid research project to understand the various options in the market and compare the interest rates they offer, the pre-payment charges they levy, and the terms and conditions.
  •     Even while your loan amount may be conservative, your interest rates will certainly not. After all this is the direct revenue that banks make when giving you a personal loan. In all your searches, you must try and find the cheapest option. You should be aware that certain terms that banks use can be misleading and terms like flat personal loan interest rates that appear to be cheaper are in fact very expensive. Taking an example of a 7% flat rate, you would really be estimated to pay about 13%. Try to choose a monthly reducing balance option as opposed to a half-yearly reducing option or flat-rate. There is no such thing as an interest-free loan. Even if you find an offer look to back it up with credible information from credible sources.
  •     Processing charges will typically be levied on your personal loan. This is a bargaining point for you. Most banks would waive off your processing fee in the interest of disbursing the loan to you. Do not forget to factor in these costs into your loan.
  •     One important tip is when selecting your EMI. Do this very carefully. It will be a battle between paying off your loan in a shorter span of time or paying more over a longer period of time. The lower the tenure the lower the total interest you are paying in the long run.
  •     Any deals you get offered should be backed by paper or documentation. Always ask for a letter in the banks letter-head clearly mentioning the exact rate of interests, processing fees, pre-payment charges along with the interest-schedule. Before you sign any documents, make sure you recheck all the terms of the loan deal.
  •     Do not present the bank with any false information. You might end up being blacklisted or never being eligible for a loan at the very least. Even if you get away with it, eventually the establishment will come down on you harder and stronger.
  •     Signing blank documents is absolutely unadvisable. Even if it takes you a few hours to fill-up the form, please do so and read the fine print carefully. Do not leave anything for the executive to fill-up.
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