Personal Loan – To Live Life To The Fullest
A new year is all about making your wishes come true. Sometimes desires remain unfulfilled due to lack of money. A new gadget or a new bike or a home renovation or a small vacation with family and friends is a small expense that can enrich your life. However, all of us postpone or cancel such plans as money becomes an impediment. This is where personal loans come to your rescue.
What does it mean by personal loans?
As the name implies, personal loans meant loans taken by an individual for a variety of personal reasons. These are collateral-free loans and are taken for a short duration period. Some personal reasons include:
Medical emergencies
Marriage expenses
Vehicle loan
Education expenses
House renovation
Vacation expenses
Debt consolidation
Buying a gadget, etc.
The personal loans are unsecured and are offered to eligible applicants instantly. Instant personal loans are generally taken for a period of a few months to five years. The instant loans are generally for a small amount ranging from Rs.50,000 to Rs.5 lakh(in some cases up-to Rs.50 lakh). Personal loans are getting extremely popular among people especially the young generation because of flexible repayment tenure and quick disbursal.
Who are eligible to apply for an instant personal loan?
The instant personal loans can be availed by both the salaried and the self-employed personals. However, some instant loan apps only extent the services to the salaried class. The availability of loans depends upon factors like financial stability, age, income, credit score among other things.
What things to keep in mind before applying for an instant personal loan?
A personal loan looks easy to avail, however it can also become a debt trap if a borrower doesn’t use the money judiciously. Some other important facts to keep in mind before getting a personal loan are:
Interest rates
A personal loan has high-interest rates because no collateral is required. A borrower must check with different lenders before applying.
EMIs
The loan amount is repaid in equated monthly instalments over some time. A borrower must fix an EMI that is financially viable to repay without default. The longer the tenure of repayment, the lesser is the EMI.
Processing fees
The loan application is processed by the lender for a fee. The processing fees are a single time payment to be made by the borrower and vary across the lenders.
Loan tenure
The loan tenure determines the EMI amount and is usually between a few months to a maximum of five years.
Pre-payment option
A borrower may be penalized by a lender for the pre-payment of a personal loan. A borrower must properly research before availing of an instant loan.
What are the eligibility criteria to get a personal loan?
The eligibility criteria to avail of an instant loan are:
Age: An applicant must be between 21-60 years of age
Must be an Indian resident
All major Tier I and Tier II cities
Stable income source
Conclusion
For all unplanned expenditure, a personal loan is a dependable life partner. It enables you to access the required funds without neutralizing your savings. Whether it is a financial emergency or a leisure trip on weekend, an instant personal loan is an easy way to afford all your expenses and enjoy your life without worries.
Download the LazyPay app, get your credit limit and enjoy making those purchases like you never have !!!
