Apply For Personal Loan

Why “Personal Loan” ?

 

In this day and age of web / internet everything you want / need is just a single click away. And so are loans. The loan process has also become very easier and more client / customer friendly. Merchandising has increased to such extent that it makes us want things NOW rather than wait for months or even years to save enough money to buy things we want.

 

 

Therefore, today we don’t have to think twice before committing ourselves to gratitude. The personal loan policies are quite promising nowadays, no doubt. But we have to be extra careful.

 

Un-secured loans like personal loans are usually very expensive. Whereas availing a loan has turn out to be affordable & simple, it does have its downside.

 

 

Here are some important tips to look-out for before you decide to avail personal loan

 

 

  1. You should do a complete and detailed market survey of the numerous options such as rate of interest they offer / provide, the prepayment charges they levy, terms & conditions.

 

 

  1. Rate of interest are the most critical of all the costs that you pay. So you should go for the cheapest option. Beware of banking terms such as flat personal loan interest rates that appear to be cheaper but are in fact the most expensive. For i.e. a 7% flat rate would come out to an effective cost of around (13%). Therefore it is better to choose a monthly reducing balance option than a half yearly reducing option or (flat rate) option. This means less effective cost for the same stated interest rate. Interest free loans are sometimes good to be true but view them with suspicion.

 

 

  1. There will also be other costs like processing charges. You should ask for (zero) processing fees & (zero) penalty for prepayment option. If this is not available, then lowest cost would be better. Make sure you work-out as to how much these different / other costs add up-to. So even though the rate of interest may be lower, it always adds up-to being expensive.

 

 

  1. Generally the EMI’s may come out a lot more than what you can afford on a monthly basis. But keep in mind that you should know that lower tenure will reduce the loan amount and lower loan amount will reduce / cut the tenure.

 

 

  1. Make sure that all offers agreed upon are supported by relevant paper’s. Make sure you always ask for a letter in a banks (letter-head) mentioning such as exact interest rate, processing fees, prepayment charges along with interest schedule. Make sure before signing the documents, you recheck all terms & conditions twice.

 

 

Finally, once you have received a loan do your best to pay it back as quickly possible. Banks make their money off the interest they charge & the sooner you pay back a loan the less money you’ll have to pay in interest. And again, thank you visiting our web-site.

Your Full Name (required)

Your Email (required)

Product Category (required)

Loan Amount (required)

Mobile No. (required)

I agree to Privacy Policy and Terms and Conditions.


Why “Personal Loan” ?

 

In this day and age of web / internet everything you want / need is just a single click away. And so are loans. The loan process has also become very easier and more client / customer friendly. Merchandising has increased to such extent that it makes us want things NOW rather than wait for months or even years to save enough money to buy things we want.

 

 

Therefore, today we don’t have to think twice before committing ourselves to gratitude. The personal loan policies are quite promising nowadays, no doubt. But we have to be extra careful.

 

Un-secured loans like personal loans are usually very expensive. Whereas availing a loan has turn out to be affordable & simple, it does have its downside.

 

 

Here are some important tips to look-out for before you decide to avail personal loan

 

 

  1. You should do a complete and detailed market survey of the numerous options such as rate of interest they offer / provide, the prepayment charges they levy, terms & conditions.

 

 

  1. Rate of interest are the most critical of all the costs that you pay. So you should go for the cheapest option. Beware of banking terms such as flat personal loan interest rates that appear to be cheaper but are in fact the most expensive. For i.e. a 7% flat rate would come out to an effective cost of around (13%). Therefore it is better to choose a monthly reducing balance option than a half yearly reducing option or (flat rate) option. This means less effective cost for the same stated interest rate. Interest free loans are sometimes good to be true but view them with suspicion.

 

 

  1. There will also be other costs like processing charges. You should ask for (zero) processing fees & (zero) penalty for prepayment option. If this is not available, then lowest cost would be better. Make sure you work-out as to how much these different / other costs add up-to. So even though the rate of interest may be lower, it always adds up-to being expensive.

 

 

  1. Generally the EMI’s may come out a lot more than what you can afford on a monthly basis. But keep in mind that you should know that lower tenure will reduce the loan amount and lower loan amount will reduce / cut the tenure.

 

 

  1. Make sure that all offers agreed upon are supported by relevant paper’s. Make sure you always ask for a letter in a banks (letter-head) mentioning such as exact interest rate, processing fees, prepayment charges along with interest schedule. Make sure before signing the documents, you recheck all terms & conditions twice.

 

 

Finally, once you have received a loan do your best to pay it back as quickly possible. Banks make their money off the interest they charge & the sooner you pay back a loan the less money you’ll have to pay in interest. And again, thank you visiting our web-site.