Best personal loans are one of the popular financial tools available in the current market. Be it a medical emergency, big-ticket purchase, traveling, home renovation, or investing in something big, personal loans are the most versatile and reliable form of debt. You can use the approved loan amount as per your requirement without any limitation. Traditionally, personal loans are designed to meet any financial need. The ease of application, quick approval, and disbursal are the reasons why the millennial generation is choosing this financing option during their credit requirements.
Quick personal loans are unsecured in nature which means you don’t need to pledge anything to avail the debt online. There are multiple banks, NBFCs, and online lenders who offer loans at attractive rates and convenient repayment plans. All you need to do is fill in the online application form, submit the required documents, and wait for a few minutes to get the approval. There is no stop to desires for which you will require instant funds to fulfill them, and no other financial instrument can beat the flexibility of best personal loans. In this article, we have listed up top five frequently asked questions associated with personal loans that will make a better experience while applying for a loan online.
What Is The Eligibility Criteria to Avail Best Personal Loan Online?
To enjoy instant loan approval, you need to meet certain criteria. But the criteria would differ from lender to lender. However, the basic criteria would remain the same for every lender. Check out the criteria parameters below -
- The age of the applicant should be over 21 years
- The borrower needs to be a citizen or resident of India
- The monthly net income should be Rs. 18,000+
- If you are a salaried individual, then your minimum work experience should be a minimum of 1 year or if you are self-employed, then the age of your business should be 1 year
Before you apply for a loan online, check for the eligibility criteria available on the respective lender’s website. If you do not match any of the criteria, then your application may be rejected.
What Are The Documents Required to Avail Loan?
To avail of a loan online, you need to submit a few essential documents for verification. Check out the below documents that most of the lenders will ask for -
- Identity proof (PAN/Aadhar card/Voter Id/Passport)
- Residential proof (Aadhar card/Voter Id)
- Salary slips of last 3 months
- Bank statements of last 3 months
- ITR file, profit & loss statements
- Photographs
Where Can I Use Personal Loan?
Be it planned or unplanned expenses, personal loans can be used for any purpose. Best personal loans are easily accessible, come with lower interest rates, flexible repayment options, zero pre-payment charges, and no hidden fees. You can borrow funds to expand your business, buy gadgets or appliances, renovate homes, or consolidate your existing debts. There is no restriction on using the loan amount. At Buddy loan, you can get a loan up to Rs. 15 lakh at an interest rate starting from 11% p.a.
Is It Important to Maintain a Good Credit Score to Apply for a Loan?
Credit score is an important factor that most lenders consider before approving a loan application as it shows the creditworthiness of the borrower. It is a three-digit number, calculated by the Credit Bureau of India. After evaluating the credit history and repayment capacity, the score is determined. Having a credit score of more than 750 is considered good. The higher your credit score, the better are your chances of personal loan approval. Maintain a score between 700-900 throughout the year to avail of loans instantly.
How to Calculate Best Personal Loan EMIs?
Personal loan EMIs refer to periodic payments made to settle the outstanding amount within a specified time. To calculate the EMI on your loan amount, you can use a personal loan EMI calculator which is available online.
Best personal loans are the one-stop solution for all your financial requirements. Before you proceed with your loan application, do proper research and then take the final decision!