5 Points to Consider Before Applying For Personal Loan

Since Personal Loans are given to individuals without any security for their personal use, its demand is quite high in India. Not only are they easily available but you will have complete freedom over its usage as the lender won’t be monitoring it.

Apply & compare personal loan

Though the advantages offered by personal loan are numerous, applying for it just because you can fulfill all its eligibility criteria is a strict no-no. If you think that repaying the money will affect your finances, you better think twice before borrowing. As a borrower, you should not only compare the loan before applying but also ask yourself few vital questions.

Applying For a Personal Loan? Few Vital Points to Consider

  • “How Important Is It?”

If you are applying for the mortgage to buy something expensive, think whether it’s just a luxury or a necessity. Using your credit cards for daily transactions is a cool idea and you can earn reward points as well. You can even repay the outstanding amount before the due date. But taking a mortgage to buy something expensive which is actually not necessary is never recommended. The best you can do is save your money and buy it later.

  • “Is The EMI Affordable?”

EMI or Equated Money Installment is the fixed amount you have to pay to your lender every month. The date is specified and the EMI comprises of both the principal amount and the interest. When you take a personal mortgage, you have to follow a strict repayment schedule. If you are not sure about your capability of paying the EMI, its better you rethink.

Loan Application & compare

  • “Is It Fine To Borrow For A Vacation”

Though everyone needs a break at frequent intervals, applying for a mortgage just because you don’t have sufficient cash for all the expenses is not a cool idea. The main objective of a vacation is to relax. Since you have to repay the money after your return, you can’t have complete peace of mind even during your vacation. Even if you are taking the mortgage, think how you will repay it before starting the tour.

  • “When Should I Apply For The Loan”

If you have numerous credit card debts, taking a mortgage to repay those is a cool idea. Consider the repayment tenure and decide whether the shorter or longer tenure is more suitable for you. Whatever be the time you are applying for the loan, look for a consultant who can help you with Loan Application and comparison in India.

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  • “What Will Be The Consequence If I Can’t Repay On Time?”

Considering the long-term effort of the mortgage before applying is a must. You need to think of the situation you might face if you can’t pay the EMI on time. If you accidentally lose your source of income in the future, you might have to face extra pressure. Every late payment will have a negative impact on your credit score.

This being said, make sure to consider all the points stated above & myths for opting loan application so that you can compare and choose the best loan!

5 Benefits Of Obtaining Unsecured Personal Business Loans In India

Are you in immediate need of working capital for your company? Do you need the money in cash? Looking for loans with minimal paperwork, no collateral and easy approvals? Trust us; opting for an unsecured business loan can undoubtedly be one of your best decisions for your company!

Unsecured Personal Business Loans

No matter whether you require the money for your proprietorship, partnership or a limited company, applying for a mortgage which is supported by your creditworthiness can undoubtedly be an informed choice. These are funds which are obtained without using a property as collateral for the advance. Be it your need for a start-up company or expanding the present organisation, you are free from pledging any of your assets or properties. It is these factors which make this type of mortgage ideal for all your business needs!

Still wondering what makes this loan so advantageous? Then take a look below to get your answers!

Top Benefits Of Choosing Unsecured Personal Business Loans In India

  1. Does Not Depend Upon The Worth Of Any Collateral

One of the greatest benefits you can avail by obtaining this type of funding is that it does not depend upon any collateral of asset or property. As compared to the traditional secured mortgage, the lender here makes decisions based on you, your creditworthiness, your cash flow and your company’s state.

  1. Can Offer Higher Loan Amounts

Unlike secured funding which is limited by the value of the collateral, with insecure funding, you are free from such limitations. If the lender feels that you have great creditworthiness and your company is in a stable position, he may grant you a mortgage of higher amounts (more than what you would obtain through a secured one.)

unsecured personal loan

  1. Easy To Attain Than The Secured Mortgages

Another great and unique advantage of choosing unsecured personal business loans in India is that it is easier to obtain than the secured funding. Unlike the secured mortgage which involves evaluation of the assets, the insecure funding is free from this step. Thus, with little paperwork and no assessment of collateral, it is easier and faster to obtain this funding. Once approved, you may have the funds available to you within a few working days.

  1. Offers Additional Flexibility

What makes this type of funding one of the most preferred options among entrepreneurs is the ability to avail numerous flexibility. As long as you have a good position in the industry, you can apply for more capital. You can easily have extra cash in hand without having any leverage against any of your property or asset. From covering the monthly payroll to purchasing new inventory, you can use the money for any of your commercial purposes.

  1. Adjustable Payments

The amount you are supposed to pay back your lender on a regular basis depends on the profits your company is incurring. This means that the amount repaid will be adjusted in accordance with both profitable and loss-making times. This allows you to pay the money as per your convenience.

Now, don’t you think that this kind of funding can indeed be advantageous for you? Get some useful advice from http://www.bazaarmoney.com/unsecured-personal-business-loans-india.php a reputed financial expert and start applying for the right unsecured business loan!