Personal loan is the most popular type of loan offered by banks and NBFCs in India. One can take a personal loan to fund wedding, to pay emergency medical bills, to pay credit card outstanding, to buy expensive goods or to invest in business. Personal loan is easily available and is approved within 48 working hours* after submitting all the documents.
But when you apply for a personal loan, make sure that you follow the following rules…
Pick the right loan lender
There are many banks and NBFCs in India which offer a personal loan. But they have different eligibility criteria, required documents list, interest rates and other application fees. You should know which lender is offering you a personal loan on which terms. Accordingly you can apply for a personal loan.
On Ruloans, you can compare banks and NBFCs for personal loan online and choose a lender of your choice.
Calculate your interest rate
Interest rate for personal loan starts from 10.79%*. Every month in your EMI you pay a part of your interest rate along with the main loan amount. So while taking a personal loan, you should choose the lowest interest rate. Because the low your interest rate is, the fewer amounts you will be paying. So before signing on your personal loan agreement, make sure you have chosen an appropriate interest rate. You can use a personal loan EMI calculator to know exactly how much you’ll be paying as interest rate.
Check the additional charges
Every bank and NBFC charges additional amounts to the loan borrower. This is known as loan processing fees. The processing fees levied by banks and NBFCs ranges from 1% to 2%* in accordance with the loan amount borrowed. There are also loan pre-payment and part-payment charges applicable. The charges vary from lender to lender and depend upon the profile of the loan borrower. So know exactly which additional charges you may have to pay and exactly how much you’ll be paying.
Don’t apply at multiple places
When you apply for a loan product at multiple places, it affects your eligibility to get a personal loan. If your personal loan gets rejected from one place, it reflects on your credit score. So make sure you do not apply for a personal loan at multiple places.
Apply for a quick personal loan!