A personal loan is like an all-weather friend that can help you tide over an unforeseen financial crisis, no matter when or where. Typically offered at minimal eligibility criteria and with little paperwork, a personal loan – unlike a car or home loan – allows you the freedom to use the money however you like. The instant personal loan, a digital version of the traditional personal loan, has made the application process even more hassle-free and convenient, enabling the applicant to access funds on the same day. However, for all its ease and simplicity, there are certain things you need to be careful about when applying for an instant personal loan. Read on to get the low-down on these crucial dos and don’ts.
Dos of Applying for an Instant Personal Loan
- Conduct a thorough online research, visiting the websites of various banks and comparing loan offers including their rate of interest, processing fees, and terms & conditions. Choose one that best fits your unique requirements and preferences.
- Use a free and online personal loan calculator for a precise idea of your loan tenure, rate of interest, and amount you will have to pay as EMI every month.
- Unless it is one of the reputed public or private sector banks, make sure to check the reputation and credibility of the lender in question. Do some research to find out if the credit institution is genuine and authorized by the RBI.
- Since an instant personal loan has a paperless application procedure, you need to keep soft copies of your essential documents ready. These include a passport size photograph, your identity, address, and income proof.
- A high credit score – 750 or above – ups your chances of being approved for an instant personal loan. So make sure you have a good credit report in order to be approved by the lender and even be allowed more favourable terms such as a lower rate of interest.
Don’ts
- Even if you’ve been thinking of applying for a personal loan, don’t accept the first loan offer you come across in your mail inbox. Do your research and compare offers before finalizing anything.
- Even if you qualify for a higher sanction, do not borrow more than you actually need. Otherwise you may end up paying interest on a sum that you didn’t even need.
- Do not apply for multiple loans with different lenders at the same time. Since each loan application typically results in a credit score check, too many loan applications may end up lowering your credit score.
An instant personal loan can truly be a financial saviour in times of crisis. All you need to do is follow the above-mentioned do’s and don’ts to safeguard your interests as well as up your chances of getting fast and easy loan approval.
While there are several instant personal loan offers on the market today, one of the best is offered by IndusInd Bank. Known as the Indus Easy Credit Personal Loan, this quick and hassle-free loan has a completely paperless application procedure. Additionally, it comes with customer-friendly features like low rate of interest, low processing fees, and flexible repayment tenure. Apply today!
Hey, this is Johny Sehgal. I am the owner and caretaker at Finance Jungle. I completed my education in BSC and now heading towards the digital marketing industry. I usually have interests in reading, playing games and watching movies. I also love to write content based on quality information. The main motive of mine is to provide the top and best quality information to my readers. Finance Jungle is the blog for the same.
