Personal loans are there to fulfil personal needs – not just any needs but financial needs which keep arising from time to time. The concept of personal loans in India was never given much importance before because of the rates of interest used to be so high that people could hardly afford to take them. As things have changed now and banks have lowered their interest rates to suit the public’s interest, more and more people make use of personal loans to fulfil all their financial requirements.
Personal loans – what are they used for?
Personal loans are used for different reasons. This depends entirely on the wants and needs of the person who is borrowing the money. Some people put it to some kind of productive use while others just use it to pay off previous dues or to celebrate lavish festivals. Aspiring business persons are usually the only ones who make use of personal loans for productive purposes. This basically means that they use if for a purposes which helps them to eventually earn it back along with something in return.
Even people who take personal loans to purchase consumer durable goods aren’t actually using the money for unproductive purposes. This is so because they invest in goods which bring them some degree of satisfaction. When it comes to utilizing the money for festivals and marriages, it comes under the category of unproductive use of funds. Besides these, there are many other purposes for which personal loans are used; all of which the bank is not really concerned about. What matters to the bank is whether the borrower is in a financial state to pay back the loan or not.
Personal loans – How can you apply for a personal loan?
Applying for a personal loan is quite easy. The best thing to do would be to first make sure of the loan schemes offered by your bank and also find out the terms and conditions which need to be adhered to in order to be eligible for the loan. This can be done in two ways: either personally or online. The personal approach of visiting a bank and finding out about the various deals available on personal loans is now in the background. Now, people prefer to do mostly everything online. Since banks have realised this too, they make things easier for the customers by providing details regarding their services through the internet.
Another way, in which you can look into the various options and deals currently available from a particular bank or financial institution, is by conveniently checking online for detailed information. Once you are sure of what you want you can apply for the personal loan directly to the bank. This will be much easier once you know the entire procedure and documents required (from the information you seek online).
HDFC Bank guarantees reasonable and convenient Home Loan at your doorstep.
Widest range of approved projects.
Attractive Home Loan Interest Rate.
Wide range of Home Loan Products.
Assure hassle-free processing.
Loan from any office for purchase of home anywhere in India.
Loan approval before property selection.
Flexible repayment options.
Secured document storage.
Widest range of approved projects
The bank has highest number of approved projects across the country with reputed builders like Orris, DLF, Ireo, Emmar, Raheja and so on.
Attractive Home Loan Interest Rate
HDFC offers two types of interest scheme: Fixed rate of interest and Floating rate of interest. For Fixed rate loans the bank is offering fixed interest rate for first 3 or 5 yrs, and then would vary depending on the loan amount; for Floating the rate would be 10.75% upto 30 lacs ,for 30 to 75 lacs 11%and 75 lacs to 2crs 11.25%. Customer can also go for Partly fixed or Partly floating too.
Wide range of Home Loan Products to choose from
Home loans are offered for purchase of property either directly from the builder/resale or construct houses. The bank too offers loan for Home improvement, Home extension, land purchase etc. The organization funds on both residential and commercial properties.
HDFC sends representatives to guide you on the product and collect documents at your doorstep.
Assure hassle-free & easy processing
Bank would assist you throughout the process, to assure easy processing.
The bank helps you in property selection and evaluation of the same.
An application form duly signed by the borrower; a passport size photograph; address proof, identity proof, income documents, bank statement and a processing fee cheque.
Loan from any office for purchase of home anywhere in India
Vast network helps customer to visit any nearby branch to apply for the loan.
Loan approval even before a property is selected
You can get the loan approved before property identification; the loan would be appraised under the clause sanction applicable subject to legal and technical clearance of the property.
Flexible repayment options
The bank provides you the options like Step up Repayment Facility, Flexible Loan installments Plan, Tranche Based EMI, and Accelerated Repayment Scheme.
Secured document storage
Bank takes extraordinary measures to ensure that the title deeds mortgaged as collateral are in protected custody.
The bank caters Salaried, Self Employed Professionals and Self Employed Businessman. An existing HDFC Home Loan customer can avail other loans (like Personal Loans, Car Loans etc) at lower interest rates.
A visit through www.moneylaxmi.com would give you a good insight of home loan scenario. We offer transparent information about available options of home loan offers in India and aim at helping you in finalizing the best deal.
An unsecured personal loan is a loan on which particular borrowers do not require a form of security such as a house or car that being used to secure the loans. Instead the borrower”s entire personal credit history is measured through a credit check which is further used to decide when the particular loan will be offered to an individual.
Personal loan rates in the country generally vary on diverse criteria which purely depend on the income level. In the country, there are n numbers of banks and each of the banks has different classifications that based on diverse interest rate.
There are numerous important factors which usually determine particular personal loan interest rate which includes income, your company status, credit and payment history, relationship with the bank you intend to take loan from, individual”s negotiating ability and many others. Generally most of the personal loans in India have both good and bad points which give extra benefits to the people with their standard interest rate.
Without searching, you cannot find best deals for you. To get beneficial and advances solutions, it is important to get best deals which are offered by various companies in the country. Each company has its own rules and regulations which offer unsecured personal loans.
All these policies have both pros and cons but to understand them better, you need to compare these loans with each other to get beneficial results in the end. ICICI Bank, HDFC Bank, Bajaj Finserv, ING Vysya, Standard Chartered Bank, Citibank, Andra Bank, Bank of Baroda, United Bank of India and many others are some famous and renowned banks which provide personal loans in India.
Unsecured loans are generally for lower amounts as compare to the secured loans. Lenders usually have rigid requirements for borrowers which are concerned with the unsecured loans. Lenders usually prefer higher credit scores which will further considered as verifying income and comparing the debt to income ratio of the borrower.
The best way to get beneficial deals is by doing comparison between several unsecured personal loans in the country. Policy Bazaar compares these personal loan rates by using criteria and creates list of the unsecured personal loans that may be best deals for your personal circumstances. There are numbers of banks which offer personal loans in India. To get loan from these banks, you can easily apply for these loans to get beneficial results in the end.
Education finances are boon for people who want to do higher
studies but could not afford it. Education Loan in India is provided by
banks and financial institutions and covers fee for all years, which is
normally disbursed to the college/institute directly by the bank. The
finance amount also covers most of the boarding and lodging expenses.
Here are answers to questions that boggle one’s mind before taking an
What are the eligibility criteria?
The person taking the loan should have secured admission in the
institute. The institute or course of study must be recognized by
UGC/AICTE/AIBMS/ICMR, etc. The person needs to be an Indian citizen and
should be 17 years old or above.
What are the courses covered?
Education Loan in India is available for all approved courses leading
to Graduate/Post Graduate Degree and PG Diploma conducted by recognized
colleges/universities recognized by UGC/AICTE/AIBMS/ICMR, etc. Education
Loan is also available for part time courses and job oriented courses
subject to employability and earning potential. An education loan for
study abroad is also available for job oriented professional/technical
courses offered by reputed universities.
What are the expenses covered?
The amount is provided to meet all type of expenses which are necessary
for completion of course that includes purchase of books, equipments,
computer, travelling, study tours, boarding, lodging besides all types
What are Documents required?
Documents like age proof, address proof, proof of clearing last
qualification, prospectus of course, letter of admission, income proof
of parents or guardians, etc are mandatory to be submitted even before
the bank considers the loan application. The bank will verify the
enrollment of the student from the concerned institute. One may also
require collateral security such as papers relating to property to be
mortgaged if the loan amount is above Rs. 4 lakh.
Some banks or financial institutions require all or any of the following documents as pre sanction documents:
What is moratorium period or holiday period?
It is the maximum time given to the student after finishing studies
that go without catering any payments for your loan. Mostly, it range
from 6 to 12 months.
What is the repayment tenure?
The repayment tenure depends on the amount of loan taken and type of
course. The minimum time given to repay the loan is 1 years and maximum
is 10 years.
Why guarantor is mandatory?
The guarantor could be an applicant’s parents or guardians who take the
responsibility for the repayment of loan in case of any mishap. The
bank will go through the guarantor’s credit history and also verify the
same before sanctioning the loan.
Is there any tax benefit?
The moment a person start repaying the education loan, he/she can
deduct the interest amount from the total income while calculating tax.
This means the effective interest rate on the loan works out to a lower
State Bank of India is the foremost and most trusted banks in India. SBI along with its combine branches has a distribution more than 16,000 branches, which is the largest in any network of banking. BNP Paribas, Euro Zones leading Bank and is the oldest foreign bank having an existence in India. BNP Paribas Assurance has a chief presence in Latin America, Europe and Asia and is among the top15 insurance company in Europe. The company has other joint venture in Asia in countries like Vietnam, Taiwan, Thailand and South Korea.
SBI Personal Loan is the best options for individuals who require the urgent money. SBI also provides the attractive rates and easy flexible repayment options. Below are the various features, eligibility criteria and documentation required for the loan approval.
Features: People can avail SBI Personal Loan for various different purposes or events in life such as domestic or foreign travel, medical emergencies, marriage, education, paying the bills, consolidates the debt, dream vacations, small business establishment and home renovation. The bank provides the minimum loan amount up to Rs. 24,000 in metro cities and Rs. 10,000 in semi urban or rural cities. The maximum amount is 12 times net monthly salary for pensioners and salaried person and the maximum loan amount is up to 10 Lacs.
There is no need to give any security or collateral to the person for availing Personal loan. The maximum repayment period is up to 4 years.
Eligibility: The salaried person who has two years experience from any reputed company is eligible for SBI Personal Loan. The self-employed individual with 2 years of experience is eligible for the personal loan.
Charges: The banks charge the processing fee from 2 to 3 percent of the loan amount. The banks also charge the prepayment charges up to 1% of the loan amount if the borrower repays the loan before 6 months of the loan period.
Documents Required: The documents required by the banks for salaried individual are Application form with recent two passport size photographs, latest salary slip, residence proof, ID proof and bank statement for last three months.
Self employed individual have to give the documents like the application form with 2 photographs, Income Tax Returns (ITR) for last two years, proof of Residence, identity proof and bank statement for last six months.
People can get the instant approval for SBI Personal Loan if they are eligible and provide all the required documentation to the bank.