How and Where to Borrow for Personal Needs?
Don’t worry whether you are facing an unexpected loss or cash shortage and need immediate finance to overcome the financial crisis. Numerous lenders and financial products have been introduced that can be tailored to meet your financial needs. An increasing number of borrowers are inclined towards availing personal loans to meet their loan requirements.
What is a Personal Loan?
Personal loans are unsecured loans that individuals can avail either from a bank or from any Non-Banking Financial Company to meet their immediate personal needs. This type of loan is provided to the borrowers based on:
- Income Level
- Credit History
- Employment History
- Repayment Capacity etc.
To avail this loan, the borrower does not have to risk their asset in return, but in case of any repayment default from the borrower’s end, it is reflected in their credit report, which can create an issue in applying for credit cards or any other form of loan in the future. An instant personal loan is generally used for renovating a home, meeting marriage expenses, a vacation, a child’s education, purchasing electronic gadgets or home appliances, and meeting unexpected medical emergencies.
Eligibility Criteria
The eligibility criteria vary from bank to bank or from one Non-Banking Financial Institutions to other NBFCs. The general criteria of availing a loan include age, occupation, income, repay capacity, and residence place. You must have a regular income source to avail a personal loan. It is even affected by the employer’s credit history as well.
Where Can You Borrow from to Meet Personal Needs?
If you need funds to meet financial urgency, there are multiple places from which you can borrow money. It includes:
Banks
Banks are probably the first place borrowers can think of while planning to apply for a loan. These institutions offer a variety of products and services to the consumers like mortgages, personal loans, credit cards, saving and checking accounts etc. Unfortunately, the process of availing credit from banks is quite complicated and lengthy as the borrowers have to wait for long hours to get their loan request approved.
Friends and Family
In case if you have a low credit score or no credit history at all, then availing loans from friends or family members might be your lower-cost option. In such cases, you can avail loans easily from them. Moreover, it can be an excellent way to get a loan at a lower interest rate.
Online Lenders
Online lending has become quite popular in today’s digital era because of its quick prequalification and streamlined application processes. It is a great option if you are looking for a personal loan. TrueBalance is one such loan app that lets the borrower borrow up to INR 50,000 without any collateral backup in return. It lets the borrower avail loan quickly and without any hassle. Moreover, the personal loan interest rate charged by the lenders on this app is relatively low compared to other online lending apps.
Ways to Avail Loan from Loan Apps?
The steps you should follow to avail an instant personal loan includes:
- The first and foremost step is to download the loan app from Google Play Store or the Apple Store.
- After downloading the app, you need to log in through your mobile number or email ID.
- After this, you need to fill the loan application and upload the necessary documents.
- Once your application is completed, you must submit the form and wait for the lender’s approval.
For more information, you can visit the TrueBalance website!
