Looking for an Instant Loan Online? Here Are 3 Things You Need to Check

When it comes to taking out a loan, time is of the essence. When you’re hit with an emergency, all you want then is to receive a much-needed infusion of extra cash to meet the emergency, get it out of the way, and not worry about it anymore. Unless you have family members and/or friends at hand to help you, you’ll most probably have to avail an instant loan online. With such a loan, the expectation is twofold: one, that the process of availing the loan is smooth and simple to understand, and two, that the funds can be accessed instantly (once the loan is approved). If your lender can’t offer you even this basic feature of convenience, then it’s time for you to get an instant loan online. Even then, there are certain things that you need to check while availing an instant loan. We’ve listed out 3 of them for you. Read on:

The Affordability of the Loan

How do you decide if your loan is affordable or not? By going beyond just the interest while evaluating your loan offer! A common mistake that most borrowers make is that they only look at how high the interest rate on the loan is, and then decide if they can afford the loan solely based on that. But the affordability of a loan includes so much more than just the interest amount. There’s also a wide array of charges, which, if left unchecked, can cost you. Each lender has a list of charges that come with every loan, processing charges and pre-closure charges aside. It is recommended that you have a thorough look at that as well.

Your Actual EMI Amount

When you try availing an instant loan online today, you will see that no matter who the lender is, they will have a separate tool/feature called the ‘EMI Calculator’. This is a tool that helps you accurately estimate your EMI loan amount, based on certain inputs that you provide. The inputs are nothing but the principal amount, rate of interest, and tenure. The answer you see is very accurate, so this is also a good way to see if you can afford the loan in the first place before you try getting instant loan approval.

The Documentation

Before you even hit the ‘apply’ button to get an instant loan online, checking out the required documentation is also something you need to do. Sure, you might be totally fine with the interest rate, and an instant loan company might also be able to give you the amount you’re looking for, at a tenure you’re comfortable with. But all of this will amount to nothing if you don’t have all the required documentation in place. It has now even become a common practice for all borrowers to prepare a file of all documents before they apply for an instant loan.

Wrap Up

The above three points, if you think about it, apply to any type of personal loan. Make sure you go through the above three points and make an informed decision before deciding to borrow.

Popular posts from this blog

All You Need to Know About Unsecured Business Loans

Business loans are sanctioned to existing business owners or budding entrepreneurs looking to start their own business. The business loan amount helps them get their idea off the ground. Existing business owners can use the funds to take care business expenses. The loan amount includes the principal amount which is paid with interest in monthly installments. How affordable/reliable is a business loan? Can you, as a business owner honour your installments on time? Other than loans from banks and NBFCs, you can get personal loans for business from FinTech lenders as well. In this article, we discuss business loans in detail. Business loans are broadly categorized into two types - secured business loans and unsecured business loans. What is an Unsecured Business Loan? The main difference between secured and unsecured business loans is that the latter requires the you to offer collateral while an unsecured loan does not require you to pledge any security. For a lender, secured business lo...
Read more

3 Advantages of Consolidating Debt Using a Personal Loan

Whenever you’re faced with a financial emergency, taking out an instant personal loan is sure to be among the top choices that you would usually consider, in terms of coming up with the required funds. This is primarily due to the convenience they offer, from the reduced TAT and loan disbursal time, to the minimal documentation required. Today, it is very easy to get an instant personal loan, owing to the vast number of banks, NBFCs, and FinTech companies that provide them. Whether you need a personal loan in Bangalore, or a personal loan in Chennai, you can get one in a matter of minutes.  While it is always a good idea to borrow only how much you require, it may so happen that you end up taking a number of such personal loans in quick succession. In such cases, your financial goals are sure to take a hit, because a lot of debt accumulation has now taken place. While keeping track of numerous EMI payments can be tough, there is an option that can make your life easier – con...
Read more

Tips to Get a Personal Loan with Low Credit

If you’ve ever borrowed a personal loan before, you’ll know exactly how important your credit score is for your personal loan’s approval. Your credit score is the gold standard against which all lenders across the country evaluate your loan approval. They use this to decide how risky it would be to sanction your loan. If you have a high credit score, you’d be a low-risk applicant for your lender. If your credit score is low, you’d most probably represent a high-risk proposition for your lender. Your credit score is a three-digit number that illustrates how financially responsible you are. It summarises how much credit you’ve availed of until now, your repayment behaviour, and your credit history. By now, you must be thinking that applicants with a low credit score cannot get a personal loan . But that’s not true. Here are four tips you can try to get a personal loan despite a low credit score: 1.Prove That You Have Good Repayment Capacity When it comes to getting a low credit personal ...
Read more