With the ever increasing cost of living and inflation rate in our country, it often becomes hard to balance our finances. You often face cash crunch to meet your evolving needs and emergencies.
If you are staying in a city like Bangalore where the cost of living is high, it is not always possible to have ready cash at your disposal. Hence, an instant personal loan in Bangalore could be the remedy in times of crisis.
CIBIL score is the main criteria in the approval of a personal loan application.
Still, you can get a personal loan in Bangalore with low CIBIL score if you provide collateral security for it. In that case, your personal loan interest rate may also be higher than others.
A personal loan has its own pre-requisites, advantages and disadvantages. The basic documents required for a personal loan are your KYC documents, salary slips, and bank account statements.
Read on to know some factors to consider before applying for an instant personal loan in Bangalore.
Instant personal loan in Bangalore – Consider these points
- Do you actually need to borrow?
The first point to consider before applying for a personal loan is your need to borrow money. There are certain expenses that you can avoid or postpone. You can use a credit card for your daily purchases. You should not take a personal loan for unnecessary purchases because it is easy to avail or you are eligible for it.
- Can you afford to repay the loan?
It is significant to assess your repayment capacity before applying for a personal loan. A personal loan is repaid in monthly instalments along with interest. You should apply for a personal loan only if you can afford to repay it with interest on time. If you do not pay the instalments on time, you have to pay the penalty charges for late payment. It would not be a profitable decision in that case.
- What is the suitable loan tenor for you?
A suitable loan tenor is an important consideration. If you are capable of repaying the loan, you should determine your loan tenor keeping in mind your future financial obligations. If you go for a small loan tenor, your EMIs would be higher. But a loan with a longer repayment period will not create a burden on your monthly budget as the EMI would be less.
- Which is the best deal for you?
You should apply for a personal loan only after researching on various lending banks and financial institutions. You can compare interest rates and terms of multiple lenders to make a better decision. You should not actually apply to check the interest rates. Too many loan applications can also harm your CIBIL score. You can check the personal loan interest rates online on the website of the lenders.
- What happens if you cannot repay it?
You should never ignore the consequences of non-repayment of a personal loan. A personal loan has long-term effects. If you are unable to repay it on time, it will affect other financial obligations of your life. It is because delayed payments attract penalty charges and have a negative impact on your credit score. The lending institution can even take some legal action. It is not favourable for your relationship with the lender for any future transactions.
Before applying for an instant personal loan in Bangalore, you should also inquire about the lender, the total loan cost, your credit score and loan eligibility.
Bajaj Finserv brings to you pre-approved offers on its various financial products like personal loans, home loans and many more. It is to simplify the loan procedures to make it less time-consuming.
You can check your pre-approved loan offer by sharing some basic details like your name and mobile number.