In India, the personal loan segment’s growth is projected to be at 10% between 2020 and 2025. The non-banking financial companies have become reliable sources of funding due to their lucrative features and less-stringent terms and conditions. By meeting simple eligibility criteria, individuals can easily borrow unsecured credit from top lenders at attractive personal loan rates.
Whether an unexpected medical emergency or higher education expenses, unsecured personal loans can cover diverse requirements effortlessly. You simply need to avail the best credit option at an affordable cost of borrowing. Reputed NBFCs like Bajaj Finserv bring additional features, including instant approval online, a substantial amount of up to Rs.25 lakh, 100% transparent policy, zero hidden charges, 24×7 online account maintenance and more.
The procedure to apply for such a low-interest personal loan is simple.
Qualify for the personal loan first
Various factors affect personal loan interest rates, including eligibility. Being a collateral-free loan, eligibility criteria are a major factor in this credit approval. The better you meet all parameters; the more are your chances of getting a lower interest rate. Some of these revolve around:
- Age bracket – Most lenders like Bajaj Finserv set their lower age limit requirement to 23 and upper limit to 55.
- Nationality – Borrowers must be residing Indians to enjoy the features and benefits of low personal loan rates.
- Job profile – Applicants must be a salaried employee of an MNC, private or public company. Self-employed individuals can also apply for unsecured loans.
- Minimum monthly income – This requirement depends on a borrower’s place of residence. If you are in Chennai, your minimum income must be Rs.35000 per month. For an applicant residing in Surat, the minimum monthly income should be Rs.28000.
Besides, you must hold the minimum CIBIL score of 750 to qualify for competitive personal loan rates. CIBIL or credit score is an important criterion for personal lending. It is a 3-digit numerical expression of your financial discipline, credit history, current debts, credit profile and various other financial obligations. You must improve this score to increase your loan approval chances.
Hand over the necessary documents
Documentation requirements for the best personal loans vary with different lending institutions. However, trusted NBFCs in India need a few basic papers like:
- KYC documents
- Last 2 months’ salary slips
- Employee ID card
- Last 3 months’ salary account statements
They also ensure borrower’s convenience by offering a doorstep document collection facility. You may be asked to submit additional documents only if required for verification.
Apply online for instant approval
Financial companies, especially NBFCs, have relaxed loan sanction procedures through online applications. Instead of visiting a branch in person or waiting long for approval, borrowers can easily apply for credit online and get the fund disbursed immediately.
Following are the steps to apply. Before proceeding, know the mistakes to avoid when applying.
Step 1: Log in to the lender’s official website.
Step 2: Access the online application form and fill it up with financial, employment and some personal details accurately.
Step 3: Select your required loan amount and a feasible repayment tenor. Make sure you have evaluated the same beforehand using an interest rate calculator.
Step 4: Wait for a representative from the lending institution to contact you. Following this, you need to hand him over the necessary documents.
Step 5: After your application is approved, the lender shall disburse the fund soon.
Alternatively, suppose you are an existing customer. In that case, you can opt for pre-approved offers on the Bajaj Finserv Personal Loan and numerous other financial products such as personal loans, business loans, credit cards, etc. Such schemes make the process of availing loans easier and time efficient. To check your pre-approved offer online, you need to use your name and contact number only.
No matter the interest rate, every loan is a financial obligation that can pose a burden if availed unplanned. To avoid debt, you can use online calculators for prior assessment and plan your repayment according to your current financial condition and future goals. This will enable you to make the best utilisation of credit at low personal loan rates.