May 04, 2017
Expert advice for a secured future there should be an effective investment plan and some of us follow these advices effectively. But having a full fletch plan of investment at times is not enough there are times where you need to access funds urgently? A medical emergency for a family member, Need fund for home repairs and more, Do you have enough liquid funds?
Travel to your dream destination or planning for your child’s higher education? Should you put your plans on hold because of lack of funds?
The simple answer is no!
While it is not easy to plan for unexpected expenses, accessing finance to manage them is – by using a Personal Loan. Instant Personal Loan approvals, flexi loans, pre-approved offers and attractive interest rates make Personal Loans the preferred means of financing for people all over the country.
What is a Personal Loan?
A Personal Loan is an unsecured means of financing – it requires no collateral or guarantor. You can use it to meet any expense that you want to manage – health costs, a travel plan, home repairs, or even a second car. You can use it to meet expenses of a lavish wedding too! Not only do you get to access a lump sum amount in one go, you have the benefit of repaying it at your convenience in easy installments.
Why take Personal Loans?
- Debt consolidation – Personal loans can help you consolidate high-interest credit card debt into a lower interest, fixed rate loans with manageable monthly payments that can help you get out of credit card debt faster.
- Buying a car – Interest rates for auto loans are usually lower than those for personal loans, so if you can get a car loan to buy the car of your dreams, go for it. Most banks won’t offer auto loans on older cars with lower resale value, however, since the collateral isn’t worth much. In that case, a personal loan is a way to go.
- Car repairs – If you have an accident, auto insurance often doesn’t cover all the repairs. You can take out a personal loan to get your ride back on the street fast.
- Medical expenses – When you have a serious illness or injury that requires hospitalization or emergency medical aid, the bills often come in faster than you can keep up. Always verify what portion insurance will pay first, but if you don’t have enough in savings to pay the rest, you can often use personal loans to pay your balance. Not only will it keep bill collectors off your back, but it will help your credit score.
- Family vacations – While you don’t want to mortgage your future on frivolous trips, taking a family vacation can often bring families together and must be timed when school is out. If you’re careful, you can use personal loans to take that trip with your family. The memories will last a lifetime, and the loan can be paid off in a matter of months.
Advantages of Personal Loans
- As long as you assure the lender that you will not be using the funds for speculative activities, criminal activities or gambling, you are free to use the capital the way you want.
- Of all the loans available today, getting an approval for your Personal Loan application is perhaps the easiest. A good CIBIL score and a stable income usually spell approval.
- As an unsecured loan, the lender does not have any asset to hold against your loan amount. To make up for the risk, the lender charges higher interest – usually between 12% and 22%. But don’t worry, if you have a valuable asset to keep as security, your lender may reduce the interest rate applicable.