Comodo Logo
9:30 AM - 6:30 PM


Registered with RBI

CoR No. N - 13.02258

OMLP2P Blogs

Is Taking a Joint Personal Loan Beneficial?

Several borrowers opt for a joint personal loan with a co-applicant - usually a family member. As a result, the co-applicant also becomes responsible for the loan repayment. Should you opt for a joint loan?

When you get a co-applicant, your eligibility for the personal loan enhances. Before proceeding, you need to know about two important things

a. Credit Score:
The credit score of your co-applicant can affect your loan approval and amount. If your co-applicant has bad credit score, it can significantly weaken your chances of getting a loan. Thus, it is crucial to check your co-applicant's credit score before you apply for a personal loan with them.

b. Responsibility of Repayment:
Applicant and co-applicant should not forget the fact that the responsibility of paying monthly EMI's rests on both of you. If the Borrower/Applicant fails to pay the monthly EMI, then Co- borrower/ Co-applicant should be prepared to complete the payment on the partner's behalf. Defaulting on monthly EMI payments will affect credit scores of both.

Benefits of taking Joint Personal Loans

a. Higher Loan Amount
Since there is an additional applicant in a joint personal loan, lenders usually approve higher loan amounts. The collective income of both parties, along with their creditworthiness, will be critical for loan approval here. If both individuals applying for the personal loan meet the eligibility criteria, you are likely to get a higher loan amount at a competitive interest rates.

b. Ease of Repayment
The obligation of paying off the personal loan is not limited to just one individual but falls on both applicants. Therefore, individually, both loan applicants get to benefited with lower monthly EMI's and a smaller tenure. This also significantly reduces your interest obligations and supports you to get rid of debt / loan liability relatively quickly.

Joint loans are undoubtedly a great option to pass through complex financial situations. Nevertheless, it is best to keep away from taking such loans in case you are retiring soon, already having obligations, or have a poor credit situation. This is crucial as rejection can carve a dent in both yours and co-applicant's credit history.

So, if you are applying for a joint personal loan, make sure that you have your finances in order first.


Post Comment
Please Enter Comment

Borrow Money Online at, A New and Better Way of Taking Personal & Business Loans
IMC's India calling conference - March 25, 2019
OMLP2P - Zee Business
OMLP2P Lending Process

  • Categories
  • Popular
  • Comment
  • Peer to Peer Lending - Future of Digital Loan Market in India

    Great Post

    Read More....
  • How do I apply online for an instant personal loan?

    Required 40000 loan for medical emergency

    Read More....
Peer to Peer Lending (5) Investment (13) P2P Lending (10) Stock Market (1) SIP (1) CIBIL (2) Credit Rating (1) Loan (32) Personal Loan (22) P2P Loan (6) Borrow Money Online (5) Invest Money Online (4) Peer-To-Peer Lending (1) Earn Higher Returns (1) Instant Personal Loan (1) personal loans (2) Quick Online Loans (1) p2p loans (2) travel loan (2) holiday loans (1) personal loan for travel (1) personal finance (1) investing (2) P2P Investments (1) personal loan (22) online personal loan (1) compare personal loan (1) cash crunch (1) all purpose loan (1) Business Loan (8) Working Capital (2) Equipment Financing (1) Business Expansion (1) Office Purchase (1) Debt Consolidation (1) Travel Loan (2) Home Improvement (1) Home Renovation (1) equity shares (1) Equity Market (1) P2P trends (1) P2P market (1) Investing in P2P (1) Peer-to-Peer (P2P) Lending (1) small business loan (2) business loan (8) p2p loan (6) Business Loans (1) Protection Insurance (1) P2P Loans (2) Small Business Loan (2) Emergency Fund (2) Defense Against Debt (1) Financial Hardship (1) Building Wealth (1) wealth building strategies (1) keys to building wealth (1) Working Capital (1) Capital of a Business (1) Working Capital Management (1) p2p lending (10) investment portfolio (1) Borrowing from Friends and Family (1) Loans from Family and Friends (1) Borrowing money from a friend (1) Tax Provision (1) P2P Investment (2) Income Tax (1) Annual Percentage Rate (1) APR (1) Loan Repayment (1) Defaulted Loan (1) Auto Investment (1) Post Lockdown (1) Financial Challenges (1) Small Loans (1) Credit Score (2) CIBIL Score (1) EMI Payment (1) Loan Payment (1) Equated Monthly Installment (1) Credit History (1) alternative assets (1) alternative finance (1) Diversified portfolio (2) Medical Emergency (1) Top Up Loan (1) Family Finances (1) Unsecured Loan (1) Personal Loans (2) Credit Cards (1) Loan Application (1) Interest Rate (1)
Call Now