Top 8 Reasons Why People Take a Personal Loan
Aug 19,2019 Borrowing, OMLP2P Loans, Personal Loan, Digital Loan, Online Borrowing, Instant Personal Loan
Whenever there is a financial emergency or a cash crunch, you look for ways to get instant access to funds. One way to get funds is to avail a personal loan. Personal Loan provides individuals liquidity support to the borrowers to take care of their financial requirements. Personal Loan are primarily all purpose loan. Some of situations under which people prefer to apply for a personal loan instead of other loans are listed here in below -
- Pay Medical Bills: Medical emergencies come unannounced. There might be a chance that your insurance plan might not have enough cover for few of the medical treatments. In such case of medical emergency, one may avail the personal loan to match the temporary financial requirements.
- Go on a Vacation: Going on an exotic vacation is one of the best way of giving yourself a break from the monotony of everyday life. We all look forward to small breaks with our friends and family whenever possible. Such vacation may be planned by availing personal loan, which may be paid in small EMIs in due course.
- Renovate / Decorate a House: Home Renovation is like giving a new soul to your home. Whether it is upgrading your kitchen or giving new interiors, home renovation requires a set budget. Such renovation need not to be deferred or abandoned due to non-availability of money or be kept on hold to save the money to spend for renovation. Once the amount is decided, you can apply for an easy unsecured personal loan and get the house renovation completed. Unsecured Personal loan for house renovation may be paid in easy instalments over a period of 3 to 36 months.
- Pay Credit Card Bills: If you feel that your credit card bills from multiple banks are piling up each month and you are having a hard time managing them, you can avail a personal loan. Credit card company usually charges 36% p.a. and more type of interest for such deferment of their dues. An unsecured personal loan helps in time to repay the entire overdue on credit card and handle such debt with easy EMIs. Usually personal loan is cheaper than interests and charges being charged by Credit card companies, effectively a smart borrower may pay his debt over a period of 36 to 48 months from his interest saving differential of personal loan over Credit card loan.
- Manage Unexpected Expenses: We do have a lot of unexpected expenses from time to time. Some are avoidable and some are not. One of the most effective way of coping the unavoidable unexpected expenses by taking personal loan. A good credit score definitely help to avail such personal loan to handle such situation without much of stress.
- Manage Marriage Expenses: Marriage in India is the bondage of two hearts and families. Families play a major part in marriage that includes invitations, decor, entertainment, jewellery and clothes. Marriage being a major event in the family life, every family member wants it to be perfect and fun filled lifetime experience. Such event of happiness can be managed and handled well with personal loan.
- Pay Off Your Debts: Debt consolidation means taking out a new low-cost personal loan to pay off several existing high interest loans and consumer debts, generally unsecured ones. Usually with more favourable payoff terms a lower interest rate, lower monthly payment or both. With multiple loans and debt, personal loan is one of the fastest way to balance the finances and clear the debts.
- Finance a New Business: To start a new business is a big step and to run this business you need funds. Personal Loan, or even Small Business Loans for that matter help in getting the right funds with which you can start own business. Once the business picks up the right pace, one can repay the personal loan time to time.
While personal loan seems a fabulous idea, it is important that a person borrow only in accordance with their ability to pay the EMI's, any abrupt borrowing, not being able to service in time, result into poor Credit score; which not only reduces the chances of getting loan in future, also increases the cost of borrowings in future, click here to learn ways to improve your CIBIL score.
Every financial prudent personal should ensure for timely payment of loan EMI's so that they can avail loan, in case of requirements with ease and lower interest rate.
How come peer to peer lending platforms help you to avail personal loans, Indian P2P lending platform provides online unsecured loan to the extent of 10 lakh for various purposes like Marriage Loan, Loan for Debt Consolidation, Credit Card Loan, Consumer Durable Loan, Home Renovation / Decoration Loan, Rental Deposit Loan, Medical Loan, Travel Loan, etc at a very competitive interest rate with minimum formalities like;
- Identity Proof: PAN Card
- Address Proof: Voter ID / Aadhar Card / Driving License / LPG Bill
- Passport size photograph
- Income Proof:
For Salaried Person - a) Last three months' bank statement into which salary is credited b) Form 16 / Last three months' salary slips
For Self-Employed Person - a) Last twelve months' bank statement b) Last two years' Income Tax Returns (ITR) c) last two years Profit & Loss accounts and Balance Sheet
While one apply on P2P lending platform, one need to ensure that the platform is Registered with RBI (Reserve Bank of India), leading P2P lending platforms in India are www.omlp2p.com, IndianMoneyMart.com, Etc.
Apply for a quick Online Personal Loan and enjoy the benefits.