Personal loans can help you out of a financial crisis or even when you want to make a big-ticket purchase. Financial institutions have made the process of application and disbursal of such loans easy and less time-consuming. Hence, you can now apply for a personal loan online and avail the funds within one working day.
Some of the golden rules to follow when you take a personal loan:
1. Calculate the EMIs
Use a online personal loan calculator to calculate your monthly installments before you apply. Knowing your EMIs will help you plan your repayment more effectively.
2. Choose the tenor carefully
Your EMIs and the total amount that you repay will depend on the tenor you choose. Longer tenors will make your EMIs more affordable. On the other hand, shorter tenors reduce the total repayment amount or the total cost of loan.
3. Check the charges
There are various charges associated with a personal loan like processing fees, cheque bounce charges, secure fees, part-prepayment charges, foreclosure charges, etc.
You will also have to pay additional charges when you avail an NOC, interest certificate, foreclosure letter, etc.
4.Have the documents ready
KYC documents (Passport, Driving License, PAN, Voter ID, Aadhaar, etc.) are mandatory when you apply for a personal loan.
Salaried customers have to submit their employee ID proof, salary slips of the last 2 months, and bank account statements of the previous 3 months.
Self-employed applicants have to provide their previous year’s income tax returns, last year’s turnover duly audited by a CA, and proof of business documents.
5. Check for additional features
Always check for additional features while applying for a personal loan. For example, online loan account management and pre-approved offers.
Keep the above points in mind before you take a personal loan from lenders like Bajaj Finserv. Apply online to avail of approval in 5 minutes and disbursal in 24 hours.
