posted on 2019-08-17 10:06:40 by Admin
Online Instant Personal loans are emerging as one of the fastest-growing lending product in the current financial scenario. These unsecured loans can be availed against the borrower’s income level and credit score without any collateral or security. Whether it be for the maintenance of a particular lifestyle or to take care of life’s necessities more and more of India's working class are opting for instant paperless loans. One of the main benefits of online loans is that the borrower has full freedom to use the funds as he/she wants without any restrictions from the lender.
With encompassing, latest technologies digital lending platforms offer instant approval of a personal loan application provided the borrower fulfills lender’s eligibility criteria and upload digital documents supporting the same. Now the borrower can have instant access to the loan amount as early as within 24 hours.
A personal loan can be a powerful ally to boost up your credit score given we understand how to manage it properly. After the approval of a personal loan, the disbursal process initiates. Most lenders transfer the loan amount into the borrower’s nominal bank account through NEFT( National Electronic fund transfer). However, some lenders prefer the disbursal through cheques and demand drafts for which the borrower has to be present physically. The cheque or DD then needs to be submitted in the borrowers' bank account to access the funds.
When your loan application gets approved and disbursed you will receive loan agreement papers of the relevant amount, tenure and interest rates, EMI payment schedules, etc. along with a confirmation mail on your registered e-mail address. All of this is accompanied with online access to your loan amount.
The loan amount that is disbursed depends on various parameters, first and foremost is the amount you applied for and got sanctioned, next comes various surplus charges that come with a personal loan application including service tax, processing fee, etc. Sometimes lenders also charge one installment upfront that also may be deducted from the overall disbursed amount.
The most important part of online paperless loans is the disbursal time. If you go for a personal loan the traditional way it could take at least 6-7 days for the loan amount to get disbursed even after successful approval of your loan application with all the required paperwork. Whereas online personal loans get disbursed in a matter of hours and the borrower can enjoy instant online access to funds.
The repayment procedure of Online personal loans are also pretty streamlined and the user can easily choose among various affordable EMI schemes to pay off the debt. If your personal-loan is sanctioned before the 20th of the month the EMI cycle starts from next month. However, if the disbursal of your loan is after the 20th the EMI cycle starts from the month after the next month. Say if your loan amount gets disbursed on the 18th of Oct the first EMI would be charged from November but in case the loan amount is disbursed on the 22nd of Oct the EMI cycle would start from December
The repayment of online personal loans can be easily done through either post-dated cheques, electronics cash transfers or auto-debit options which require the borrower’s permission. The borrower gives an authority to the lender to deduct a specific amount on a particular date or he/she has to provide the post-dated cheques to the lender. In both the scenarios, the borrower has to be assured that, on that particular date there is a sufficient amount in the bank account. Failing to do the same, the borrower has to face a penalty as well as it will severely affect the credit score too.
Instant approval, easy availability and readily accessible funds are some of the features that make online Personal loans an instant favorite among young professionals in India. If done right personal loans can be a one-stop solution to all your financial worries.