Taking a personal loan is a big financial commitment; you need to evaluate every financial aspect of your life, including your monthly income, expense, repayment plan, etc. before you make this important decision. While your situation may demand you to rush into applying for a loan, there are a few questions you must get answers to before you apply. Let’s check these out.
- How much money can I borrow?
Every lender has a different limit set for personal loans. You can check for online personal loans for minimum and maximum limit for applying, along with the processing fees and any other charges levied. This research will help you apply on the right platform rather than randomly swaying from one lender to another.
- Am I eligible for a personal loan?
Many lenders give personal loans to salaried people only. However, there are a few who lend to self-employed as well. It is important to know if you meet the eligibility criteria of the lender before applying. These include your occupational status, income, age, etc. On MYFI, our eligibility criteria for an online personal loan are:
|Profession Type||Salaried Only|
|Minimum Age||21 Years|
|Maximum Age||58 Years|
|Minimum Work Experience||1 Year|
|Minimum net Monthly Income||INR 20,000|
|Method of receiving Income||Bank Transfer Only|
- What documents do I need to submit?
Every loan provider requires a different set of documents to process your loan application. The basic documentation would include a photograph, photo ID proof, residence proof, income proof, etc. For an online personal loan, no physical copies of these documents are required; you just need to upload the scanned copies of these documents while applying. To apply on MYFI, you would need the following documents in PDF format:
- 3 Months’ Salary Slips
- Employee ID
- Pan Card
- Address Proof (Driving License/ Voter ID/ Aadhar Card)
- 3 Months’ Bank Statement
- What about prepayment charges?
Prepayment is paying off the entire loan or part of it before the completion of the loan tenure. You may decide to prepay when surplus funds are available to you. If your lender is charging you for prepayment, it would increase your borrowing cost. So, it is wise to know about this beforehand.
- What is the personal loan processing time?
Loan processing time varies from lender to lender and can be as less as 24 hours to as more as weeks altogether. If you are in urgent need of funds, a longer processing time will not serve your purpose. In such cases, opting for personal loan online makes more sense as the processing time is usually less.
- What is the disbursal process?
With offline loan applications with banks or NBFCs, disbursal is usually through cheque. It also takes longer time, even days in many cases. When you apply online, everything is fast. Once the approval is received, loan amount is directly credited to your designated bank account in no time.
Knowing answers to these questions will certainly point you in the right direction and help you make an informed decision of availing a personal loan. Need a cost-effective faster personal loan online? Apply with MYFI & fly!