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A Step by Step Procedure for Personal Loan

By Finserv MARKETS - Sep 26,2019
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Personal Loan Process

In the world full of uncertainties, you never know when you might need emergency funds Thankfully, there are multiple options available in the market, thanks to personal loans.  A personal loan is an unsecured loan wherein the borrower can get funds without having to provide any collateral. Moreover, personal loan application process is hassle-free if you have all your documents in place and meet the eligibility criteria.

So, if you are looking for instant funds, here are the step by step procedure for a personal loan –

Step 1: Identify your needs

Step 2: Check your Eligibility

Step 3: Personal Loan Documentation

Step 4: Select the Financial Institution of your choice

Step 5: Personal Loan Disbursal and Repayment

Step 1: Identify your needs:

A Step By Step Procedure For Personal Loan
Know what you need is and how much money you will need, and apply accordingly. There’s always the temptation of applying for a personal loan that is greater than your need. Avoid this by assessing your need. Also, don’t apply for a loan amount that will not cover your financial requirements. In such cases, you will be compelled to apply for a new loan or a top-up loan and this can prove to be cumbersome. Proper calculation and assessment is key here! In case you are looking for comparison of gold loan vs personal loan than make sure you consider all factors for these loans.

Step 2: Check your eligibility:

A Step By Step Procedure For Personal Loan
Based on your monthly income, various financial institutions will let you know the maximum amount of loan they can offer you and at what interest rate. It is not necessary that banks will offer you the amount of loan that you require, because they check your repayment credibility before they make the offer. Check your personal loan eligibility before you apply to avoid rejection. Moreover, don’t apply to many banks at the same time as it will portray you as credit-hungry and have an adverse effect on your credit score.

Check Personal Loan Eligibility

Step 3: Personal Loan Documentation:

A Step By Step Procedure For Personal Loan
Proper documentation is very necessary for a personal loan. Fake documents or incorrect information provided in documents can result in an outright rejection of your loan application. Make sure that all documents required for a personal loan that you share contain correct information. This ensures a smooth personal loan application process.

Step 4: Select the Financial Institution of your choice:

A Step By Step Procedure For Personal Loan
Depending on various offers you have received, you should make the right choice about where you want to avail the personal loan from. You must also check personal loan interest rate details like foreclosure charges and processing fees. After you have evaluated all your offers, go ahead with the one that’s most credible and provides the best offer.

Step 5: Personal Loan Disbursal and Repayment:

A Step By Step Procedure For Personal Loan
Once you receive the disbursement of the personal loan amount in your bank, the process is automated. Now, monthly loan EMIs will automatically get debited from your account on a certain date. Make sure that the EMIs don’t bounce, as it may negatively impact your credit score. Many institutions also provide online details of the status of your personal loan.

These are the process that you can follow to get a personal loan. Now that you know the personal loan procedure head over to Bajaj Finserv MARKETS and avail a personal loan with various benefits such as quick approval process, flexi repayment options, affordable interest rates and loan amount of upto 25 lakhs.

Read more to know How can you Increase your Chances of Getting a Personal Loan

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Bajaj Finserv Direct Limited ("BFDL") is primarily engaged in distribution of financial products and services through its digital platform (“Bajaj Finserv MARKETS”) and inter alia renders services of customer acquisition, providing preliminary credit support activities, fulfilment services and post-acquisition customer services to Banks, NBFCs, HFCs. BFDL is also a registered Corporate Agent (Composite) under valid IRDAI registration number: CA0551 valid till 10-Apr-2024 for solicitation and servicing of Insurance Products. Registered Office: Bajaj Auto Limited Complex, Mumbai – Pune Road, Akurdi, Pune – 411 035 CIN: U65923PN2014PLC150522