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CA Loan: Factors to Keep in Mind

By Finserv MARKETS - Feb 28,2020
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Important Factors of CA Loan

According to the Times of India, as of 2018, only 3 lakh individuals were qualified as Chartered Accountants. CAs help with tax compliance, financial planning, auditing, wealth management, managing income tax strategies, and so on. In March 2018, with the rise of the new GST regime, it was estimated that there are around 1 crore taxpayers, but not enough financial advisors to help them with (1). With the increased demand for CAs, this is an excellent career choice for students and an area with huge potential.

Whether you’re a CA looking to start your own accountancy venture or an established Chartered Accountant already having your own practice, you may, at times face the lack of funds. Thus, availing funds under the umbrella of a professional loan will aid you in starting your very own practice, boosting your working capital or expanding your practice.

If you are already running a practice, you might require additional financial support for:

  • Hiring staff
  • Expanding your practice
  • Meeting capital requirements
  • Technologically enhancing your practice
  • Meeting operational needs

As a CA, you have the advantage of opting for a Professional Loan for Chartered Accountants which may provide you with a host of benefits like:

  • High loan amounts
  • Immediate loan amount availability
  • The facility of flexible loans that allows you to pay as per your financial convenience
  • No collateral
  • Easy eligibility
  • Minimal documentation

Factors to be considered

Like other professionals as doctors, engineers, lawyers, and architects, you too, as a Chartered Accountant have unique business needs. Hence, you may need loans customized according to your needs. However, before applying for a professional loan for Chartered Accountants, you need to know some important factors. They are:

  1. Check out all the available options

This is relevant not just for CAs, but other professionals as well. Before applying for any loan, conduct extensive research. But as a Chartered Accountant, you have the advantage of understanding all finance-related jargon. This gives you an upper hand while applying for a professional loan for Chartered Accountants. However, it is significant that you weigh all your available options and carry out a detailed analysis and comparison of the CA loans offered in the market. Banks and other financial institutions may offer you loans to meet your various needs.

Select the loan that meets your needs and decide whether you need an unsecured loan or if you are willing to take a loan that needs collateral. Go through the loan repayment tenures as per your convenience and compare the interests levied upon the CA loan by the lenders. If you have time, visit your lender and discuss the advantages and features of the loan. It will make you comprehend if the loan you are looking for meets your needs.

  1. Revise your records regularly

When applying for a professional loan for Chartered Accountant, your lender will ask for various documents from your end. These documents may include the list of your business assets, your bank statements, and tax returns, among other relevant information. It is therefore important that you remain prepared for this information in advance. You can opt for various software available in the market to maintain your records.

  1. Have a good credit score

Before approving your loan application, lenders tend to check for your CIBIL score. When lenders check your score, it is a ‘hard inquiry’, owing to which your score may drop by a few points. Moreover, if you have applied for loans from various lenders, it will be visible on your credit report due to the hard inquiry. A credit score less than 750 is unfavorable and it might pose a difficulty when applying for a professional CA loan. You can maintain a good credit score by making timely payments, repaying your overdue and not utilizing your loan limit up to the brim.

Check CIBIL Score

  1. Do not borrow a loan to splurge

Do not use the borrowed amount for investing in bonds or splurging. In case of a market crash, you will not only suffer losses but will also be tied down to pay EMIs. Also, avoid taking a loan to splurge on unrequired infrastructure or extravagant renovation. You can also read about tips for expanding your CA Firm.

Taking all these factors into consideration, you can apply for the Professional Loan for Chartered Accountants on Finserv MARKETS. Here, the eligibility criteria is broad and inclusive. Once you comply with the criteria, you can get CA loans of up to ₹30 lakhs. Further, loan approval here is quite fast. It takes just 3 minutes for your loan to be approved, and once approved, the loan amount is credited to your bank account within 24 hours. Professional Loan for CA on Finserv MARKETS does not require you to put up collateral against the funds and lets you choose your loan repayment tenure between 12-60 months as per your convenience. Avail of a CA loan on Finserv MARKETS now!

Finserv MARKETS, a subsidiary of Bajaj Finserv, is a one-stop digital marketplace that has been created for consumers on the go. It offers 500+ financial and lifestyle products, all at one place. At Finserv MARKETS, we understand that every individual is different. And that’s why we have invested in creating a proposition – Offers You Value. A value proposition that ensures you get offers which are tailor made for you. We also offer an amazing product range and unique set of online offers across Loans, Insurance, Investment, Payments and an exclusive EMI store. Be it in helping you achieve your financial life goals or offering you the latest gadgets, we strive to offer what you are looking for. From simple and fast loan application processes to seamless and hassle-free claim-settlements, from no cost EMIs to 4 hours product delivery, we work towards fulfilling all your personal and financial needs. What’s more! Now enjoy the same benefits in just one click with our Finserv MARKETS App.

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