Are you looking for ways to save on interest on your personal loan? If yes, then you have definitely come to the right place. Repayment of personal loan with a high-interest rate can have a severe impact on your financial goals and objectives. It can also affect your monthly expenditures thereby, leading to unnecessary stress. Well, not anymore! In this article, we have compiled a few ways that will enable you to lower your cost of borrowing and plan your finances efficiently.
Refinancing of your personal loan is one of the options that can help you lower your cost. It is a highly beneficial method of paying off debts that have a high-interest rate associated with them, such as credit card, etc. This, in turn, will reduce the monthly payment or EMI and allow you to manage your expenses better. However, it is advisable that you carefully consider all costs associated with refinancing in order to ensure that you are at an advantage.
Reduce the repayment term
Interest on a personal loan can also be reduced by reducing the repayment term or tenure. Reducing the same will definitely increase your monthly EMI, but the savings in the long-term can be substantial. Therefore, if you are in a position to repay the loan quickly, ensure that you make the most of this option.
Consolidate your debt
If you have multiple outstanding loans, you must certainly consider consolidating the same. Different loans with separate monthly payments can be financially straining and can adversely affect your financial goals and objectives. Therefore, you could use a personal loan with a lower interest rate to repay your credit card debts, car loan, student loan, etc.
Work on your credit score
Since a good credit score would allow you to get a personal loan with a lower interest rate, it is always recommended that you must try to improve your credit score as much as possible. Though improving the credit is not an overnight phenomenon, there are certain steps you must take for achieving long term benefits:
- Catch up on outstanding payments
- Restrict the use of your credit cards.
- Be careful about closing your oldest credit cards.
Many people hesitate to avail a new Bajaj Finserv personal loan, considering the hassles and repayment burden that come with it. Borrowers also often worry about their credit score before applying for a loan. However, with leading Non-Banking Financial Companies (NBFCs) like Finserv MARKETS, you can get a personal loan with the best interest rates, quick approval and what’s more, you need not provide any collateral.
Flexibility in repayment, minimal documentation along with a hassle-free online application process are the key features of personal loans provided by Finserv MARKETS. Moreover, you can also customize your personal loan to suit your needs in the best possible way.
So what are you waiting for? It’s time you take the right initiative and cut down on the interest that comes with a Bajaj Finserv Personal Loan.