If you are in urgent need of money, a personal loan can come to your rescue. Some of the benefits of a personal loan are that you do not have to offer any security to get it and you can avail one almost instantly. But, there are many other benefits of a personal loan that you must be aware of. This article will tell you about every other benefit of taking a personal loan.
No End-Use Restrictions: You can use the personal loan money however you want. You can either use the borrowed loan funds to fund your dream vacation, turn your house into a smart home, or to even take care of that unforeseen medical expenses.
High Amount Available: You can get as much as ₹50 Lakhs as a personal loan. However, you must remember that the maximum amount you can avail will depend on your personal credit profile.
Lenient Eligibility Criteria: You can easily meet the eligibility criteria of a personal loan. You simply need to be a resident of India who is between 23-70 years old and earning a regular income as an employee of a reputed company. Additionally, you must have a CIBIL score of 750 or more. If your CIBIL score is below that mark, you can still get a loan, but you may get them at higher interest rates and perhaps even at unfavourable loan terms.
Hassle-Free Documentation Process: To avail a personal loan, you will need very little documents. All you will need is a PAN card, Aadhaar card, proof of your current address (if you are living in a rented property), and evidence of the fact that you are earning a regular income.
Low Interest Rates: Through Bajaj Markets, you can get a personal loan at interest rates starting at just 10.49% per annum. But, you must remember that the interest rate applicable to you will depend on the lending partner you will get it from and your overall credit profile.
Flexible Loan Repayment Tenure: You can repay your personal loan amount over a time span of anywhere between 12 to 60 months. But, the maximum loan repayment tenure available to you will depend on your eligibility.
Multiple Payment Options: Some lenders even allow you to repay only the interest component of your personal loan amount during the initial months of the repayment. That way, you will be able to minimise your EMI burden in the initial months and use the money for the thing you borrowed it for. One such example of the same is the Flexi-Hybrid personal loan that you can avail from Bajaj Markets. But, you must remember that the length of the initial months will depend on the length of your loan repayment tenure and the principal amount you have borrowed.
Tax Benefits: If you are using the personal loan money for purchasing or renovating a home that you have just bought, you can even claim tax deductions under Section 24(b) of the Income Tax Act, 1961. Under this section, you will be able to claim a deduction of ₹2 Lakhs every year for the interest component of the loan paid by you. However, you must prove to the relevant authorities that the borrowed money is being used for that very purpose to claim the tax deduction.