In a situation of emergency, the need for funds increases. And to cope with the requirements, you must ensure that you are taking the fastest route to avail of funds. An instant personal loan is a great way to meet such demands. It can assist you in availing of required funds quickly. It is not always possible to have a chunk of funds or savings ready for an emergency. However, using a personal loan can aid in this situation due to the varied features that make it a flexible form of loan-taking. These benefits are:
- Online personal loans are sanctioned more easily
- Due to the easier sanctioning process, personal loans are much more accessible
- Good online personal loan lenders offer highly competitive interest rates
- They have flexible tenures that range from a minimum of 12 months to a maximum of 60 months
All of the benefits of a personal loan listed above demonstrate why it is an excellent choice to consider when you need finances. Customers find it easier to obtain a loan, thanks to various instant personal loan apps present in the play store. It is flexible with repayment terms and interest rates.
Are You Eligible for a Personal Loan?
Eligibility for a personal loan is determined based on creditworthiness and repayment capacity. Although only two parameters, these two aspects need to be looked at through a cumulation of other factors that play a role in it. The following are the main factors that are considered for personal loan eligibility –
- Age
- Location
- Monthly Capability for EMI
- Monthly Income
- Preferred Rate of Interest
Before accepting or rejecting your loan request, the lender analyses these variables. By using the personal loan calculator, customers can increase their chances of getting their requests granted as quickly as possible. It allows them to avoid lengthy sanctions.
How Can I Calculate an Estimate Personal Loan Quote?
Customers can use Fullerton’s personal loan EMI calculator to test and evaluate the EMI rates they are comfortable with based on the loan amount and tenure they desire. The table below displays several rates of interest based on a standard and the most popular sum of Rs. 10 lakhs:
| PERIOD | RATE OF INTEREST | MONTHLY EMI |
| 24 months | 15% | INR 48,487 |
| 32 months | 11.99% | INR 36,666 |
| 48 months | 20% | INR 30,430 |
It is a basic set of numbers; however, customers can adjust parameters using our loan EMI calculator.
Do You Have All the Documents Needed?
The time it takes to approve a loan depends on the documents submitted as verification of identification, address, age, and income. The process requires you to provide your Aadhar card and PAN card. It streamlines the process and expedites the transfer of funds to your account.
Personal loan lenders require other papers in addition to the Aadhar card and PAN card to verify your request. The following are the documents:
- Income proof
- Bank statements
- A recent, colored passport size photograph
The sanction period will be minimal if you fill out the forms and submit the pre-requisite documents.
Additional Read: Why Personal Loan Apps Are Revolutionising Credit in India
Factors Affecting Interest Rates
Apart from the loan amount and preferred payback term that you specify, your lender’s rate of interest is determined by several factors. They are as follows:
- Your credit history and score. The lower the interest rate, the lesser your credit risk.
- The debt-to-income ratio at the time of the loan is critical because it defines how much of your income you can contribute to the personal loan repayment.
- A larger and more steady disposable income leads to lower interest rates due to increased repayment capacity.
- Financial misdeeds are important in determining an interest rate.
- Your employer’s reputation in the appropriate business can influence interest rates since it indicated your job security and income if you have a history of late payments.
Fullerton India’s instant loan app lets you take out loans with variable repayment terms and interest rates. Use the personal loan EMI calculator to get a head start on the process. Ensure that your request is approved quickly in the time of an emergency!