It is not advisable to take more than one loan at once. Even if you know that you will be able to pay off both the loans banks avid giving a second loan before the first one is completely paid off. If you are in the very last months of your loan tenure and you have paid all the EMIs on time then the bank is more likely to give you a second loan. There are also gold loan top-up features are also there in case you need money in an emergency. After paying three months of EMI regularly banks do offer personal loan top-up.
These are like your phone’s top-up recharge. If you exceed the provided data limit in the day then you can pay a little more money to get more data. In a personal loan, you can ask the bank for more money generally up to 2 lakh. More interest rate is applied to this amount and your tenure can be increased according to your needs. If you don’t need to increase the tenure then request the bank to do so as you will need to pay less interest rate. Processing charges plus taxes are also applied to the top-up feature.
Bajaj Finance personal loan provides a Flexi personal loan scheme. With this scheme, you can avail of a large loan which the bank will provide you based on your credit score. Bank will approve a loan of some amount which they think you will be eligible to pay back. After getting this loan approved you can only ask for the disbursal of that amount of money that you need right now. This way you only have to pay an interest rate on the amount disbursed and you have more money approved already by the bank in case you need it. Although keep in mind that you are only approved the amount of money which is in the range of fifteen to twenty times your annual income. More than that banks don’t provide. Also, it is advisable not to take so many loans that you will not be able to pay back. Remember these rules are in force to protect you and the bank both and not just the bank.
Use a personal loan EMI calculator to calculate how much EMI you will have to pay. If your EMI is more than 40% of your salary then lenders may not provide you a loan. Also, such customers are seen as high-risk customers. This is an unsecured type of loan and banks see such loans as high-risk loans as they can’t sell anything off if you don’t pay the loan back. They can file a lawsuit against you if you don’t pay the loan back in time.
Personal loans rely heavily on credit scores in case you take a personal loan and shortly after opting for another one then this case hurts your credit score. This also depends on when the loan tenure is taking a second loan. If you are taking a loan just a few months later then your credit score will suffer. But if you are taking a second loan at the end of the tenure where most EMIs are paid of then the credit score will not suffer as much.
When you take a personal loan and pay it back on time it’s a very good thing for your credit score and your credit score gets boosted instantly. Shortly after you can take a loan with the best deals on it as your credit score will be on the higher end. You can even expect a lower interest rate and a comfortable payback tenure. Remember personal loans do come with an origination fee and they are of some percentage of your loan amount. This can be anywhere from 1 to 4%. If you take a large loan then you also should be able to pay the origination fees associated with the loan.
No comments:
Post a Comment