A personal loan is undoubtedly your best bet during unprecedented times. Emergencies often demand immediate financial assistance and getting an instant personal loan is the best way to access funds immediately. The type of loan can be conveniently availed online through netbanking or mobile apps. This ensures that the funds can be procured within hours.
Several leading banks offer pre-approved loans to existing customers who portray an excellent repayment record with a healthy credit score. You can apply for a personal loan online if you have a fixed salary/income and a good credit report. The documentation demanded is minimal with basic paperwork and KYC. Once the loan is approved, the funds are disbursed at the earliest.
To avail an instant loan whenever required, you must ensure that you follow the following five steps:
Maintain a Healthy Credit Score
A good credit score is an important factor when getting an instant personal loan online. Typically, a score of 750 and above is considered ideal for an application’s approval. This score reflects your credit behaviour and repayment history. A high score indicates that you make timely repayments and are creditworthy. While customers with a lower credit score too can avail an instant loan, the personal loan interest rates are relatively higher. Simply put, a good credit score will ensure that you enjoy favourable terms on your instant personal loan.
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Evaluate Your Eligibility and Requirements
The eligibility criteria listed by every lender is different. This is why you must check the different factors to ensure that you are eligible for the instant personal loan. Assess the personal loan amount you require while calculating the EMI you can comfortably pay. Also, you must choose the most suitable repayment tenor. Leading financial companies like Finserv MARKETS offer loan calculators that are available online. This tool helps you understand the prospective EMIs for different amounts and tenors. Only apply for a loan amount that you are sure to be able to service.
Read the Fine Print
Stirring clear of all loan terms is important at every stage. Before signing a loan agreement online for your instant personal loan, you must be fully aware of all the terms and conditions. Also, take a close look at the charges. Staying aware will keep those unpleasant surprises and charges at bay when repaying the loan later.
Always Provide Accurate Information
As with any kind of loan application, always ensure that you provide accurate information when applying for an instant loan. Correct information increases the chance of approval on your loan as the application is verified through multiple sources.
Keep the Documents Handy
While the requested documents for an instant personal loan are minimal, you must submit a few select proofs. These include bank statements, address and ID proof, and photographs depending upon your loan profile. Keep the documents ready for uploading when you put in your loan application through the lender’s portal. Providing all the required documents well in advance ensures that the process is completed without any hassle.
Also Read: What Are Unsecured Business Loans: A Simple Guide
