Your dreams are precious. They are what gives shape to your life and prompt you to work hard. But, sometimes, even after working night and day, a dream seems too impossible to achieve. An instant personal loan online can help bridge the gap between your goals and reality. Read this article to know which is the best time to apply for a quick personal loan and how you can manage to get funds when you need it the most.
What is an Instant Personal Loan Online?
An instant personal loan online is an unsecured loan that lenders sanction without requiring any collateral security. Generally, the lender scrutinises the income statement, financial history, and credit score of the borrower before approving the loan. The repayment period of the loan may range between one year and five years. Because of its unsecured nature, personal loan eligibility is the easiest among all loans.
When Is It Worth to Apply For an Instant Personal Loan Online?
Aninstant personal loan online is considered as the most flexible financial instrument that people may apply for when they require money to meet urgent requirements. The most significant benefit of an instant personal loan online is that you may use the funds in any way you like. However, ideally, you should not put the funds on speculative activities, like stock trading or lending to unverified borrowers.
The following are the most commonly used applications of an instant personal loan online.
1. Medical Emergency
With medical bills defying gravity, sometimes your funds or a health insurance policy might not suffice to meet the sky-high expenses. An instant personal loan online can provide you with immediate funds that you may use to secure your and your family’s well-being.
2. Pay Credit Card Dues
Sometimes, credit card dues become so expensive that the card owner thinks about mortgaging their property to clear off the dues. With an instant personal loan, you do not need to put your assets at stake. You may avail a quick personal loan at minimum eligibility and save yourself from the hassles of paying the penalty.
3. Improve Your Home
Often, you need to carry out urgent home repairs or buy an essential electronic gadget. While most merchants offer EMI facility, the interest rate can be higher than a personal loan. An instant personal loan can be the best way to get your home interiors, or exteriors renovated without taxing your wallet.
4. Construct a House
People often apply for a home loan when they plan to construct a house. However, the process of home loan approval is lengthy. On the contrary, asking for an instant personal loan online can be super-fast and easy. Additionally, you can get tax benefits of up to INR 1.5 lakhs (u/s 80C) and up to INR 2 lakhs (u/s 24) when you use the funds to construct a house.
5. Fund Business Needs
Irrespective of the nature of the business, setting it up can be costly and time-consuming. An instant personal loan online can provide you with quick funds that you can utilise on purchasing machinery or equipment or any other thing that is important for your business.
What is the Eligibility Criteria to Apply For an Instant Personal Loan Online?
Generally, most lenders want you to earn a minimum of INR 20,000 to 25,000 every month for being eligible to apply for an instant personal loan. If you are self-employed, your post-tax income must be enough to take care of the EMIs. Use a personal loan eligibility calculator to find out the eligibility of a personal loan.
Conclusion
An instant personal loan can make all the difference between your dreams or needs and reality. By keeping your credit score high, you may avail exclusive interest rates and other benefits. Make sure to read more about how you can make the personal loan eligibility work in your favour and not against you.