What is Personal Loan

Personal Loan: If you too have a sudden need for money, Then you are thinking of taking a loan. If you are in critical need of money, then taking a personal loan is likely the best choice rather than borrowing from friends/families. There are many types of personal loans, you can handle a personal loan according to your need. The query is, can a person handle a personal loan if his salary is ₹20,000 per month? Today we are presenting you with exact details about this. let’s find out What is Personal Loan.

What is Personal Loan?

A personal loan is an unsecured loan offered by banks. No guarantee is given in an unsecured loan. This is done by looking at the client’s capacity to repay the loan according to his typical income.

Personal loan base

Even if your monthly salary is ₹ 20000, you can always take a personal loan via the bank loan app and the official website. Banks look at your salary and your credit record to give a personal loan. Your loan amount and interest rates may vary according to further lending organizations. In the last few years, banks have modified their criteria for providing personal loans. Therefore, now someone with a monthly salary of up to ₹20,000 can even get a personal loan.


Requirement of personal loan

Banks, however, look at many factors before giving a personal loan, these include:
Applicant must be a citizen of India
The applicant’s age should be between 21-58 years
Have regular income from job or business
Must have gained at least 15,000 months
6 months bank statement is available
good credit record

How much can one get a personal loan?

If your monthly salary is Rs 20,000 and you do not already hold a loan, then banks can offer you a personal loan of up to Rs 2 lakh for a tenor of two years. Personal loans can be helped at an interest rate of 9% to 24% per annum. The average interest rate of a personal loan is close to 12%. The term of a personal loan can be around 5 years counting on the income. The personal loan amount can be usually Rs 50,000 to Rs 25 lakhs, relying on your salary some organizations claim to give you a personal loan of up to 40 lakhs.

Types of Personal Loans.

By the way, personal loans can be of many types, for what purpose you are taking the loan, it is important to tell the bank that is why all the banks provide different personal loans to the borrower.

  1. matrimonial loan
  2. holiday loan
  3. NRI Loan
  4. fresher funding

The matrimonial loan is often taken by people to spend money on the marriage of themselves and their sons, daughters, siblings, or any family members, so take a matrimonial loan, this mention has to be made in the form, for what purpose are you taking the loan.

Holiday Loan In the present time, people are bored with the busy life and like to travel during their office holidays, traveling to each other state, exploring the good places, most of the people like to travel abroad, so for this also you can take a loan from the bank.

NRI loan can take a loan from the bank to travel, get married and give new look to your house, the bank is sitting to give loan for all these works, can go anytime and talk to bank for a loan, a maximum personal loan from the bank is very much. Cleared faster and compared to loans.

Fresher funding can make your dreams come true, in fresher funding you get a loan from the bank, so you can convert your dreams into reality and repay these loan amounts by getting a job.

How much interest is charged on a personal loan?

A personal loan has been talked about in the above article, but the most important question is how much interest is to be paid on a personal loan, it can be a different interest rate for all banks, but the biggest bank in the country is 9.60 percent interest. The rate is given to the borrower, at least this is the rate of interest of most of the banks, it may be more than this, not all banks are fixed, so whenever you talk to the bank for a loan, then definitely get information about the interest rate. Do it so that you do not face any problem in repaying the loan amount.

Which bank offers the cheapest personal loan?

Loans are given by most banks and finance companies, whether it is a personal loan or any other loan, you will get the facility of loans in all banks, whether it is a government bank or a private bank, you can easily get loans because most of the bank’s earnings come from loan money only.

Hope the information mentioned in this article is, how many types of personal loans are there. You must have understood and you must have got the answers to the questions you are looking for, for similar information, you can visit our blog and get new information from the blog, if you have any other questions apart from this, then you can ask through the comment box, you will get the answer only through the comment.

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