Having to take a personal loan is something everyone goes through at some point in their life. So, in all these times, when you thought about applying for a personal loan, chances are you would have faced confusion with regards to who to trust with the process. We’re here to help you with this and are here to give you a headstart in applying for online personal loans.
Getting a quick online personal loan can be one of the best financial steps you will ever take. Personal loans allow you to spend your money on essential needs as well as accumulate some amount for the future.
There are times when people need an instant loan approved on the same day they apply for the loan. If your problems are similar to this, or if you have a low CIBIL score, keep reading the article further to know about the ways you can get instant loans.
Ways to get a quick personal loan online
There are two major ways through which people can apply for personal loans.
- From banks
- From online platforms.
While both the sources are reliable, applying for a quick online personal loan through an online platform is much easier even for the people who have a bad CIBIL score. Hence, here are some points about the benefits of applying for loans through both sources. Keep reading further.
Applying through banks
Getting instant loans online or offline from a bank is the most common and widely used method in India. This method of taking a personal loan is followed for a long time and the reliability of the method still persists.
However, the banks have certain official procedures necessary to maintain their customer’s authenticity and the bank’s security. All these things combined can make the application approval procedure very long. Furthermore, banks usually do not approve loans for people who have a low CIBIL score.
Hence, people are now shifting to a more comfortable mode of banking and applying for personal loans. The mode is called “online banking”. Apart from the in-office banks, each bank now has its own online portals that would make its customer’s banking experience easier.
Applying through an online platform
Getting a quick online personal loan can be done in various ways and one of the methods is applying for a loan on verified online platforms. While the traditional method includes lending money from banks and moneylenders, the new and the most reliable method to borrow personal loan is through online platforms.
The online platforms have been the most chosen method to apply for instant cash loan because of their complete transparency. These platforms are fully user-centric and keep the information regarding an individual’s loan available at all times.
Unlike the hassle that a person might face from banks because of the long procedure just to apply for loans, the online portals allow them to sit in the comforts of their homes and fill an application to apply for a quick online personal loan.
Personal loans from online platforms get approved almost instantly. Not only this, but these online platforms approve the instant loan without CIBIL. All one has to do is register themselves on their website to create an account.
The application process and the approval follows, thereafter the quick personal loan online is received instantly in the person’s account.
The online portals that we are talking about here are not tied up with any bank. They run independently and with all the legitimate certificated. These are private online portals that make your work a little easier.
Loaney is an online platform where you can apply for personal loans. The portal offers personal loans with a short repayment period. With Loaney, one can get approval for their loan instantly.
If you have a low CIBIL score and are struggling to get a loan, rely on Loaney, and they will take care of the rest.
What is a quick online personal loan?
Quick personal loans online are pretty much similar to how people describe regular personal loans. The only difference is that the loans taken from online platforms are run by private forums and not by the government.
However, the rules and regulations that these online platforms follow are according to the standard rules made by the government. Before getting approval to run their independent websites, the forums go through an approval process for themselves so that their functioning strategy can be monitored to be run as per the government regulations.
Online platforms like Loaney are one such forum that is 100% authentic and approves personal loans almost instantly even for people having low CIBIL scores. People with low CIBIL scores can also face paying higher interest rates and with this online platform,
Procedure to get an instant personal loan online.
When you apply for personal loans online, there are few simple steps that you have to follow.
- Register yourself on the website to create an account-
When you open the online portal to get an instant personal loan, register yourself first. The registration form will include some fields for general information such as your name, address, gender, etc.
- Fill an application form
The application form will ask you to enter some general as well as personal information. This information will need the details regarding your income and transaction history.
- Wait for the approval
After you are through with filling out both the b=forms, your details will be sent for approval. The approval process is done almost instantly, and you can get your loan amount credited to your bank account.
Eligibility criteria to get a quick online personal loan.
The first and the most important eligibility criteria to get an instant personal loan online is to have a good CIBIL score. However, the portals for quick personal loans online approve the instant loan without CIBIL. However, to get these instant cash loan, one must maintain their CIBIL score for hassle-free approval.
To get an instant loan online, a score above 750 is considered a good CIBIL score. However, the chances of your loan approval process getting hindered are if you have a CIBIL score below 750.
To maintain your CIBIL score, you must start maintaining your credit history. Pay the bills on time, do not spend more than 30% of your salary for necessary expenses, create more savings than your expenditure.
On online platforms, such as Loaney, your loan will be approved even if you have a low CIBIL score. This is also one of the biggest advantages of applying for loans online.
The next eligibility criteria are that you should be a legal citizen of India who has a valid source of income. The age group defined for the approval of the personal loan is 18+.
Anyone having a stable income source that is authentic is eligible to apply for personal loans.
How instant loan online can help you
As we discussed, an instant loan can be used for almost any purpose. Here are some ventures that instant loans online can help you with.
For buying a house:
Getting a personal loan to buy your own house is the most common thing. A personal loan gives the borrower a sense of safety. With a personal loan, the borrower stands assured that their target of buying something essential will not be hindered.
For paying your medical bills:
Medical bills have always been an expensive affair. One can never put a fixed price on the treatment that they go through. Hence, it is a wise decision to get a personal loan and then get a hassle-free treatment without worrying about how will you pay for the medical bills.
To buy a new vehicle:
Buying a new vehicle, especially when a person lands on their first job, is a thrill. This finance cannot be handled at once most of the time. Hence, personal loans can be taken to get a new vehicle and then pay the bank later through EMI.
Taking care of the wedding finances:
In India, a wedding is always an expensive affair. The wedding isn’t as royal if a few lakhs isn’t spent on it. However, many people choose to apply for personal loans to budget their wedding finances and then pay the bank in instalments later.
To renovate your house:
Renovation of a house is as good as buying a new one. Usually, people renovate the house all together instead of doing it in parts. Hence, from buying the raw materials to paying the labours and the damage control department, a hefty amount is usually swept away.
To bear this expense, people borrow personal loans and get their work done smoothly.
To ease up with travel expenses:
Sometimes, there are travel expenses that can take a toll on you if paid with your own expense. Hence, the people who love to travel and often choose to go on trips that need more money than usual, apply for loans.
The loan helps them with the financing of the trip while they enjoy their holiday.
Features of quick online personal loan
- No collateral required
Some of us may sometimes wonder that why are personal loans so hard to get. Well, it is because, in the majority of times, the bank or the lender does not ask for any of your assets as collateral. This means that if you default at any point, they cannot just acquire a piece of your property.
This imbalance of equal value is what makes the approval of loans so hard. Therefore, the lenders run a thorough check on the borrower’s CIBIL score and transaction histories and proceed likewise.
- Fixed amount of money
The key point that you should remember about taking a personal loan is that it may vary for different people. Your loan approval and the amount you will be granted to borrow will depend on your credit score, income and your transaction histories. The more is your income, the more amount you’re granted for a loan.
On the other hand, there are some private portals and banks that have a fixed amount for the highest loan. In such cases, even if you do have a good income, you will be granted the highest amount that they have fixed. These scenarios are more common in the firms that can afford to give you only that much amount for the loan.
- Fixed interest rates
When you take a loan, the interest rates are pre-decided by the bank. The boon about taking personal loans is that you can always budget your loan repayment when you know the amount you have to pay back will not change.
However, some loans have varied interest rates. The major drawback for those loans is that your monthly payment will change. This way, it will be difficult for you to maintain a fixed budget for your loan.
The fixation of interest rates can highly depend on your credit score. If you have a good score, then you will be charged lower interest rates. If your credit score is low, then you will have a loan approved for yourself, but the interest rates will be higher. When you fail to pay your loan on the due date, you may also face late fee charges.
- Fixed repayment duration
Personal loans have a fixed repayment period. Typically, the period is usually from five years to seven years. However, there must be one thing that you should keep in mind that while longer repayment duration may cost lower interest rates, the short repayment periods may have the interest rates towards a higher note.
Secondly, while longer repayment for loans will decrease your monthly cost of the loan, the shorter periods will get you through the loan to the soonest possible time. The monthly amount might be a bit more along with the interest rates, but you will be through with the loan soon.
With open loans, there is one problem that people face. It is the issue of a new credit card or taking another loan. When you are still repaying the open loans, getting approved for another loan or credit card during that time is a bit difficult. Hence, choose which repayment period you can afford and work accordingly.
- How can I get emergency money fast?
Ans. To get emergency money fast, you need to find lenders who can give you the funding approved on the same day. Loaney is one such platform where loans get approved instantly.
- How can I get a loan with really bad credit?
Ans. Always know that having a bad credit history is not the end. If you have any such situation, applying for a short term loan is always favourable. However, it would be better if the credit history’s improvement is looked upon.
- What is the easiest loan to be approved for?
Ans. The easiest loan to be approved for, even when you have bad credit, is to have a co-signer. This would help you get a loan almost instantly and easily.
Instant loans online are one of the easiest ways to get loan approval even if you have a low CIBIL score. With this guide that describes the ways to get quick personal loans, we hope that the process becomes easy for you.