91-9711165183
August 21, 2025
To make your personal loan journey successful, it is a good idea to seek complete clarity about the details and make an informed decision. This is particularly true if you are a first-time loan seeker or have been unaware of the terms of your previous loan and the costs applicable. Given below are the significant questions you need to ask before securing the best personal loan Deal.
Understanding the purpose of a personal loan is crucial. It’s an unsecured, easily accessible fund that should be used for legitimate financial needs. Having a specific goal and a well-planned repayment strategy not only ensures responsible fund management but also helps improve your credit rating.
The eligibility criteria for personal loans differ between Banks and NBFCs. You should verify which bank considers you eligible to apply before submitting your request. The key criteria include:
Survey the offering and check personal loan interest rates online before applying for a personal loan. The HDFC Bank personal loan interest rates are from 10.25% to 22% and are charged at a monthly reducing rate. The personal loan interest rate, once issued, remains constant for the entire tenure. Looking for the lowest rate is a priority, but it is also essential to check the other costs applicable that will affect your cost of funds.
Though the interest rate is the primary charge, there are other charges you need to be aware of, including:
If you have taken the funds for a short-term need and repay the loan before the term ends, or have funds that you need to contribute towards your principal loan amount, you need to check the costs involved before applying.
The repayment from the following month after a Personal Loan is disbursed and the tenure is fixed from 12 months to 72 months according to the;
A longer tenure reduces your EMI but increases the cost of your loan. You can request a suitable tenure, but the credit team finalises the same upon disbursal of the personal loan.
Before applying for a personal loan, it’s essential to check the affordability of the EMI for repayment. Use the EMI calculator to determine your EMI for the required loan amount. If the EMI seems unaffordable, it’s better to apply for a lower loan amount or opt for a longer tenure. A stretched budget can lead to delayed repayments, so it’s essential to ensure that the EMI is comfortably within your financial reach.
Documents are the foundation for processing your loan. It’s crucial to provide complete and valid documents to expedite the process. As you can personal loan apply online it’s even more critical to ensure that your documents are clear and legible. Being proactive in providing the necessary documents can significantly speed up the loan approval process.
KYC and Income documents accepted for the personal loan process include the following:
A passport-sized photograph.
Income Documents;
Identity proof.
Address proof:
When you apply for a personal loan, the bank sends an inquiry to CIBIL to check your score and history. Each enquiry can reduce your CIBIL score by 10 to 15 points. It is crucial to choose the right lender to process your personal loan application, as applying to multiple lenders can harm your CIBIL score. The best CIBIL score for loan is 750 points.
You can apply for instant personal loan online for quick disbursal. Banks aim to approve and disburse funds as a personal loan within 72 hours, but this requires cooperation from both the Bank and the customer to ensure a smooth process. The customer must provide the Bank with all necessary documents and be available to answer any queries. The Bank’s systems must support the applicant’s submissions and complete the required process steps within the TAT period.
It is always advantageous to apply for a personal loan from a lender with whom you already have a bank account or a prior loan relationship. An HDFC Bank personal loan top-up is a convenient option for urgent funds. Do not be influenced by offers such as those from apps advertising immediate funding but providing funds through a third-party lender; their terms, including the charges, are often unclear.
A personal loan is a suitable choice in an emergency or for personal use, as it is quick and issued without any collateral. Also, do a personal loan eligibility check and check your CIBIL score before applying to ensure you meet the necessary thresholds. You should be able to afford the repayment comfortably, and the EMI must fit within your budget.
If you don’t have a CIBIL score or don’t meet the personal loan eligibility criteria, you can ask for a loan against your fixed deposit to get the funds you need. Taking out a gold loan is also a good option, as you can get funds at a reasonable rate, giving your ornaments as security. A used car loan can also help you get the required funding.
In Conclusion, the terms for a personal loan, which include the interest rate, other fees, and the EMI, are finalised at the time of disbursal and do not change; therefore, you must be satisfied with your decision that you are applying to the right lender and will be able to complete your financial obligations comfortably.
